Cost of Living in Melbourne

Are you moving to Melbourne, FL? Make sure you know the cost of living in Melbourne before calling it home! Let's dive into living costs, tax information, and average income when living in Melbourne. 

Melbourne is a city located in central Florida along the Indian River Lagoon and is a trending location due to its lower cost in living compared to other Florida cities, excellent schools, a close knit community, and clean and beautiful outdoor spots, including public beach accesses and parks. 

This city is known for its warm and welcoming feel, with a population of 85,064 residents primarily comprised of working professionals, families, and retirees. With its charming downtown area near the river full of resturants, theaters, and shops, as well as the Eau Gallie Arts District offering art galleries, live performances and classes, and colorful murals, there is always something exciting to do and see. 

Before moving to Melbourne, you should know the realities of the area and how much it will cost to live there. This article will help outline all of the expenses and real cost of living in Melbourne, FL. Read below to see what you need to budget before moving and how much your monthly bills might look like! 

Check out the cost of living in Melbourne! 

Cost of Living 

When moving to a new location, you want to be aware of not only the cost of your monthly mortgage or rent payments but also all of the other expenses that can add up, such as utilities, transportation, insurance, food, and more. You should also be aware of the annual income you should be receiving in order to live comfortably in the area you are moving to and what other residents are getting paid in order to budget correctly. 

The cost of living in Melbourne, FL, is much lower than other big cities in Florida and about 8.4% lower than the national average. The median home value in Melbourne is around $350k-$390k compared to the national average of $390k-$450k. But, living in Florida causes your home insurance to cost more as well as many homeowners choosing to purchase weather protection on top of their general insurance to protect their homes from tropical storms and other weather damages. So, when purchasing a home here, make sure to know what the general insurance is going to cover and if you need to purchase additional insurance to cover your assessts in case of natural disasters. 

Melbourne is a wonderful area to live and is much lower in cost compared to neighboring areas and the rest of the state, causing it to attract those wanting to live in the area but at a lower cost. Let's look at some of the median living costs in Melbourne, FL, compared to the national median costs. 

*denotes mean instead of median 

Income 

The median annual income for a Melbourne resident is around $55,543, just slightly above the national median income, with some wealthier individuals in the area pulling the median slightly higher. 

According to the U.S. Bureau of Labor Statistics (BLS), the unemployment rate for people over 16 years old living in Melbourne was 2.2% in December 2022, with the state of Florida at 2.5%. This is under the national average of 3.5%, meaning that most of the population living in Melbourne are employed. This reflects on the amount of work available in the area compared to residents, meaning that it is at a good ratio currently compared to the national average. 

Melbourne's average hourly wage is $26 an hour, while the minimum wage for the state of Florida is $11 an hour. But, although the median salary and average hourly rate in Melbourne is above the national average, the poverty rate is 13.7% meaning that 13.7 % of the population is currently living in poverty. 

Located near the Kennedy Space Center, Melbourne is a popular area for tech and aerospace employers and employees. Some of the most popular jobs here are in technology, space science, healthcare, manufacturing, and retail. With over 20% of residents having at least some college experience, the jobs here are considered to be more available but only to those in those fields of study or high-education status. 

Overall, the median salary in Melbourne is fairly close to the national median. So, as long as you can secure a job before or after moving, you should be able to live comfortably with a salary close to $55k annually. But that all depends on how you would like to live; read more about other expenses that you might not think about. 

Utilities 

When looking to buy or rent a new home, individuals oftentimes overlook the cost of utilities that factor into the total cost of monthly payments. The average cost of utilities in Melbourne is around $300 a month, depending upon your usage and size of home. 

Besides water, electricity, and heat, there are other expenditures that might cause you monthly utility bills to go up as well, such as Wifi, cable, trash removal, sewage, landscaping, and living community amenities. When choosing a home or apartment, you should consider if you want to live in a community where things are more accessible and included in your monthly bills but will cause the overall price to go up or live separately and be able to pick and choose what extra payments you would like to add. 

If you are a retiree looking at living in a retirement community, there is also additional expenditures for some of the services, activities, and other additions that they have available as well. So, before calculating what your monthly utilities might look like for your future home, consider some of these additions as well. 

Food 

According to the BLS the average spending on food at home in the U.S is $5,259 annually, or about $438 a month. In Melbourne, the average spending on food a month is around $500 a month, so only slightly above the national spenditure. 

When dinning outside, a typical mid-range meal at a restaurant in Melbourne costs a individual about $20 for a meal and at high-end resturants, around $50, not including any beverages. There are also many grocery stores to choose from in this city to cook at home, including some popular ones such as ALDI, Publix, and Winn-Dixie. 

Overall, the cost of food and beverages in Melbourne is similar to the national average and considered very affordable compared to other Florida cities. So, when moving here, your monthly food costs shouldn't change by much. 

Transportation

The current national cost of gas per gallon is around $3.45, with the Melbourne average being $3.60 per gallon. Most residents living in the city own their own vehicle, but there are also public transportation systems to help get you around as well. 

The most popular public transportation systems in Melbourne are the Space Coast Area Transit and the Brevard County Transit service. These bus and trolley routes can get you close to any destination within the city or neighboring areas at a fare of $1.50. 

Another aspect of traveling in Florida that you need to think about is its toll roads. In fact, Florida has more toll roads than any other state in the nation! Within the city of Melbourne, there are two toll roads; CityLink, which connects to Tullamarine Freeway, West Gate Freeway and Monash Freeway and Eastlink, which connects the Eastern Freeway, Monash Freeway, Frankston Freeway, and Peninsula Link Freeway. The cost of these tolls depends on how long you use them, but typically are around $15-$25. 

With Melbourne being a fairly smaller city, traffic is luckily not bad most hours of the day, but the cost of gas and tolls is still something to consider when looking at the cost of living here. 

Healthcare

In Florida, health insurance costs an average of $467 a month for an individual depending upon the type of insurance. Although many jobs have health insurance benefits and programs, many individuals must be self-inured or uninsured and pay the full cost for appointments, procedures, etc. 

The cost to see certain doctors and professionals depends on the state you are located and sometimes even the area. Lets take a look at the cost of estimated co-pays in Florida for uninsured individuals below for general visits before any procedures or medications. 

• Primary Care-$160
• Dental-$100-$300
• Vison-$100-$150
• Dermatology-$100-$150
• Physical Therapy-$75-$150
• Specialty Doctor-$155-$200
• Emergency Care-$2,000<

Taxes

The current national sales tax rate is between 4-7%. The current Florida sales tax rate is 6%, meaning its in the top percentile for the nation and that goods and services will potentially cost more than other states. 

But the sales tax isn't the only type of tax that you need to consider when moving to a new city and state; there is also property, income, capital gain, inheritance, and other taxes that you need to consider and factor into your annual costs. 

Let's take a look at Florida's tax rates and things to consider before moving here when it comes to taxes. 

If you are making a move:

• The average property tax rate in Melbourne is 0.87%
• Florida's corporate income tax is 5.5% 
• Florida does not tax capital gains as income 
• Florida does not charge inheritance tax 
• You must file a Florida estate tax return if the combined gross assets and prior taxable gifts exceed $11.4 million.

FAQ

Is it expensive to live in Melbourne, FL? 

The cost of living in Melbourne, FL, is close to the national average and is much lower in cost compared to other large Florida cities and neighboring areas. But, it depends on what type of home, lifestyle, and ammentites you are looking for that might make the area a bit more pricey. 

What salary do I need to live comfortably in Melbourne? 

The minimum wage in Florida is currently $11 an hour, and the median salary for individuals is $55,543. So, in order to make as much as the median population, you should aim to be making at least $55k a year. But this depends on your version of comfortably and what that looks like for you. So, if you would like ot live a bit more lavishley or be able to do some of the activities and enjoy some of the nicer resturants in the area, you might want to consider a bit higher of a salary before moving. 

What is the benefits of living in Melbourne? 

Melbourne is a charming and quiet city to live in Florida, with affordable housing options and great school districts. With not a overly high population you are able to enjoy the beaches, parks, and other enjoyable areas of the city without feeling cramped as well as live more affordably. 

Cost of Living in Melbourne, FL- Final Thoughts

Melbourne is a charming and vibrant town in central Florida, offering lots of fun and exciting things to do, wonderful restaurants, stunning beaches, lush outdoor recreational spaces, a colorful arts district, and wonderful schools. 

Hopefully, this article helped you to realize the realities of living here and the overall cost to be able to better budget or make the decision about a big move! 

If you want to make this beautiful oasis a permanent stay and purchase a home, make sure to contact us here so that we can connect you with one of our Realty Specialists.  No matter your budget, home preferences, and preferred neighborhood, we will work with you to find the perfect fit. 

For more information about moving, the best places to live, and things to do, make sure to refer to our other local area guides below! 

• Things to Do in Melbourne
• Moving to Florida
• Best Places to Live in Florida
• Moving to Orlando
• Best Neighborhoods in Orlando
• Cost of living Bonita Springs