Washington, DC Cost of Living (2026)

Washington DC has a cost of living index of 137.7, about 37.7% above the national average. Housing is a major driver here, with a housing index of 204.7. Typical apartment rent is about $3,361 a month, and median home values are around $1,085,511. The median household income is approximately $98,000. This page uses the Washington-Arlington-Alexandria market data.

A $100,000 salary in an average-cost city buys about $72,600 worth of lifestyle in Washington DC. The premium is noticeable, but it is not on the same level as New York or San Francisco. Outside housing, healthcare and miscellaneous costs also run above the national baseline.

Transportation in DC is a genuine advantage relative to many other high-cost cities. The Metro system covers the city and extends into the suburbs, and a large share of government and private-sector workers commute by rail. Monthly Metro passes cost around $100, and many federal employees receive pre-tax transit subsidies. This reduces the need for car ownership, which provides real monthly savings on insurance, parking, and car payments.

DC, Maryland, and Virginia each have their own income tax structures. DC's income tax tops out at 10.75% for high earners and has a 8.5% bracket that begins at $60,000. Maryland adds both state and county income taxes. Virginia's top rate is 5.75%. Workers choosing between DC proper and suburbs in Virginia or Maryland should run the after-tax income numbers, since the difference can be several thousand dollars annually at mid-range salaries.