Median rent is 30% lower in Indianapolis ($1,156/mo vs $1,648/mo). Buying is cheaper in Indianapolis, where the median home runs $224,800 versus $452,600. Households earn more in Colorado Springs ($84,818 vs $66,219 a year). Taken together, Indianapolis is the more affordable choice with a cost index of 94.7 against 98.1 — about 4% lower overall prices. After adjusting income for local prices, a typical paycheck stretches further in Colorado Springs, CO.
Cost of living verdict
Indianapolis is 4% cheaper overall
Cost of Living Index: 94.7 in Indianapolis vs 98.1 in Colorado Springs (US national average = 100)
City A
Colorado Springs, CO
City B
Indianapolis, IN
How much would you need to earn in Indianapolis, IN to maintain your standard of living from Colorado Springs, CO?
Equivalent salary in Indianapolis, IN
$72,353
You could earn $2,647 less (4% lower) and break even.
Based on BEA Regional Price Parity (cost index) for each metro area. This estimates overall purchasing power; it does not account for taxes or take-home pay differences.
Metric
Colorado Springs
Colorado
Indianapolis
Indiana
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: Census ACS, BEA, HUD Fair Market Rents, EPA AirNow, Tax Foundation
Renters will find significantly cheaper housing in Indianapolis — median rent of $1,156/mo versus $1,648/mo in Colorado Springs, a 30% difference. Home buyers face a steeper market in Colorado Springs: the median home is $452,600 versus $224,800 in Indianapolis — 50% more expensive.
1BR Fair Market Rent
2BR Fair Market Rent
BLS OEWS 2023 — metro-level data
State tax data is not yet available for these cities.
Colorado Springs
Income tax: N/A
Sales tax: N/A
Indianapolis
Income tax: N/A
Sales tax: N/A
Colorado Springs has cleaner air on average: 23.0 AQI (Good) compared to 48.0 AQI (Good) in the other city. Lower AQI means cleaner, healthier air.
Pick Indianapolis if you prioritize lower overall cost of living (index 94.7 vs 98.1).
Pick Colorado Springs if you prioritize higher median household income ($84,818/yr).
Pick Indianapolis if you prioritize cheaper rent ($1,156/mo median).
Pick Colorado Springs if you prioritize cleaner air quality (avg AQI 23.0).
Is Colorado Springs cheaper than Indianapolis?
Indianapolis is cheaper overall, with a cost of living index of 94.7 versus 98.1 (US average = 100). That means prices run about 4% lower in Indianapolis.
How much is rent in Colorado Springs vs Indianapolis?
Median rent is $1,648/mo in Colorado Springs, CO and $1,156/mo in Indianapolis, IN. Indianapolis, IN has the lower rent by about 30%.
Which has higher salaries — Colorado Springs or Indianapolis?
Median household income is $84,818 in Colorado Springs, CO and $66,219 in Indianapolis, IN. Colorado Springs, CO 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?
Colorado Springs, CO has better air quality on average: 23.0 AQI versus 48.0 AQI. Both are EPA AirNow annual averages; lower is better.
Which has lower taxes — Colorado Springs or Indianapolis?
State tax data is not yet available for one or both cities.
What salary do I need in Indianapolis to match my Colorado Springs income?
To maintain the same purchasing power, a salary of $100,000 in Colorado Springs, CO is equivalent to roughly $96,470 in Indianapolis, IN (using the BEA Regional Price Parity ratio). Use the salary calculator above for any income amount.
Data last updated: December 1, 2026 · Sources: US Census ACS, BEA RPP, BLS OEWS, HUD FMR, EPA AirNow, Tax Foundation · Methodology
