The Cost of Living in Los Angeles

Nestled between the mountains and the ocean, Los Angeles is a city of endless sunshine, vibrant people, and world-famous entertainment. You'll find a diverse array of cuisines, art, and music representing cultures from around the world, and you’ll have access to some of the most exciting museums, galleries, and sporting events this country offers!

We host an exciting range of innovative industries, too. Want to work in aerospace? We've got giants like Boeing, Space X, Lockheed, and Virgin Galactic. Biosciences? Try UCLA Medical Center and Cedars-Sinai. Fashion fans can find opportunities with some of the most recognizable brands in the world, including Chanel and BCBG.

And we probably don't need to remind you about all the iconic production studios that call Los Angeles home, employing the world's most talented writers, filmmakers, and entertainers.

It's safe to say that LA isn't just a place to live, it's an exciting, creative lifestyle worth embracing.

But with all that beauty and personality, it's no surprise that LA can be pricey. The overall cost of living here is 6% higher than the rest of the state and 51% higher than the national average.

To help you stay within budget, we've included a breakdown of the key factors to consider when planning your move to the City of Angels.

The confluence of high demand, limited supply, and the city's vibrant appeal make housing one of the most significant expenses here. Prices can vary based on the neighborhood, but overall, housing costs in LA are 140% higher than the national average.

If you're buying a home, you can expect to pay roughly $1.2 million. If you're looking to rent an apartment in Los Angeles, you'll dish out about $2,720 per month.

Electricity, water, and heating costs might be influenced by the size and type of housing, but they can add up. LA's average monthly utility bill, including gas, HVAC, garbage, and water, runs about $246.12. The average monthly phone bill costs around $193.44.

LA is a driving city, and while public transportation exists, it might not be as comprehensive as in some other major cities. Expect expenses related to owning a car, like gas, maintenance, insurance, and possibly parking.

Insurance and parking costs will vary according to each person's situation. However, current gas prices in Los Angeles average around $4.73 per gallon, depending on where you get your gas. General car maintenance will set you back an average of $1,186, depending on your car's age and type.

Eating out or buying groceries might be more expensive than in some other cities, and what you pay will vary based on your tastes. However, a wide range of options are available, from high-end restaurants to more affordable eateries.

To give you an idea of what you might expect, a three-course dinner for two at a mid-range restaurant will run you about $95. A cappuccino at a typical coffee house runs about $5.20. If you're out buying groceries, a loaf of bread costs around $3.90, a dozen eggs $4.70, and a mid-range bottle of wine averages $12.

There are plenty of things to do in LA, but many activities can come with a price tag. Whether it's concerts, theme parks, or other events, budgeting for entertainment is essential. Theater buffs can expect to pay $171 for decent tickets, and two tickets to the movies will set you back about $35. A tier-1 daylong pass to Disneyland costs $104 for someone over ten. A ticket to a Lakers game runs about $100.

Healthcare costs are an important part of the cost of living in a city, and they will vary greatly depending on your insurance type, needed services, and where you go for your checkups. On average, a routine doctor's visit costs about $131.00. If you need to go to the dentist or optometrist, you'll pay roughly $129.03 and $134.35, respectively.

Extra expenses can add up in Los Angeles, especially for things like clothes, gym memberships, haircuts, and other everyday expenses. A membership for an average gym runs about $70 per month (that's about $10 more than the national average). The average price of a haircut is $65 for women and $45 for men. A pair of Levi's jeans costs $65, and a four-roll pack of toilet paper is $4.91.

California has a relatively high state income tax rate compared to many other states in the US. The income tax rate for a household income of $68,351- $349,137 is 9.3% (the average income in Los Angeles is $98,200). Angelinos pay about 9.5% combined sales tax (state, county, and city).

Hopefully, this overview of the cost of living in LA has helped prepare you to find your place in the City of Angels without draining your wallet! Despite the higher cost of living, we love our sun-soaked city. We think living here is worth every penny. Come on out and visit LA; we guarantee you will, too.