Cost of Living in Waterloo-Cedar Falls, IA

How far does a $70,000 salary go in Waterloo-Cedar Falls? Estimated income taxes on that gross salary total approximately $10,932 per year — combining federal taxes with Iowa's state income tax. Subtract rent for a 2-bedroom apartment ($1,051/month based on HUD Fair Market Rents for the Waterloo-Cedar Falls metro area) and the estimated annual take-home is $46,456, or roughly $3,871 per month for everything else: food, transportation, savings, and discretionary spending.

The Waterloo-Cedar Falls metro has a cost of living index of 62.2 according to the Bureau of Economic Analysis Regional Price Parities (national average = 100). At 38% below the national average, Waterloo-Cedar Falls is a genuinely affordable metro where everyday expenses stretch further than in most cities.

At a $70,000 salary, the estimated 2-bedroom rent in Waterloo-Cedar Falls represents approximately 18% of gross income. That is well within the 30% rule of thumb that financial advisors typically recommend, leaving significant room for savings and discretionary spending.