Cost of living in the US

Last updated: March 5, 2026

Cost of Living in the US: A Practical Guide for Dutch Emigrants

Moving to the United States involves careful financial planning. The cost of living in the US varies significantly by region, city, and lifestyle. This guide provides a clear overview of typical expenses, essential procedures, and practical tips to help Dutch emigrants prepare financially for life in the US.

Housing Costs

Housing is usually the largest expense in the US.

Rent: Monthly rent varies widely.
- New York City or San Francisco: $2,500 to $4,000 for a one-bedroom apartment.
- Mid-sized cities (e.g., Austin, TX or Denver, CO): $1,200 to $1,800.
- Smaller cities or rural areas: $700 to $1,200.
Buying property: Median home prices range from around $200,000 in smaller cities to over $1 million in major metropolitan areas.
Utilities: Expect $100–$200 monthly for electricity, heating, cooling, water, and garbage.

Tip: Research local housing markets carefully. Websites like Zillow or Realtor.com provide current rental and sale listings.

Food and Groceries

Groceries: Monthly grocery bills for one person typically range between $250 and $400.
Eating out: A meal at an inexpensive restaurant averages $12–$20, while mid-range restaurant meals can cost $30–$60 per person.

Tip: Shopping at large supermarkets or discount stores like Walmart, Costco, or Trader Joe’s can reduce grocery costs.

Transportation

Public transport: Major cities have public transit systems with monthly passes costing $70–$120.
Car ownership: In many areas outside big cities, owning a car is essential.
- Gasoline price averages about $3.50 per gallon (approximately 3.8 liters).
- Car insurance typically costs $1,200–$1,800 annually but varies by state, age, and driving history.
- Registration and inspection fees vary by state.

Tip: Check the Department of Motor Vehicles (DMV) website specific to your state for exact procedures and costs for driver’s licenses and vehicle registration.

Health Insurance and Healthcare

Healthcare in the US is expensive and mostly private.

Health insurance: Dutch emigrants must secure health insurance either through employers or the health insurance marketplace (HealthCare.gov) if eligible.
- Average premiums for individual plans range from $300 to $600 per month.
- Out-of-pocket costs include copays, deductibles, and coinsurance.
Medical costs without insurance: A simple doctor’s visit can cost $100–$200; emergency room visits are much more expensive.

Important: Unlike the Netherlands, there is no universal healthcare. Securing insurance is mandatory to avoid high medical bills.

Taxes

The US tax system includes federal, state, and sometimes local taxes.
Federal income tax rates range from 10% to 37%.
State income tax varies; some states like Texas and Florida have no state income tax.
Sales tax is applied at the state or local level, typically 5%–10%.
Property taxes vary by location and can be significant.

Tip: Consult the IRS (irs.gov) and your state’s Department of Revenue websites for detailed tax information.

Education Costs

If you have children:

Public schools are free but quality varies by district.
Private schools can cost $5,000 to $30,000 per year.
Higher education expenses are high; tuition varies widely.

Other Living Expenses

Internet and mobile phone: Around $50–$100 per month each.
Clothing and entertainment: Variable, but budget according to lifestyle.

Practical Steps and Tips

Open a US bank account soon after arrival to manage finances efficiently.
Budget for initial expenses: Deposits for rent, utility setup, car purchase, and health insurance premiums.
Understand your visa status: Some visas affect eligibility for jobs and insurance.
Use official resources:
- Housing: HUD.gov
- Healthcare: HealthCare.gov
- Taxes: IRS.gov
- DMV: State-specific DMV websites

Common Mistakes

Underestimating healthcare costs: Many newcomers assume healthcare is affordable without insurance.
Ignoring regional cost differences: Expecting the same cost of living nationwide leads to financial surprises.
Not budgeting for taxes: Failing to account for federal and state taxes can reduce take-home pay.
Skipping insurance coverage: Driving or renting without insurance can result in fines or financial risk.
Overlooking initial setup costs: Deposits and fees on housing and utilities can be substantial upfront costs.

Proper planning and realistic budgeting based on your destination in the US will help you settle more comfortably. Always rely on official government sources for the latest information to avoid unexpected expenses.

Cost of living in the US