Here’s the Salary a Single Person Needs To Live Comfortably in Hawaii
by Caitlyn Moorhead, GoBankingRates, Feb 4, 2025
Paradise doesn’t come cheap, as anyone who has ever lived in or visited Hawaii can tell you. While your senses might be overwhelmed by the state’s stunning views, clear blue waters, clean air and fresh seafood, your bank account will be overwhelmed by the cost.
Hawaii ranks among the most expensive states in the nation in just about any category you can name. The Aloha State’s cost of living is the highest in the U.S. and given its high cost of living, it’s not surprising that it takes a very high income to live comfortably in Hawaii.
For comparison here are some national averages:
Average annual expenditures: $55,689
Housing: $13,104
Groceries: $4,197
Utilities: $3,602
Healthcare: $4,405
Transportation: $4,720
How Much Do You Need To Earn To Live in Hawaii?
As majestic and dreamlike as the landscape of Hawaii, the reality is that it is the most expensive state to live in. Americans living on a single income could find themselves in a financial pickle if they move there without knowing just how much it could cost them.
Here is what GOBankingRates found:
The living wage needed for a single individual: $129,361
Cost of housing: $39,653
Grocery and food costs: $5,704
Utility bills: $7,564
Cost of healthcare: $5,449
Transportation costs: $6,311
Final Take To GO: Why Is Hawaii So Expensive?
The bottom line is that there are a few different reasons, according to experts, that Hawaii remains the most state to live in. The biggest one is its location. Hawaii is comprised of islands stuck way out in the middle of the Pacific Ocean, thousands of miles from the U.S. mainland.
This means it costs a lot to ship goods to the state. Because Hawaii has a small land area and unique climate, it can’t produce a lot of agricultural or other goods.
The small land area also means there is only so much room for housing, which pushes home prices higher. This problem is not helped by strict land use and zoning regulations. The median cost for a single-family home in Hawaii is more than $1 million, according to the Grassroot Institute, making it the most expensive state in the nation for housing.
Finally, costs in Hawaii are driven higher by the Jones Act, a federal law that regulates U.S. maritime commerce. The law requires that all goods transported between U.S. ports be carried on ships that are built, owned and operated by U.S. companies. It is intended to protect American jobs and promote national security, but it also creates higher shipping costs due to limited competition.
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Vance Cariaga contributed to the reporting for this article.
Methodology: GOBankingRates surveyed annual living expenses for a single person in all 50 states, using the 2023 Consumer Expenditure Survey (latest available) data for a single person from the Bureau of Labor Statistics. The itemized costs of living evaluated were housing, groceries, utilities, healthcare and transportation, collectively termed “necessities.” Based on each state’s respective cost of living index for each category, sourced from the Missouri Economic Research and Information Center’s 2024 Q3 Cost of Living Data Series, the study calculated the annual cost of each necessity. It summed them up to find the total annual expenditure on necessities. Using the 50-30-20 budget rule, which allocates 50% of income for necessities, the study doubled the total annual expenditure on necessities in order to determine the “living wage” for a single person in each state. “Living wage” is defined as the income required to cover 50% of necessities, 30% of discretionary/luxury spending and 20% of savings. All data was collected on and up to date as of December 9, 2024.