Median rent is 25% lower in Milwaukee ($1,033/mo vs $1,380/mo). Buying is cheaper in Milwaukee, where the median home runs $172,000 versus $315,200. Households earn more in Chicago ($75,134 vs $51,888 a year). Taken together, Milwaukee is the more affordable choice with a cost index of 95.1 against 105.7 — about 10% lower overall prices. After adjusting income for local prices, a typical paycheck stretches further in Chicago, IL.
Quick verdict
Milwaukee is 10% cheaper overall
Cost index: 95.1 in Milwaukee vs 105.7 in Chicago (US average = 100)
City A
Chicago, IL
City B
Milwaukee, WI
How much would you need to earn in Milwaukee, WI to maintain your standard of living from Chicago, IL?
Equivalent salary in Milwaukee, WI
$67,490
You could earn $7,510 less (10% lower) and break even.
Based on BEA Regional Price Parity (cost index) for each city's metro area. A rough estimate of overall purchasing power, not tax or take-home pay.
Metric
Chicago
Illinois
Milwaukee
Wisconsin
👥Population
💰Median Household Income
Annual
🏠Median Gross Rent
Per month
🏡Median Home Value
📊Cost of Living Index
US avg = 100
🔑1BR Fair Market Rent
HUD FMR
🔑2BR Fair Market Rent
HUD FMR
🔑3BR Fair Market Rent
HUD FMR
🌬️Air Quality Index
Lower = cleaner
🏛️Top State Income Tax
Top marginal rate
🧾State Sales Tax
Statewide base rate
🎂Median Age
Years
✓ = better value · Sources: US Census ACS, BEA RPP, HUD FMR, EPA AirNow, Tax Foundation
Renters will find significantly cheaper housing in Milwaukee — median rent of $1,033/mo versus $1,380/mo in Chicago, a 25% difference. Home buyers face a steeper market in Chicago: the median home is $315,200 versus $172,000 in Milwaukee — 45% more expensive.
1BR Fair Market Rent
2BR Fair Market Rent
BLS OEWS 2023 — metro-level data
Illinois's top income tax rate is 4.95% versus 7.65% in Wisconsin, so Chicago is more tax-friendly for high earners. Sales tax is 6.25% in Illinois and 5.00% in Wisconsin; Milwaukee has the lower rate (local add-ons may apply in both).
Chicago
Income tax: 4.95%
Sales tax: 6.25%
Milwaukee
Income tax: 7.65%
Sales tax: 5.00%
Milwaukee has cleaner air on average: 6.0 AQI (Good) compared to 21.0 AQI (Good) in the other city. Lower AQI means cleaner, healthier air.
Pick Milwaukee if you prioritize lower overall cost of living (index 95.1 vs 105.7).
Pick Chicago if you prioritize higher median household income ($75,134/yr).
Pick Milwaukee if you prioritize cheaper rent ($1,033/mo median).
Pick Milwaukee if you prioritize cleaner air quality (avg AQI 6.0).
Is Chicago cheaper than Milwaukee?
Milwaukee is cheaper overall, with a cost of living index of 95.1 versus 105.7 (US average = 100). That means prices run about 10% lower in Milwaukee.
How much is rent in Chicago vs Milwaukee?
Median rent is $1,380/mo in Chicago, IL and $1,033/mo in Milwaukee, WI. Milwaukee, WI has the lower rent by about 25%.
Which has higher salaries — Chicago or Milwaukee?
Median household income is $75,134 in Chicago, IL and $51,888 in Milwaukee, WI. Chicago, IL has the higher median income. Note that BLS occupational wages in the table above show wages for specific jobs.
Which city has better air quality?
Milwaukee, WI has better air quality on average: 6.0 AQI versus 21.0 AQI. Both are EPA AirNow annual averages; lower is better.
Which has lower taxes — Chicago or Milwaukee?
Illinois's top income tax rate is 4.95% and Wisconsin's is 7.65%. Chicago, IL has the lower rate.
What salary do I need in Milwaukee to match my Chicago income?
To maintain the same purchasing power, a salary of $100,000 in Chicago, IL is equivalent to roughly $89,987 in Milwaukee, WI (using the BEA Regional Price Parity ratio). Use the salary calculator above for any income amount.
Data last updated: December 1, 2024 · Sources: US Census ACS, BEA RPP, BLS OEWS, HUD FMR, EPA AirNow, Tax Foundation · Methodology