Where does the Sacramento cost of living fall on the scale of California’s living expenses? Given the city’s proximity to major employers, coastal waters, and stunning national forests, it’s an appealing place to call home, and knowing the average price of living in Sacramento, California, can be helpful if you’re considering a move here. 

While located in Northern California and approximately 87 miles from San Francisco, the Golden State’s capital city is generally more affordable than the pricier Bay Area. In this blog, we’ll cover the Sacramento, California, cost of living, from home prices and daily expenses to tax rates and average salaries. 

Summary:

• Cost of Living in Sacramento, CA

• Comparing Average Home Prices and Rent Costs in Sacramento

• Other Living Expenses in Sacramento, CA

  • Grocery Shopping and Dining Out in Sacramento

  • Transportation Options and Fuel Costs in Sacramento

  • Healthcare and Insurance Costs in Sacramento

  • Utilities, Internet, and Phone Expenses in Sacramento

  • Tax Rates in the Sacramento Area

  • Recreation Costs in Sacramento, California

• Average Salary in Sacramento

• Potential Tax Benefits for Homeowners in Sacramento

• Average Cost of New Construction Homes in Sacramento by Neighborhood

• Conclusion

Cost of Living in Sacramento, CA

March 2024 data from RentCafe® finds that the average overall living cost in Sacramento, CA, is 20% higher than the national average but 13% lower than the state average. 

What does that mean in actual dollars? 

According to the Living Wage Calculator from MIT®, designed to estimate the income necessary for residents to meet their basic living expenses in a specific geographic area, the living wage in Sacramento County for a single adult is $25.93 per hour as of February 2024. A household of two working adults and two children would need $31.43 per hour to cover the basics, which includes expenses like housing, food, health care, transportation, and other essential costs.

Comparing Average Home Prices and Rent Costs in Sacramento

No matter where you live, housing is typically one of the most significant living expenses. Sacramento, with 95 neighborhoods, offers a diverse range of housing options. 

According to RentCafe, housing costs in Sacramento are 41% higher than the national average but 28% lower than the state average as of March 2024. Per Realtor.com®, in January 2024, average home prices in Sacramento, CA, ranged from 25.9K to $9M. The median sold home price was $464.9K, with an average cost of $329 per square foot. 

For renters, the average monthly cost for an apartment in Sacramento is $1,850 per RentCafe in March 2024. However, rent can fluctuate based on location, apartment size, and quality. 

Other Living Expenses in Sacramento, CA

Now, let’s explore what daily living expenses in Sacramento, California, might look like. These costs contribute to the overall Sacramento cost of living and include necessities like groceries, transportation, health care, utilities, and taxes. Plus, we’ll share some average recreational expenses since having fun is essential, too.

Grocery Shopping and Dining Out in Sacramento

According to RentCafe, grocery prices in the city are 8% higher than the national average yet 6% lower than the state average as of March 2024. Per the MIT Living Wage Calculator’s February 2024 data, a single adult might spend around $4,623 annually on food, while a household of two working adults and two children may need to budget an annual expense of $13,587.

For an example of specific food costs, RentCafe’s March 2024 findings offer this snapshot of some grocery staples in Sacramento:

• Loaf of bread: $4.08

• A gallon of milk: $4.93

• One dozen eggs: $5.01

• Bananas: $1.12

• Potato chips: $4.05

We can’t talk about food expenses without factoring in the convenience of dining out. For date night at a popular spot like Frank Fat’s, expect to spend approximately $85 for an appetizer, two cocktails, two entrees, and a dessert. For something quick and tasty during the workday, lunch at the iconic cafe La Bou costs about $15–$20. 

Transportation Options and Fuel Costs in Sacramento

California’s capital city caters to all types of transportation — car, bike, pedestrian, and public. RentCafe reports that transportation expenses are 21% higher than the national average and 6% lower than the state average as of March 2024, with gas prices at $4.51 per gallon and the approximate cost of a tire balance being $58.67. 

Overall, MIT’s Living Wage Calculator estimates annual transportation expenses in February 2024 for a single adult to be around $10,588, while a household of two working adults and two children might need to budget about $17,761. These amounts are based on factors like gas, insurance, financing, and maintenance and can vary depending on your individual circumstances. 

For public transit options, Sacramento has quite a bit to offer. The Sacramento Regional Transit (SacRT) offers multiple routes and schedules for light rail and bus lines. A daily pass costs $7, and a basic monthly pass is $100. Amtrak® also offers services at the Sacramento Intermodal Station, and ZipCar® rentals are available at multiple access points throughout the downtown grid for various prices.

Lastly, one of the perks of living in the Sacramento area is the proximity to Sacramento International Airport (SMF), with access to international flights and major airlines, making business and personal travel a little more convenient.

Healthcare and Insurance Costs in Sacramento

Caring for your health is vital. According to RentCafe, as of March 2024, the Sacramento, California, living cost for health care runs about 13% higher than the national average and 5% higher than the state average, sharing the following average costs for medical visits: 

• Doctor: $201.43

• Dentist: $115.72

• Optometrist: $153.50

As for medical insurance, MoneyGeek® lists Blue Shield of California® and Kaiser Permanente® as two of the best insurance providers in Sacramento, with monthly premiums for a 40-year-old averaging between $461–$511 in 2024. 

When budgeting for medical expenses, the February 2024 data from MIT’s Living Wage Calculator reports annual medical costs for a single adult to be around $2,889, while a household with two working adults and two children might expect to allocate approximately $9,996.

Utilities, Internet, and Phone Expenses in Sacramento

Keeping the lights on and staying connected are also essential Sacramento living expenses. According to EnergySage®, in March 2024, residents in Sacramento spend around $133 per month on electricity, adding up to $1,596 annually. Forbes® reports monthly internet charges range from $35–$60 in 2024, depending on the provider. 

For water, gas, electricity, and garbage, the Sacramento Bee reports an average monthly expense of $284 in Sacramento County as of August 2023, with phone expenses hovering around $80. 

Tax Rates in the Sacramento Area

Understanding local tax rates is another critical Sacramento living cost for residents and businesses. Per the California Department of Tax and Fee Administration, as of 2024, Sacramento’s sales and use tax rate is 8.750%. Forbes reports that the 2023–2024 California state income tax runs from 1%–12.3%, depending on your annual taxable income. Lastly, the Sacramento County government website states that property tax rates average 1.1% across the county as of 2024. 

Recreation Costs in Sacramento, California

Purchasing essentials and paying bills aren’t the only expenses you’ll want to budget for; Sacramento is also brimming with unique activities and fun things to do. You can check out our guide to the best things to do in Downtown Sacramento for an in-depth list, but here are the price tags in 2024 for a few of the local attractions:

• Sacramento Zoo: Depending on when you go, a day at the zoo ranges from $19–$25 per ticket. 

• Sacramento Kings basketball: Ticket prices and availability for the city’s NBA® team vary per game but generally start around $27–$45 per person. 

• Sacramento River Cats baseball: Tickets for Sacramento’s Minor League team often start around $10–$12 but vary per game.

• Coin-Op Game Room: Enjoy old-school arcade fun for about $1 per game, with food and drinks sold separately, ranging from $12–$14 for a cocktail or appetizer and $16–$24 for a pizza. 

• Crocker Art Museum: Adults can explore one of the oldest art museums in the Western U.S. for $15. Children aged six and older are $8, while kids five and under are free. 

Average Salary in Sacramento

According to MIT’s Living Wage Calculator for February 2024, a single adult needs a net annual income of about $44,693 to live in Sacramento County. The required average net income increases to $111,505 annually for a household of two working adults with two children. 

The numerous industries in and around Sacramento can lead to significant income variability. For example, per MIT, farming, fishing, and forestry positions have an average annual salary of about $36.7K as of February 2024, while management roles run about $155K. 

Overall, RentCafe finds the average household income in Sacramento as of March 2024 to be $71,074. 

Potential Tax Benefits for Homeowners in Sacramento

If you're a homeowner in Sacramento, you may be eligible for tax benefits through the Homeowners' Exemption program. The Sacramento County government website states this initiative offers homeowners a $7,000 discount on their assessed property value, which may translate to an annual savings of about $70–$80 in property taxes. While participation in the program is free, an application is required. To qualify, you must be named a property owner, co-owner, or purchaser in the sale contract. 

Average Cost of New Construction Homes in Sacramento by Neighborhood

How much does a new construction home in Sacramento cost? Here’s a glimpse of the average home prices in Sacramento, CA, and some of its more popular suburbs:  

• Roseville: One of the more populated suburbs of Sacramento, Roseville offers quality schools, beautiful neighborhoods, copious amounts of dining and shopping, and convenient access to the city and mountains. The cost of a new construction home in Roseville, according to NewHomeSource® in March 2024, ranges from the upper $400Ks to mid $1.1M. Our Roseville new construction homes start in the high $500Ks.
  
  

• City of Sacramento: As the capital of California, Sacramento is a diverse city with a rich Gold Rush history. With attractions like DOCO, Old Sacramento Waterfront, and museums, Sacramento is full of character. The cost of a new construction home in Sacramento, per NewHomeSource in March 2024, ranges from the mid $400Ks to $1M. About 15 miles from Sacramento, you can find our Rancho Cordova new construction homes, which start in the low $600Ks.
  
  

• Rocklin: Rocklin is known for its welcoming environment, quality schools, and attractions like Quarry Park Adventures® and Whitney Oaks Golf Club. NewHomeSource shows the cost of a new construction home in Rocklin to run from the mid $700Ks to the $1.2M in March 2024. Explore our Roseville new construction homes, starting in the high $500Ks.
  
  

• Rancho Cordova: Recognized for its growing business sector, particularly the innovative tech companies in the Rancho Cordova Business District, alongside its vibrant neighborhoods and adjacency to the scenic American River Parkway. As of March 2024, the cost of a new construction home in Rancho Cordova, according to NewHomeSource, runs from the lower $500Ks to the upper $800Ks. Our Rancho Cordova new construction homes start in the low $600Ks.
  
  

• El Dorado Hills: Recognized for its affluence, proximity to Folsom Lake and the Sierra Nevada foothills, upscale neighborhoods like Serrano, and quality schools, El Dorado Hills is a sought-after community. The cost of a new construction home in El Dorado Hills, according to NewHomeSource in March 2024, ranges from the low $600Ks to $1.4M. About 18 miles from El Dorado Hills, you can find our Rancho Cordova new construction homes, which start in the low $600Ks.

Conclusion

Though the Sacramento cost of living is higher than the national average, it’s much lower than the rest of the state, which makes the city an attractive option if California living appeals to you. Plus, Sacramento is home to diverse neighborhoods, historic areas, and abundant entertainment, attractions, and recreational activities.

So, if you're considering a move to Sacramento, we hope this guide helps you as you plan ahead and discover all that California’s capital city has to offer. 

Explore new construction homes in Sacramento, CA, today, or browse more Pulte® blogs. 

Written By: Jordan Thomson, Orange County-Based Freelance Writer and Former Sacramento Resident

Last Updated: INSERT PUBLISH DATE HERE FORMATTED LIKE: 9/18/23