How Much Does It Cost To Live In Hawaii?

Last Updated on April 1, 2025
Written by CPA Alec Pow | Content Reviewed by CFA Alexander Popinker

With its beautiful beaches, tropical climate, and laidback culture, Hawaii is an alluring place to call home. But between high housing prices, imported goods, and isolation from the mainland, the cost of living in Hawaii is among the highest in the U.S.

On average, expect to spend 25-50% more on everyday costs compared to other states. Housing accounts for the largest chunk, with rents and mortgages easily double the national median. Careful financial planning enables living comfortably amid Hawaii’s natural splendor.

How Much Does It Cost To Live In Hawaii?

The cost of living in Hawaii ranges from a minimum of around $2,500 per month for a single person on a tight budget up to $8,000 or more per month for a family living comfortably, with typical costs about 50% higher than national averages.

Hawaii consistently ranks #1 for cost of living nationally across sources like the Council for Community and Economic Research. On average, expect to spend 30-50% above U.S. averages. The largest differentials are seen in:

• Housing – Limited supply and huge demand pushes sale prices and rents way up. 1-bedroom apartments easily surpass $1,900+ monthly.
• Goods and groceries – Hawaii imports over 80-90% of products, adding shipping costs. Milk, eggs, and other staples cost far more.
• Utilities – Electric rates triple or quadruple costs elsewhere, averaging $0.45/kWh. Internet also lags.
• Gasoline – Prices at the pump run $1 or more above national rates per gallon.

Oahu and Maui generally have the highest costs due to greater demand and amenities, while rural Big Island and Kauai offer slight budget relief. But prices remain inflated statewide.

According to LLCBuddy, the median cost of a one-bedroom apartment in Honolulu is $1,630, while a two-bedroom apartment costs around $2,180, reflecting a 9.5% increase from the previous year. Housing prices are steep, with single-family homes on Oahu averaging $1,050,000 and condominiums costing about $500,000. Utility costs are also high; Hawaii has the highest residential electricity rates in the US at 44.81 cents per kilowatt-hour, compared to the national average of 17.01 cents.

On Moving Waldo, the average monthly cost of living for a single person is $3,076.19, and an annual income of $80,000 to $100,000 is recommended for a comfortable life. Rent for a one-bedroom apartment in Honolulu’s city center is approximately $2,234.38, while utility bills for a 915 square foot apartment total $338.46 monthly.

The article on Living Cost reports that the average monthly cost for one person living in Hawaii is $2,865, which includes rent and utilities at around $1,814. For a family of four, this cost rises to $6,772 per month. Food expenses are significant as well; groceries for one person average $775 per month, while dining out costs include lunch at $19.70 and dinner for two at $83.90.

Lastly, SoFi highlights that housing costs are considerably high across Hawaii’s islands, with the average home price being $831,305, more than double the US average of $355,328. Despite having the lowest state property tax rate at 0.27%, high housing prices result in higher annual tax payments compared to other states.

Housing Costs

For most residents, the bulk of the monthly budget goes straight to housing costs. Limited housing stock, high demand from transplants, and premium oceanfront prices drive housing way above mainland rates. Typical ranges:

Rental Housing

• Studio apartment – $1,600 to $2,200 monthly
• 1-bedroom apartment – $1,800 to $2,500+
• 2-bedroom apartment – $2,400 to $3,500+
• 3-bedroom house – $2,800 to $4,000+

High demand means bidding wars and waiting lists for rentals are common. Landlords can be selective, requiring proof of income 40-50x the monthly rent.

Purchasing Housing

• Starter condo – $400,000 to $600,000
• Median single-family home – $660,000 and up
• Beachfront home – Easily $2 million+ in premium neighborhoods

Down payments of 20% are standard. Resulting $3,000+ mortgage payments consume large chunks of budgets.

Additional Cost Considerations

Don’t overlook:

• Property taxes – Among the lowest nationwide at just 1% of assessed value annually or under $4,000 for a $700k home.
• Homeowner’s insurance – Average of $2,000 per year for full coverage.
• Maintenance – Contractors charge premium rates given labor shortages. Budget $5,000+ for annual upkeep.
• Utilities – Electricity, water, sewer, and trash removal can cost $500+ per month (detailed next).

Maui and Kauai have slightly lower home prices than Oahu, but fewer job prospects. Weigh trade-offs carefully.

Utility and Internet Costs

Rotating power outages make Hawaii’s high energy costs notorious. Typical monthly utility expenses include:

• Electricity – Around $0.45 per kWh, 3-4x continental rates. Budget $250+ monthly for a family.
• Water – Rates vary by municipality. Honolulu charges $3.80 per 1,000 gallons. Expect $75 monthly.
• Sewer – Similarly billed based on use. Allow $40-60 per month.
• Waste removal – $25-$45 per month for trash collection. Recycling free.
• Internet – Spectrum or Hawaiian Telcom. Plans from $50-$100 per month. Slow in remote areas.
• Cell phone – Major carriers offer solid coverage. Individual plans range $40-$80 on average.

Conserving energy and capturing rainwater help offset inflated electric and water costs in Hawaii’s constrained grids.

Grocery Costs

Hawaii’s remote geography means at least 85% of food arrives via container ship. The logistics lead to steep premiums at checkout. Some common differentials:

• Milk – $5.50 per gallon vs. $3.50 nationwide
• Eggs – $4 vs. $1.50 per dozen in other states
• Bread – $5 for basic loaf vs. $2.50 continental average
• Fruits and vegetables – 2x mainland prices, especially for out-of-season items

On a weekly grocery run expect to spend $250 for a family, $125 for a single person—as much as 50% above typical U.S. food budgets. Consider buying in bulk from big box chains and supplementing with farmers markets.

Transportation Costs

Owning a vehicle in Hawaii comes with inflated costs including:

• Gasoline – Among the highest rates in the U.S. at $5 per gallon on average.
• Insurance – Minimum liability coverage around $1,200 annually. Full coverage $2,500+.
• Registration – Vehicles under 5 years old average $300+ annually. Older cars b
• Safety checks – Required annual inspections run $25-$35 on average.

Alternatives like TheBus public transit exist on Oahu but have limited reach. Overall, budget approximately $400 per month for a single vehicle’s ownership costs.

Inter-island flights are essential for commuters and commonly run $100+ roundtrip between islands. Island-hopping adds up.

You might also like our articles about the cost of living in Thailand, moving to Japan, or going on a vacation to Hawaii.

Healthcare Costs in Hawaii

Hawaii health insurance pricing ticks higher than national benchmarks:

• Employer-provided plans – Approximately $500+ in monthly premiums for family coverage.
• Individual private plans – Range from $350 for barebones catastrophic to $1,000+ for low-deductible PPOs.
• Average deductible – Around $5,000 per person, with 20% coinsurance typical.
• Doctor visit copays – Specialists $175+, primary care $125, urgent care $75.

Overall out-of-pocket costs paralleling national rates once insured. But more limited care options on neighbor islands.

Hawaii Taxes and Fees

Understanding tax obligations keeps residents compliant and prevents surprise bills:

• State income tax – Ranges from 1.4% on income below $2,400 to 11% for earnings above $200,000.
• General excise tax (GET) – 4% on most goods and services.
• Property tax – Among the lowest nationwide at approx. 1% of assessed value. About $3,500 annually on a $700k home.
• Sales tax – 4% statewide on top of GET. 9% combined on Oahu.
• Fuel tax – State fuel tax of $0.17 per gallon plus $0.184 federal.

Plan for taxes when budgeting to avoid shortfalls. Retirees may benefit from certain exemptions.

Cost of Education in Hawaii

Education options come with wide cost variances:

• Public school – No tuition but limited worldview. Expect $600+ in annual registration fees and supplies.
• Private school – Tuition averages $12,000 for elementary and up to $19,000 for high school annually.
• University – In-state UH tuition around $11,000 per year. Room and board $13,000+.

Homeschooling is popular given geographic isolation. Overall, education costs run on par with national averages.

Lifestyle and Entertainment Costs

Leisure costs are mixed compared to the mainland U.S.:

• Dining out – Average entrée prices around $18 at casual spots. Fine dining starts at $45+ per person.
• Activities – Hiking, beachgoing free. Surf lessons $200+. Resort fees $50+ daily.
• Gyms – Average monthly fees on par with national chains at $50-$100.
• Concerts and events – Most big acts go to Oahu. Tickets $50-$400 depending on artist.

There are ample opportunities for low-cost recreation to offset higher splurges. Enjoy Oahu’s energy or relax on a neighbor island.

Cost of Living by Island

Prices fluctuate across Hawaii’s major islands:

Oahu – As the most populated island, Honolulu on Oahu has the highest costs for housing, food, utilities, and transportation statewide. Urban living comes at a premium.

Maui – Slightly lower than Oahu, but luxury home prices rival its best beach towns. Resorts and amenities still make Maui an expensive destination.

Big Island – Hilo and Kona offer overall cost of living 10-15% lower than Oahu or Maui. Groceries, rentals, gas, and utilities cost noticeably less.

Kauai and Lanai – Kauai’s small towns and rural vibe result in lower prices for rentals, dining, and goods. Lanai’s tiny resident population brings costs down.

For affordability, look to the quieter islands. But weigh limited job opportunities and amenities accordingly.

Income Needed

Tourism, healthcare, real estate, education, agriculture, and the military/defense sector drive Hawaii’s economy. Median annual salaries for common professions:

• Food service – $30,000 to $50,000
• Teaching – $50,000 to $75,000
• Nursing – $70,000 to $115,000
• Information technology – $65,000 to $105,000
• Engineering – $80,000 to $120,000
• Legal – $80,000 to $180,000

Transplants may negotiate “Hawaii differentials” to offset higher costs. But local pay lags behind mainland rates, especially in lower tier jobs.

Living Affordably in Hawaii

Making Hawaii work financially means maximizing value:

• Get roommates to substantially cut housing expenses
• Negotiate mainland salary rates if you can work remotely
• Grow fruits and vegetables in your yard to offset grocery bills
• Use solar panels, catch water to conserve on utilities
• Limit eating out by cooking at home and packing lunches
• Buy used vehicles and avoid financing brand new cars
• Seek free recreation through beaches, trails rather than resorts

Living creatively enables enjoying the Hawaii lifestyle on a budget.

Relocation Costs

If relocating from the mainland U.S., plan for major upfront moving expenses:

• Shipping household goods – Expect to pay $5,000 to $20,000 for a 20-40 ft. container, depending on volume.
• Flights – At least $300+ roundtrip per person. Check for relocation discounts.
• Housing deposits – First/last months’ rent plus security deposit could total $5,000+.
• Car shipping – Over $1,500 for vehicle transportation via boat.

Factor in any furnishings, appliances, and temp housing needed before your shipments arrive to avoid additional costs. Consider purging and bringing only essential belongings.

Is the Hawaii Cost of Living Worth It?

The Hawaii lifestyle ultimately comes down to personal priorities and budget. Consider:

Pros

• Tropical, four-season weather
• World-class natural beauty
• Laidback, beach-centric culture
• Tight-knit communities statewide

Cons

• Tiny living spaces for higher rents/costs
• Limited amenities and dining diversity
• Isolation from mainland conveniences
• Low wages compared to costs

For outdoor enthusiasts or families seeking community, Hawaii brings immense livability. But plastic paradise has drawbacks. Weigh options carefully.

Expert Opinions

“People visiting Hawaii on vacation only glimpse paradise. But as a resident, you must get smart on cutting routine costs where possible through strategies like buying generics, catches sales, conserving utilities, and skipping resorts to find hidden local gems. Know you’ll spend more on basics like food or household items and budget accordingly. Finding just 2-3 categories to save on makes hitting financial goals very feasible.”

– Kiana Park, Finance Blogger at KonaMoneyTalk

“Don’t get too hung up solely on sticker prices for big purchases like housing or vehicles. Interest rates are key – locking in rates under 5% on a fixed 30-year mortgage or under 10% on an auto loan helps keep those huge monthly costs manageable. Good credit opens access to better financing terms that balance out higher base prices over time.”

– Jordan Ikaika, Mortgage Loan Officer, Bank of Hawaii

“Living with roommates into your late 20s or 30s, even if you have a good job, is far more common in Hawaii than other parts of the country. Having one or more housemates lets you split expensive housing costs while still enjoying amenities you couldn’t afford solo like a pool or oceanfront locale. Don’t let social pressures push you into housing stretching your budget.”

– Leilani Kahuna, Career Coach, Hawaii Life Group

While Hawaii’s overall cost of living runs well above U.S. averages, making thoughtful trade-offs and compromises allows you to enjoy the Hawaii lifestyle at any budget level. Aloha!

Final Words

Hawaii offers immense natural beauty and a comforting sense of community. But its far-flung geography also translates to inflated costs for essentials like housing, food, and utilities that strain wallets. By learning to navigate price premiums wisely through informed budgeting and downsizing, the Hawaiian dream remains attainable for a broad range of circumstances and incomes, albeit with some sacrifices.

Ultimately weigh your career opportunities, family needs, financial realities, and personal passions. Hawaii life hinges on maximizing sublime weather and outdoor living rather than materialism. If the mental and social benefits offset the higher baseline costs, you’ll discover your own definition of affordable paradise.

Answers to Common Questions

How much do you need to get paid to live in Hawaii?

To live comfortably as a family of 4, target minimum household incomes of $130,000+ in order to afford housing, healthcare, transportation, and discretionary costs. Singles should earn $80,000+.

Can you live in Hawaii cheaply?

It’s possible to live very basically for under $50,000 annually as a single person if you have roommates, limit eating out, and enjoy free recreation. But incomes under $75,000 require strict budgeting and sacrifice.

Why is the cost of living in Hawaii a problem?

Soaring prices coupled with lagging local wages make it extremely difficult for lower- and middle-income families to afford basics like housing and food. Pushing out locally born residents damages the culture.