50 states · NM

New Mexico cost of living & income (2026)

Quick answer: New Mexico has a cost-of-living index of 89.9 (100 = national baseline), an illustrative estimated annual cost of living of about $44,950, median household income of $67,816, combined average sales tax about 7.66%, and regular gas about $3.935/gal in the June 2026 AAA snapshot used on the hub.

COL index89.9100 = US baseline

Est. annual COL$44,950

Median HH income$67,816

Sales tax (comb.)7.66%

Gas (87 octane)$3.935/galJune 2026 AAA

Largest cityAlbuquerque (560,274)

Taxes & economy

Income tax: Graduated up to 5.9%

Sales tax: 5.125% state (combined avg. ~7.66%)

Major industries: Energy (oil/gas/renewables), tourism, government/military, agriculture, film

Climate snapshot

Summer high ~92°F (July, Albuquerque area) · Winter low ~22°F (January)

Culture (context)

Georgia O’Keeffe Museum (Santa Fe) / Indian Pueblo Cultural Center

New Mexico State Fair (Albuquerque)
Santa Fe Indian Market — major Native American cultural & art event

Open the interactive 50-state map & table — sort, filter, and use the dual ranker on the full explorer.

What this means for you

What this means for you: a basket priced at 100 on the national baseline is indexed at 89.9 in New Mexico. A salary that buys that basket at the baseline would need about 89.9% of that salary to buy the same basket here. That is index math from this snapshot, not a tax-equalized offer and not your rent.

Compare a salary: New Mexico vs Texas on the explorer.

How to read this page

Read the quick answer for New Mexico's cost-of-living index, estimated annual cost, median income, sales tax, and gas price.
Open the 50-state explorer and compare New Mexico with another state. The salary line multiplies pay by the other index divided by this index.
Use the mortgage, rent, and paycheck calculators with your own numbers. This page does not compute a tax return.

Related calculators: mortgage · rent · paycheck.

Related states

Similar cost-of-living index in this dataset:

Georgia — COL 90.6 (Δ 0.7 index pts)
North Dakota — COL 90.7 (Δ 0.8 index pts)
Texas — COL 90.7 (Δ 0.8 index pts)

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FAQ

What is New Mexico's cost of living index?

New Mexico's cost-of-living index is 89.9 (national baseline 100) in this 2026 classroom snapshot.

What is the estimated annual cost of living in New Mexico?

The explorer lists an illustrative estimated annual cost of living of about $44,950 for New Mexico.

What is median household income in New Mexico?

Median household income in New Mexico is $67,816 in this dataset.

What is the combined average sales tax rate in New Mexico?

The combined average sales tax rate shown for New Mexico is 7.66%. State and local rules vary; see the Tax Foundation citation on the hub.

Does New Mexico have a state income tax?

State income tax in New Mexico: Graduated up to 5.9%.

What was regular gas in New Mexico in this snapshot?

87-octane gas is listed at $3.935 per gallon (AAA, June 2026) in the explorer data.

How should a household read New Mexico's cost-of-living index?

The index is 89.9 against a US baseline of 100. A salary that buys a basket at the baseline would need about 89.9% of that salary to buy the same basket in New Mexico in this snapshot. It is not a tax bill, a rent quote, or financial advice.

Sources: Tax Foundation (sales tax), BEA / ACS (income & COL), AAA gas (June 20, 2026). Educational, not financial, tax, or relocation advice.