Cost of living in New York in 2025
Cost of living in New York in 2025: NYC is one of the most expensive cities in the world, and moving here requires careful financial planning.
From high rents to taxes and daily expenses, it’s essential to understand how much you’ll need to live comfortably.
Whether you’re relocating for work, studies, or a fresh start, this article will give you a realistic picture of the costs you can expect in 2025.
Read also: Net Salary in New York — What’s Left After Taxes.
Cost of living in New York: Taxes, Insurance, and Pension
Cost: Around 30-40% of your income.
In New York, a portion of your gross income is deducted for federal, state, and local taxes, as well as Social Security and Medicare contributions. Your employer automatically withholds these amounts from your paycheck, and the remaining amount is your net income.
Read also: How taxes work in New York.
Housing
Rent
Cost: $1,200 to $2,000 per month (room), $2,500 to $5,000+ per month (apartment).
In New York, rent is often your biggest expense. Apartments are usually listed as net rent (excluding utilities) or gross rent (including some utilities like heat and water).
The average rent for an unfurnished apartment in Manhattan is around $80 per sq. ft. per year, while in outer boroughs like Brooklyn and Queens, it’s slightly lower.
Many newcomers opt for expensive furnished rentals due to the competitive housing market. After settling in, consider negotiating your lease or looking for a more affordable option.
Electricity
Cost: $60 to $150 per month.
In New York, you typically receive separate utility bills:
- Heating and hot water – often included in your rent, especially in older buildings.
- Electricity and gas – used for lighting, appliances, and sometimes heating. This usually costs between $80 and $150 per month, depending on usage and season.
Internet
Cost: around $50 to $80 per month.
For approximately $50 per month, you can get a 300 Mbps internet connection. Faster plans, up to 1 Gbps, typically cost $70 to $80 per month. Prices and availability vary by provider and location.
Read also: Internet Providers in New York: A Comprehensive Guide.
TV
Cost: Varies based on subscription.
There is no mandatory TV tax in New York. Instead, residents pay for cable or streaming services if they choose to subscribe.
- Basic cable TV: Around $50 to $100 per month.
- Streaming services: Netflix, Hulu, and HBO Max range from $10 to $20 per month each.
Most people in New York opt for streaming services instead of traditional cable.
Food
Cost: around $400 to $600 per month.
If you primarily cook at home, your grocery bill will be around $400 to $600 per month, depending on where you shop and your diet.
Eating out can significantly increase your expenses:
- Casual dining: Around $15 to $30 per meal.
- Mid-range restaurants: Around $30 to $60 per person.
Dining out regularly can quickly add up, making cooking at home a more affordable option.
Read also: How to Eat Cheaper in New York.
Transportation
Public Transit
Cost: $120 to $130 per month (monthly pass), or $2.90 per ride.
The MTA (Metropolitan Transportation Authority) operates New York City’s subway and bus system. A monthly MetroCard costs around $132, and a single ride is $2.90.
Vehicles
Cost: At least $300 per month.
Owning a car in New York is expensive.
Costs include:
- Parking: Can range from $200 to $500 per month depending on the area.
- Car insurance: Typically around $100 to $200 per month, but it can vary widely based on your driving history and car type.
- Fuel and maintenance: Costs depend on your driving habits, but expect to pay around $100 to $200 per month.
New Yorkers often rely on public transit due to the high cost and limited parking for vehicles in many parts of the city. If you want to drive, you’ll need a valid driver’s license. Converting a foreign license can be more affordable than obtaining a new one, and there’s no yearly cost for the license itself.
Read also: How to use public transit in New York.
Mobile Phone
Cost: $30 to $80 per month.
A basic pay-as-you-go data plan typically costs around $30 to $40 per month. Plans that include a smartphone can be significantly more expensive, ranging from $60 to $80 per month.
It’s often more affordable to buy the phone outright and choose a sim-only plan, which gives you more flexibility and avoids the high costs associated with phone contracts.
Finances
Banking
Cost: $0 to $15 per month.
Most banks in New York offer free checking accounts, but some charge a monthly fee of around $5 to $15, depending on the type of account and services included.
Additionally, ATM fees for using machines outside of your bank’s network can range from $2 to $5 per transaction. Some banks waive these fees if you meet certain requirements, such as maintaining a minimum balance or making a certain number of transactions each month.
Read also: How to Apply for Secured Credit Card in New York.
Liability Insurance
Cost: Around $10 to $20 per month.
Liability insurance is optional in New York, but it’s highly recommended.
If you cause damage to someone else’s property or injure someone accidentally, liability insurance helps cover the costs.
The monthly premium typically ranges from $10 to $20, depending on the coverage and provider. Many people opt for this type of insurance to protect themselves from significant financial risk.
Read also: How to Choose Health Insurance in New York.
Dogs
Cost: At least $100 per month.
Owning a dog in New York comes with several expenses, including:
- Dog food: Around $40 to $80 per month, depending on the brand and diet.
- Pet insurance (optional but recommended): Around $30 to $50 per month for health coverage.
- Liability insurance (optional but useful): Around $10 to $20 per month.
- Dog license (required): Costs $8.50 to $34 per year, depending on whether your dog is spayed/neutered.
- Vet visits and vaccinations: Costs vary, but annual check-ups and shots can add $100 to $300 per year.
Additionally, if you need dog walking services, expect to pay around $15 to $30 per walk.
Read also: Having a dog in New York.
One time expenses
Apartment Deposit
Who pays it: Renters.
Cost: Usually 1 to 2 months’ rent.
When renting an apartment in New York, you typically need to pay a security deposit equal to one month’s rent. In some cases, landlords may require two months’ rent for tenants with no credit history or low income.
If you’re renting a room in a shared apartment (WG), the deposit may be lower or even waived, depending on the agreement. Your deposit is refundable when you move out, as long as there’s no damage beyond normal wear and tear.
Furniture, Appliances, etc.
Cost: $500 to $15,000+.
When moving into your first apartment, you’ll need to purchase furniture, appliances, and kitchen essentials. In New York, many apartments come with basic appliances (stove, fridge), but you’ll still need to furnish the space.
Cost of living in New York: How to save money:
- Buy used furniture on Facebook Marketplace, Craigslist, or thrift stores.
- Check for free furniture on neighborhood giveaway groups.
- Consider IKEA or budget-friendly stores for affordable new furniture.
High-end or fully furnishing a larger apartment can easily cost $10,000 or more.
Example budget
This is an example budget for a single person who lives in New York. It uses realistic values.
Income
The average salary in New York is around $70,000 to $85,000 per year before taxes. This budget assumes a monthly pre-tax income of $6,000.
Cost of living in New York: Expenses (Realistic values for 2025)
- Taxes & Deductions: ~$2,000 (federal, state, city taxes, Social Security, Medicare).
- Rent: $2,500 (one-bedroom apartment in a mid-range area).
- Utilities (electricity, gas, internet, phone): ~$250.
- Groceries: ~$500.
- Public Transportation: $130 (monthly subway pass).
- Health Insurance: ~$500 (if not covered by employer).
- Dining Out & Entertainment: ~$400.
- Gym Membership & Subscriptions: ~$100.
- Miscellaneous (clothing, personal care, household items): ~$200.
- Total Monthly Expenses: ~$6,000.
This budget assumes a mid-range lifestyle in New York. Expenses can vary significantly based on lifestyle choices, neighborhood, and personal spending habits.
Read also: How to Find a Job in New York.
