Cost of Living in North Dakota — Housing, Taxes & Everyday Expenses
Very low flat tax, energy wealth, affordable
Data: 2026-Q2 · BLS · HUD · KFFOverview
North Dakota has a very low flat income tax of 2.5% and benefits from oil and gas wealth. Fargo and Bismarck are stable, affordable cities.
Housing costs
Median 1BR rent in Fargo is approximately $950-$1,100. Bismarck is similar.
Tax reality
North Dakota has a flat income tax rate of 2.5% as of 2023 — one of the lowest in the nation.
Everyday expenses
At a cost of living index of 98, North Dakota is about 2% cheaper than the national average of 100. North Dakota's very low flat tax and affordable housing provide strong purchasing power.
Salary reality in North Dakota
Cost of Living in North Dakota — FAQ
What is North Dakota's income tax rate?
North Dakota has a flat income tax rate of 2.5% as of 2023, one of the lowest in the nation.
Is North Dakota affordable?
Yes. North Dakota has a cost of living index of 98, near the national average with affordable housing.