Nashville guide

How much does it cost to live in Nashville?

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This article is part of our Moving to Nashville guide.

Last updated October 20, 2026

The cost of living in Nashville for one adult with no children is about $51,243 a year before taxes, or $24.64 an hour, according to MIT’s Living Wage Calculator for Davidson County (2026 data). Rent is the biggest bill: a typical 1-bedroom lists for $1,613 a month (Zumper, October 2026). Tennessee doesn’t tax wages, but you pay 9.75% sales tax on most purchases in Nashville. Below is what each major expense looks like, where the numbers come from, and a sample monthly budget.

Living wage, 1 adult$24.64/hrMIT Living Wage Calculator, Davidson County, 2026
Median 1-bedroom rent$1,613Zumper, October 2026
Sales tax, most purchases9.75%Tennessee Department of Revenue, since Feb 2025
Electric bill, 1,000 kWhAbout $142Nashville Electric Service, September 2026 rates

How much do you need to earn to live in Nashville?

MIT’s Living Wage Calculator puts the living wage for one working adult with no children in Davidson County at $24.64 an hour, or $51,243 a year before taxes (MIT, page updated February 15, 2026). After taxes, that is $43,652 a year to cover basic costs, with MIT estimating $7,591 in annual taxes.

A living wage is not a comfortable wage. It is MIT’s estimate of what it takes to cover basic needs, without savings, eating out or vacations. MIT’s yearly breakdown for one adult in Davidson County looks like this (2026 data):

Expense (MIT category)Per yearAbout per month
Housing$18,507$1,542
Transportation$8,507$709
Food$4,814$401
Other$4,067$339
Medical$3,236$270
Civic$2,583$215
Internet and mobile$1,939$162
Required income after taxes$43,652$3,638

Monthly figures are our division of MIT’s annual numbers, rounded to the nearest dollar.

How does that compare with what people earn here?

The mean wage for all jobs in the Nashville-Davidson–Murfreesboro–Franklin metro area was $31.92 an hour in May 2025, compared with $33.54 nationally (Bureau of Labor Statistics, Occupational Employment and Wage Statistics, released July 10, 2026). At 40 hours a week, that works out to about $66,400 a year. A mean is pulled up by high earners, so many workers earn less. The legal floor is the federal minimum wage of $7.25 an hour, because Tennessee has no state minimum wage law (U.S. Department of Labor, July 2026). For pay by industry and the biggest employers, see our guide to the Nashville job market.

How much is rent in Nashville?

The median asking rent in Nashville is $1,613 for a 1-bedroom and $1,850 for a 2-bedroom (Zumper, October 20, 2026). Rents are roughly flat to down from a year ago, so movers have a little more room to compare and negotiate than they did a few years back.

Other trackers come up with different numbers because they measure different things. Depending on the source, a 1-bedroom runs between about $1,230 (Apartment List, October 2026) and $1,700 (RentCafe, September 2026). RentCafe only counts buildings with 50 or more units, which skews toward newer, pricier complexes. Apartment List uses a broader median that includes older stock.

Where you live matters more than any citywide average. RentCafe’s average rent for all unit sizes is $2,641 in Downtown and $2,346 in Midtown, but $1,829 in Wedgewood-Houston and $1,755 in The Nations (RentCafe, September 30, 2026). Our guide to Nashville neighborhoods for newcomers compares areas, and our guide to renting an apartment in Nashville covers applications, deposits and Tennessee tenant law.

Tennessee law sets no cap on security deposits and bans local rent control (Tennessee Code Annotated §§ 66-28-301 and 66-35-102, 2025 edition). Budget for a deposit and any fees on top of your first month’s rent.

What taxes do you pay in Nashville?

Is there a state income tax in Tennessee?

No. Tennessee does not tax wage income. Its only income tax, the Hall income tax on interest and dividends, was fully repealed beginning January 1, 2021 (Tennessee Department of Revenue). Nashville has no city income tax either. You still pay federal income tax and Social Security and Medicare taxes on your paycheck.

How much is sales tax in Nashville?

The combined sales tax on most purchases in Nashville is 9.75%: the 7% state rate plus a 2.75% Davidson County local rate (Tennessee Department of Revenue). The local rate rose to 2.75% on February 1, 2025, when the half-cent transit surcharge approved by voters in November 2024 took effect. That money funds the Choose How You Move transit plan.

Because sales tax replaces an income tax here, it shows up in almost every purchase. On $500 of taxable shopping, 9.75% adds $48.75.

How are groceries taxed?

Groceries are taxed at 6.75% in Nashville (4% state plus 2.75% local). Davidson County’s local grocery rate drops by half a cent on November 1, 2026 (Tennessee Department of Revenue). The lower grocery rate covers food and food ingredients. Prepared food, alcohol, candy and tobacco are taxed at the full rate.

How much is property tax if you buy a home?

Metro Nashville has two property tax rates (Metro Trustee, 2025 tax year rates):

  • Urban Services District (USD): $2.814 per $100 of assessed value. This covers the inner, more built-up part of the county that gets full city services.
  • General Services District (GSD): $2.782 per $100 of assessed value. This applies to the rest of Davidson County.

Homes are assessed at 25% of their appraised value. A home appraised at $400,000 has an assessed value of $100,000, so the yearly bill would be about $2,814 in the USD or $2,782 in the GSD (our calculation using the Trustee’s method). The Metro Council kept the rate the same when it passed the fiscal year 2027 budget in June 2026 (Nashville Scene, June 17, 2026). Renters don’t pay this directly, though it is part of what landlords charge.

Suburbs such as Franklin, Brentwood, Murfreesboro, Hendersonville, Smyrna and Mt. Juliet sit in other counties and set their own property tax rates. If you are comparing a Nashville apartment with one in the suburbs, check that county’s rates too.

How much are utilities in Nashville?

What does electricity cost?

Nashville Electric Service (NES) supplies power in Nashville. NES says an average home using 1,000 kWh a month pays about $142 a month (NES, September 2026 rates). The bill has a residential base rate of 9.254 cents per kWh (in effect since October 2024), a fuel cost adjustment that changes every month, and fixed monthly service and grid access charges. A smaller apartment will often use less than 1,000 kWh, and summer air conditioning can push usage higher. Check the current rates on the NES site before you sign a lease.

Who provides water?

Metro Water Services provides water and sewer service for most of Davidson County. Its residential and commercial rates rose 3% on January 1, 2026 (WSMV, citing Metro Water Services, January 1, 2026). We could not confirm a typical monthly water bill from Metro, so it is not in our budget below. Some leases include water and others bill it separately, so ask your landlord how water is charged and what a typical month runs.

Who provides natural gas?

Natural gas comes from Spire (formerly Piedmont Natural Gas). Spire completed its purchase of Piedmont’s Tennessee business and became the gas provider for its customers on March 31, 2026 (Spire, October 2026). Piedmont served more than 200,000 customers in and around Nashville (WSMV, June 1, 2026). For now, bills are still paid through Piedmont’s website, with a full move to Spire planned by summer 2027 (WSMV, June 1, 2026). Customer service is 800-752-7504. Not every apartment has gas, so check whether your unit’s heat, water heater or stove runs on gas or electric before you set up service.

How much is internet and phone service?

MIT budgets $1,939 a year, about $162 a month, for internet and mobile phone service combined for one adult in Davidson County (2026 data). Providers and speeds vary by building and street, and advertised prices change often. Enter your new address in the FCC National Broadband Map to see which providers serve it, then compare their current prices.

How much does getting around Nashville cost?

Transportation is the second-biggest cost in MIT’s budget: $8,507 a year, about $709 a month, for one adult in Davidson County (2026 data). Your cost depends a lot on whether you keep a car. Our post on whether you need a car in Nashville goes deeper.

What does it cost to own a car in Nashville?

  • Registration and wheel tax: $87 a year for a private passenger car with a renewal decal ($55 Metro wheel tax, called the Vehicle Regulatory Fee, plus $29 registration and $3 postage), or $91 with a new plate. Hybrids add $100 and fully electric cars add $200. Paying by card adds a 2% fee (Davidson County Clerk, February 2026).
  • Insurance: the median full-coverage rate in Nashville is $2,316 a year, about $193 a month, versus $2,134 statewide, for NerdWallet’s sample 35-year-old driver with a good record (NerdWallet, October 2026). Your own rate depends on your age, record, car and ZIP code.
  • Emissions testing: none. Davidson County’s vehicle inspection program ended February 5, 2022 (Metro Public Health Department).
  • Gas: pump prices change weekly. Check current Tennessee prices at AAA’s gas price page.

New residents need a Tennessee driver license within 30 days of establishing residency (Tennessee Department of Safety and Homeland Security). Register your car with the Davidson County Clerk soon after you move. The clerk’s office can answer questions at 615-862-6050.

What does a WeGo transit pass cost?

WeGo Public Transit runs Nashville’s buses. An adult full calendar month pass is $65, a full day is $4, and a 2-hour unlimited fare or single cash ride is $2 (WeGo, October 2026). Reduced fares are half price for riders 19 and under, seniors 65 and older, people with disabilities and Medicare cardholders with a WeGo Discount ID. You can pay with the QuickTicket app or card, or by tapping a contactless bank card or phone (American Express isn’t accepted). The bus to the airport, Route 18, costs the same $2.

A $65 monthly pass costs less than what NerdWallet’s median driver pays for insurance alone. Whether you can rely on the bus depends on where you live and work. Our guide to Nashville public transit covers routes, frequency and how fares work.

How much does food cost in Nashville?

MIT estimates food costs $4,814 a year for one adult in Davidson County, or about $401 a month (2026 data). It is a basic budget that leaves little room for eating out. Restaurant meals and prepared food are taxed at the full 9.75% rate, while groceries get the lower food rate. Cooking at home is one of the easiest ways to keep your food bill near MIT’s estimate.

How much does healthcare cost in Nashville?

MIT budgets $3,236 a year in medical costs for one adult in Davidson County, about $270 a month (2026 data). What you actually pay depends heavily on whether you have coverage through work.

If your employer offers a plan, ask for the employee share of the premium and the deductible before you accept a job offer. If you need your own plan, Tennessee uses the federal marketplace at HealthCare.gov, where you can compare plans and see whether you qualify for help with premiums. Nashville is a major healthcare city: Vanderbilt University Medical Center says it has nearly 40,000 staff (VUMC, fiscal 2023 figures), and HCA Healthcare is headquartered here.

What does a monthly budget look like for one person in Nashville?

The table below is an illustration, not a quote. We built it only from the sourced figures in this post for one adult renting a 1-bedroom. It leaves out water, gas, renter’s insurance, entertainment, savings, debt payments and taxes, so your real total will be higher.

Item (illustration only)Per monthSource
Rent, 1-bedroom (median asking)$1,613Zumper, October 2026
Electricity (NES average home, 1,000 kWh)$142NES, September 2026 rates
Food$401MIT Living Wage, 2026
Medical$270MIT Living Wage, 2026
Internet and mobile$162MIT Living Wage, 2026
WeGo full calendar month pass$65WeGo, October 2026
Total, car-free$2,653Sum of the rows above
Total, with MIT’s $709 transportation budget instead of a bus pass$3,297MIT Living Wage, 2026

If you keep a car, insurance alone runs about $193 a month at NerdWallet’s Nashville median, and registration with the wheel tax adds about $7 a month ($87 a year). Fuel, maintenance, parking and any car payment come on top of that.

The car-free total of $2,653 a month comes to about $31,800 a year. The car total of $3,297 comes to about $39,600 a year. Both sit under MIT’s after-tax figure of $43,652 because they leave out several of MIT’s categories. For moving costs, see our Moving to Nashville hub.

How can you lower your costs in Nashville?

  • Compare rents across sources and neighborhoods. With rents flat to down from last year, ask about move-in specials and compare a few buildings before you sign.
  • Think about going car-free or one-car. If you can live and work near a frequent WeGo route, a $65 pass costs far less than insurance, registration and gas.
  • Cook more, eat out less. Groceries carry a lower tax rate than restaurant meals.
  • Ask landlords about utilities. Find out whether water, trash or gas is included, billed separately or split among tenants.
  • Use free city resources. A Nashville Public Library card is free for Davidson County residents, and the Tennessee State Museum has free admission.

Frequently asked questions about the cost of living in Nashville

Is Nashville expensive to live in?

Nashville’s biggest cost is rent, at a median of $1,613 for a 1-bedroom (Zumper, October 2026). MIT puts the living wage for one adult in Davidson County at $51,243 a year before taxes. No state tax on wages helps offset a 9.75% sales tax.

What salary do you need to live in Nashville?

MIT says one adult with no children needs at least $24.64 an hour, or $51,243 a year before taxes, to cover basic costs in Davidson County (2026). That is a minimum, not a comfortable income. The metro area’s mean wage was $31.92 an hour in May 2025 (BLS).

Does Tennessee have a state income tax?

No. Tennessee does not tax wages, and the Hall tax on interest and dividends was fully repealed beginning January 1, 2021 (Tennessee Department of Revenue). The state relies mostly on sales tax instead.

How much is the electric bill in Nashville?

NES says an average home using 1,000 kWh pays about $142 a month at September 2026 rates. The fuel part of the bill changes monthly, and smaller apartments often use less power.

Sources

Go Big City Team
Author: Go Big City Team

More Nashville questions

Back to the Nashville guide →
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Next step: see the full Moving to Nashville guide for rent, costs, transit, weather, jobs and neighborhoods in one place.

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