Cost of Living Soars Nearly 20% in 3 Years; San Francisco Tops List of Most Expensive U.S. Cities

The cost of living in the US has risen sharply in recent years, with prices increasing more in the last 3 years than the previous 10. Goods now cost 19% more compared to pre-pandemic.

Despite a slight dip recently, inflation remains stubbornly high. Food and shelter costs continue to rise, putting pressure on household budgets.

To address higher costs, some companies like Amazon and Bank of America have raised hourly wages. Others like Microsoft have held salaries steady.

We identified the 20 most expensive US cities using cost of living indexes from Numbeo and Expatistan. High demand and limited housing supply are key reasons.

The top 7 most expensive US cities are San Francisco, New York, Honolulu, San Jose, Oakland, Washington DC, and Boston, largely driven by housing.