Cost of Living in Rhode Island in 2025

Rhode Island Cost of Living: Quick Takeaways

Housing Costs: Average rent for a one-bedroom apartment in Rhode Island has increased to approximately $1,350 in 2025.
Transportation Expenses: Public transportation fares average $2.00 one-way with monthly passes costing $70.00.
Healthcare Costs: Monthly health insurance premiums average $461 for Silver plans in 2025.
Income Levels: Median household income in Rhode Island is projected to be $81,370 for 2025.

Rhode Island offers a detailed cost of living profile reflecting expenses across housing, healthcare transportation and more.

This article breaks down key living costs as of 2025 to help residents and newcomers understand the budget needed for life in the Ocean State.

1. Housing Costs in Rhode Island

Housing expenses are a significant part of the cost of living in Rhode Island, particularly for renters. Below is a historical overview of average rent prices for a one-bedroom apartment:

2010: Around $900
2015: Approximately $1,050
2020: About $1,200
2024: Around $1,300
2025: Estimated at $1,350

The steady rise in rental costs reflects growing demand and limited supply in Rhode Island’s housing market.

For hospitality businesses and restaurant owners looking to secure staff in high cost of living areas like Rhode Island, understanding local income and salary trends is essential. Insights on restaurant manager salaries can help employers budget competitive wages effectively.

2. Homeownership and Real Estate Trends in Rhode Island

For those considering buying a home, real estate prices have shown consistent appreciation over the last decade:

2010: Median home price was $250,000
2015: Rose to $300,000
2020: Increased to $350,000
2024: Reached $465,000
2025: Estimated $492,939

This significant increase makes homeownership increasingly expensive but also indicates strong real estate value growth in Rhode Island.

Hotel owners and property managers analyzing hospitality real estate trends can apply insights from Rhode Island’s market to inform investment and management decisions.

3. Transportation Expenses in Rhode Island

Transportation in Rhode Island involves several cost factors including public transit and personal vehicle expenses:

Public Transit One-Way Fare: $2.00
Monthly Public Transit Pass: $70.00
Fuel Costs per Gallon: $3.43
Annual Vehicle Maintenance: Approximately $1,200

These costs can fluctuate based on commute distance and transit usage but offer a realistic snapshot for budgeting transportation in Rhode Island.

4. Utility Costs in Rhode Island

Monthly utility expenses for a standard household in Rhode Island are as follows:

Electricity: $169.48
Internet: $70.00
Total Utilities Monthly: $239.48

Utility costs in Rhode Island tend to be above national averages especially electricity, making this an important consideration for residents.

5. Grocery and Food Expenses in Rhode Island

Food expenses are a major portion of living costs. Monthly grocery costs per person are estimated at $1,105.00, which is near the national average.

Dining out options range in price with casual meals costing about $15 and mid-range restaurant dinners averaging $50.

Restaurant owners aiming to optimize menu pricing while managing food costs can benefit from studying food waste statistics to reduce expenses and improve profitability.

6. Healthcare Costs in Rhode Island

Healthcare expenses include insurance and out-of-pocket costs. Monthly expenses for employer-sponsored health insurance average around $158.58, while individual Silver health plans cost approximately $461.00 per month in 2025.

7. Educational Expenses in Rhode Island

Education costs vary depending on the institution:

Public Schools: No direct tuition costs
Private School Tuition: Average around $15,000 per year
In-State University Tuition: Approximately $12,000 annually

Educational expenses can significantly impact family budgets especially if private schooling or higher education is pursued.

8. Entertainment and Leisure in Rhode Island

Residents enjoy diverse entertainment options with typical costs including:

Movie Tickets: $12 each
Gym Memberships: About $40 per month
Mid-Range Restaurant Meals: $50 on average

Annual expenses on entertainment and personal care services approximate $2,400 and $600 respectively, reflecting varied lifestyle choices.

9. Taxes and Miscellaneous Fees in Rhode Island

Key tax rates residents face include:

State Income Tax Rate: Ranges from 3.75% to 5.99%
Sales Tax Rate: 7%
Property Tax Rate: Approximately 1.40%

These taxes contribute significantly to overall expenses and vary by income bracket and property value.

Understanding these tax burdens is useful for restaurant and hotel owners budgeting for operational taxes; see our tax tips for restaurant owners to optimize financial planning.

10. Childcare and Family Expenses in Rhode Island

Families with children face regular costs including:

Daycare Services: About $1,000 monthly
After School Programs: $300 per month
Extracurricular Activities: Roughly $100 monthly

Budgeting for childcare is essential for many households in Rhode Island.

11. Clothing and Personal Care in Rhode Island

Typical monthly expenditures include:

Clothing: Estimated $100 per month
Personal Care Products and Services: $50 monthly, covering grooming and essentials

These amounts may fluctuate according to individual preferences and lifestyles.

12. Insurance Costs in Rhode Island

Insurance is a key financial consideration with average costs as follows:

Health Insurance (Silver Plan): $461 monthly
Auto Insurance: Approximately $1,500 annually
Homeowners Insurance: $1,136 annually, while renters insurance runs about $180 per year

These expenses contribute to financial security and legal compliance across the state.

13. Miscellaneous Expenses in Rhode Island

Additional costs impacting overall spending include:

Entertainment Annually: Around $2,400
Personal Care Services: $600 yearly
Miscellaneous Goods and Services: Approximately $700 annually

These amounts vary based on personal lifestyle choices.

14. Income and Salaries in Rhode Island

Income levels have steadily increased over the years, providing important perspective on affordability:

2010: $55,000 median household income
2015: $60,000
2020: $65,000
2023: $71,370
2025: $81,370 projected

Rising incomes help offset increasing costs but mindful budgeting remains key for financial wellbeing.

Those interested in hospitality careers in Rhode Island can explore the latest hospitality job interview statistics to know what to expect when applying for local positions.

15. Comparison with National Averages

Compared to the national average, Rhode Island's cost of living stands as:

Overall Cost: 17% higher
Housing: 13% above national average
Utilities: 39% higher
Food: About 1% above average
Healthcare: 3% higher
Transportation: 3% below national average
Goods and Services: On par with national rates

These statistics highlight Rhode Island’s relatively higher living expenses compared to other parts of the country.

Our Methodology for Rhode Island Cost of Living Figures

We compiled data from reliable sources such as government reports BLS Numbeo Zillow and healthcare metrics. Where precise data was unavailable we provided reasonable estimates to ensure a comprehensive overview of Rhode Island living costs in 2025.

Rhode Island Cost of Living: Conclusion

Living in Rhode Island in 2025 involves balancing higher-than-average costs especially in housing utilities and healthcare with local income levels.

Transportation costs are slightly more affordable than national averages while other daily expenses like food and misc goods align closely with typical US values.

By understanding these cost components Rhode Island residents and prospective movers can better plan their budgets and financial strategies to thrive in the Ocean State.

Hospitality employers seeking to attract and retain talent in such competitive markets may also find our guide on reducing restaurant employee turnover and employer branding in restaurant job postings useful to build a loyal workforce.