Minnesota’s Iron Range Has Low Cost of Living
Northeast Minnesota, home to the Iron Range is an affordable place to live. The Minnesota Department of Employment and Economic Development (DEED) provides data on the costs of basic needs by family type for counties and regions. These data show that Northeast Minnesota as well as Itasca and St. Louis counties – the two counties encompassing the bulk of the Mesabi Range – have lower costs of living than the rest of the state.
| Family Type | Area | Yearly Cost | Hourly Wage Required | Child Care | Food | Healthcare | Housing | Transportation | Other | Taxes |
| Single, No Children | Itasca County | $28,932 | $13.91 | $0 | $330 | $166 | $586 | $743 | $257 | $329 |
| St. Louis County | $28,860 | $13.88 | $0 | $330 | $166 | $676 | $633 | $282 | $318 | |
| Northeast Minnesota | $28,860 | $13.88 | $0 | $330 | $166 | $650 | $663 | $275 | $321 | |
| Minnesota | $31,392 | $15.09 | $0 | $336 | $157 | $798 | $653 | $318 | $354 | |
| Typical Family: 2 Adults (1 Full-Time, 1 Part-Time Worker), 1 Child |
Itasca County | $50,256 | $16.11 | $255 | $754 | $659 | $790 | $867 | $433 | $430 |
| St. Louis County | $51,084 | $16.37 | $320 | $756 | $659 | $887 | $730 | $460 | $445 | |
| Northeast Minnesota | $50,784 | $16.28 | $307 | $755 | $659 | $854 | $767 | $451 | $439 | |
| Minnesota | $56,772 | $18.20 | $516 | $769 | $593 | $1,033 | $755 | $505 | $560 | |
| Source: DEED Cost of Living Tool | ||||||||||
The monthly cost of child care for family of two working adults with one child in the Northeast region is more than 40% lower than the statewide estimate. Similarly, monthly housing costs for single adults are just over 80% that of all single Minnesotans and just under 83% for typical families. Taxes, food, and other costs are also typically lower in and around the Range (see Table 1).
Wage Data for Northeast Minnesota, 2018-2019
| Area | 2019 Median Hourly Wage | 2018 Annual Median Family Income | |||||||
| Itasca County | n/a | $64,995 | |||||||
| St. Louis County | n/a | $73,066 | |||||||
| Northeast Minnesota | $18.57 | $70,368 | |||||||
| Minnesota | $20.95 | $86,204 | |||||||
| Source: DEED Cost of Living Tool, U.S. Census American Community Survey 2014-2018 5-Year Estimates | |||||||||
Typical wages earned by workers further highlight the region’s affordability. In 2019, the median worker in Northeast Minnesota earned a wage of $18.57 an hour or $38,522 a year. This wage equates to almost $10,000 a year more than the yearly basic-needs cost of living for a single adult residing in the area. This gap is even greater when looking at family income. The typical family in Northeast Minnesota can cover the estimate costs of their basic needs with about $20,000 to spare (see Table 2). These wages allow residents of Northeast Minnesota to take full advantage of lower costs of living.