A recent SmartAsset analysis found that Massachusetts is the most expensive state for raising a family of four.
A family of two working adults and two children needs $301,184 a year to live comfortably in Massachusetts.
Comfortable" is earning enough for a 50/30/20 family budget. The budget distributes 50% of earnings to housing and utilities, 30% to discretionary spending, and 20% to savings or investments.
Using the MIT Living Wage Calculator, SmartAsset estimated the revenue needed for a 50/30/20 budget based on requirements.
How much a family of four needs to live comfortably in the five most costly states:
Massachusetts: $301,184 Hawaii: $294,611 Connecticut: $279,885 New York: $278,970 California: $276,723
According to the MIT Living Wage Calculator, Massachusetts has greater costs for child care, food, and medical care than most of these states. Mississippi is the cheapest state to raise a family, at $177,798 per year. The U.S. median is $213,782.
Overall, rural U.S. states have cheaper housing expenses than states with several large cities, like California and New York. Rural states also have lower earnings. The typical annual wage in Mississippi is $37,500, compared to $56,840 in New York, according to the BLS.