Carmel vs Madison
Cost of Living Comparison · 2026
Carmel
Madison
The Verdict
Living in Carmel costs 0.0% less than Madison. To match the purchasing power of a $75,000 salary in Carmel, you would need $75,000 in Madison.
Category-by-Category Breakdown
Index values · National average = 100 · Lower is more affordable
Salary Equivalence
A $75,000 salary in Carmel has the same purchasing power as $75,000 in Madison.
Conversely, $75,000 in Madison equals $75,000 in Carmel.
Living in Carmel vs Madison
Housing Costs
Carmel's housing index of 134 is higher Madison's 115, translating to median home prices of $478,000 vs $340,000. The $138,000 difference in home prices means roughly $8,976 per year in additional mortgage costs at current rates. Renters face a similar gap: $1,700/mo in Carmel compared to $1,400/mo in Madison, a monthly difference of $300.
Grocery & Food Costs
Grocery expenses index at 100 in Carmel and 101 in Madison. A household spending the national average of $475/month on groceries would pay approximately $475/month in Carmel vs $480/month in Madison. The difference in grocery costs between these cities is relatively minor and unlikely to be a deciding factor in relocation.
Utility Expenses
Utility costs — electricity, gas, water, internet — index at 97 in Carmel and 97 in Madison. Monthly utility bills average approximately $388 in Carmel vs $388 in Madison. Utility costs are relatively comparable between these two cities.
Healthcare
Healthcare costs index at 89 in Carmel and 105 in Madison. This encompasses insurance premiums, doctor visit copays, dental care, and prescription costs. The 16-point gap reflects real differences in provider costs, insurance market competition, and regional healthcare infrastructure.
Income & Purchasing Power
Median household income is $141,500 in Carmel and $67,565 in Madison. After adjusting for local costs, purchasing-power-equivalent incomes are approximately $133,491 and $63,741 respectively. Carmel residents enjoy stronger real purchasing power despite higher nominal wages.
Relocation Considerations
Under the standard 28% rule, a median-income household can allocate $3,302/month to housing in Carmel vs $1,577/month in Madison. In Carmel, median rent of $1,700/mo fits within this budget. In Madison, median rent of $1,400/mo remains manageable. The biggest category-level difference between these two cities is Housing, where the gap is 19 index points — focus your budget analysis there.
Frequently Asked Questions
Moving & Relocation Resources
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