Kentucky by the numbers

A decision-oriented profile: what it costs to live here, what the job market looks like, and how it stacks up against where you are now. Every figure links to its official source.

Price level (all items)90.2−9.8% vs US avg · rank 40/51 BEA RPP SARPPSource: BEA Regional Price Parities · SARPP · 2024 vintage · released February 2026 · Official API
Unemployment4.5%May 2026 (prelim.) BLS LAUS LAUSSource: BLS Local Area Unemployment Statistics · LAUS · May 2026 vintage · released May 2026 · Official API
Median rent$967/moCensus ACS ACS5Source: US Census ACS 5-Year Estimates · ACS5 · 2024 vintage · released December 2025 · Official API
Median home value$205,600Census ACS ACS5Source: US Census ACS 5-Year Estimates · ACS5 · 2024 vintage · released December 2025 · Official API

The bottom line on Kentucky

The cost-of-living picture

Overall prices in Kentucky run at 90.2 on the BEA index, where 100 is the US average — among the most affordable states in the country. That puts it 10% below the national level, the 12th-cheapest state of 51. The single biggest factor is housing rents, which sits at 64.3 — 36% below the national norm.

Housing

The typical renter pays $967 a month — 32% below the national median of $1,413, the 46th-highest rent in the country. Buying is a bigger gap: the median home is worth $205,600, 38% below the national median. 68.3% of homes are owner-occupied, making it an ownership-heavy state. Renters here spend a median 28.1% of their income on rent, within the range usually considered affordable.

Do paychecks keep up with prices?

Median household income is $63,726, the 47th-highest of 51 states. But income only matters relative to prices: adjusted for local costs, that is worth $70,650 in national-average terms. Its rank barely moves after adjusting for costs, so pay and prices here are broadly in step.

The tax trade-off

Income is taxed through a single flat rate, topping out at 3.50%. Combined sales tax averages 6.00%. Both are on the low side, keeping the overall tax load modest. (Tax figures are hand-verified from the Tax Foundation and dated on the page below.)

The job market

Unemployment stands at 4.5% (May 2026), 7% above the national 4.2%. That tracks the national labor market closely. It is also the one figure here that refreshes monthly, rather than annually.

Every figure above is drawn from the sourced data on this page — no estimates, no filler.

What it costs to live here

Price level by component, 100 = US average. Higher means more expensive than the national average.

Regional price parity by component for Kentucky.
ComponentKentuckyvs US avg
All items90.2−9.8%
Housing rents64.3−35.7%
Goods96.0−4.0%
Utilities75.3−24.7%
Other services97.3−2.7%

BEA Regional Price Parities · SARPP · 2024 · rel. February 2026 · Official API

Housing & income (ACS)

Median gross rent$967/mo
Median home value$205,600
Median household income$63,726/yr
Homeownership rate68.3%
Median rent as % of income28.1%
Median owner costs as % of income15.5%

US Census ACS 5-Year Estimates · ACS5 · 2024 · rel. December 2025 · Official API

The job market

The seasonally-adjusted unemployment rate in Kentucky is 4.5% as of May 2026 (preliminary). This is the one figure here that updates monthly.

BLS Local Area Unemployment Statistics · LAUS · May 2026 · rel. May 2026 · Official API

How Kentucky has changed since 2005

Home prices (FHFA index)

Home prices in Kentucky are up 110% since 2005 (FHFA index). That outpaces the national 97% — home values here have grown faster than the country as a whole.

317495672200520162026580
Kentucky United States
Data table
YearKentuckyUS
2005276363
2006284379
2007290375
2008288348
2009285330
2010285324
2011282313
2012284315
2013283328
2014290345
2015301362
2016313382
2017327403
2018340422
2019357444
2020379471
2021437556
2022485617
2023516649
2024549685
2025574708
2026580713

Unemployment rate

State unemployment peaked at 10.6% in 2009 and stands at 4.3% today — a long recovery from that high.

1%5%10%2005201620264.3%
Kentucky United States
Data table
YearKentuckyUS
20055.8%5.1%
20065.7%4.6%
20075.4%4.6%
20086.5%5.8%
200910.6%9.3%
201010.3%9.6%
20119.4%8.9%
20128.2%8.1%
20137.9%7.4%
20146.4%6.2%
20155.3%5.3%
20165.1%4.9%
20174.8%4.4%
20184.2%3.9%
20194.1%3.7%
20206.5%8.1%
20214.5%5.4%
20224%3.7%
20234.2%3.6%
20244.8%4%
20254.6%4.3%
20264.3%4.3%

FRED (FHFA House Price Index & state unemployment) · FRED · through 2026 · rel. continuously updated · Official API

What you'd pay in tax

Hand-curated · last verified 2026-07-20 · tax year 2026
Individual income tax3.50% top rate (flat)
Sales tax (state)6.00%
Sales tax (combined avg)6.00%

Tax Foundation — 2026 State Individual Income Tax Rates and Brackets · Income · 2026 · rel. tax year 2026 · Manually maintained · verified 2026-07-20

Tax Foundation — State and Local Sales Tax Rates, 2026 · Sales · 2026 · rel. tax year 2026 · Manually maintained · verified 2026-07-20

Compare taxes across all states →

How it compares to where you are now

See how far your income would go here versus your current state — adjusted for what things actually cost.

Compare your income in Kentucky →

Where Kentucky ranks

Sources for every figure on this page

Occupation wages and a full tax profile for Kentucky are being added. See the methodology →