What's the Average Income Needed to Live Comfortably in Hawaii's Major Cities?

Hawaii consistently ranks as America’s most expensive state across nearly every financial metric. If you’re considering moving there or already live in the islands, understanding the average income requirements becomes crucial. A recent analysis examining 14 of Hawaii’s largest cities reveals just how dramatically salaries need to vary depending on location, with comfortable living expenses ranging from around $120,000 to over $255,000 annually.

The study analyzed cities with populations exceeding 10,000, using data current as of 2024. The research employed the widely-recognized 50/30/20 budgeting rule—which suggests essential needs shouldn’t exceed 50% of household income—to determine realistic salary requirements for single individuals seeking comfortable living conditions.

Hawaii’s Real Cost-of-Living Landscape

The disparity in what average income earners need across Hawaii’s cities is striking. The most affordable options include Hilo, where a comfortable yearly salary of approximately $120,400 is needed, and Waianae at roughly $145,000. However, these represent the lower end of the spectrum.

Moving up the scale, cities like Wahiawa, Ewa Beach, and Kapolei cluster in the $170,000-$178,000 range. This already represents nearly double what’s needed in Hilo—a sobering reminder of Hawaii’s varied cost structures even within the same state.

The highest-income requirements concentrate in the islands’ most desirable locations: Kailua tops the list at $255,714 annually, followed by Kihei at $237,830 and Honolulu at $225,751. These figures reflect both elevated housing costs and the premium placed on island living in prime locations.

Breaking Down Average Income vs. Required Earnings

An interesting pattern emerges when comparing median household income to what residents actually need to earn comfortably. In many cities, the average income falls significantly short of what’s required for comfortable living.

For example, Honolulu residents earn a median household income of $82,772, but need $225,751 to live comfortably—a gap of nearly $143,000. Similarly, in Kailua, the median household income stands at $138,363, while comfortable living demands $255,714.

Some cities show a narrower gap: Ewa Beach has a median income of $114,207 versus a required salary of $176,593, while Kapolei’s median sits at $121,768 against a needed $178,410. Yet even in these relatively higher-income areas, residents typically need to earn 40-50% more than current average income levels.

Methodology Behind the Numbers

This analysis from GOBankingRates synthesized multiple authoritative data sources. Population and income figures came from the U.S. Census American Community Survey, while cost-of-living indexes were sourced from Sperling’s BestPlaces. Housing values utilized Zillow’s Home Value Index, and livability data came from AreaVibes.

The calculation methodology combined Census Bureau expenditure data with local cost-of-living adjustments to determine average expenses for a single person in each city. Mortgage calculations assumed a 10% down payment using the Federal Reserve’s average 30-year fixed-rate mortgage data. By doubling the total cost of living (per the 50/30/20 rule), researchers determined the income needed to comfortably afford both necessities and discretionary spending while maintaining emergency savings.

Why Hawaii’s Average Income Requirements Matter

Understanding these figures helps potential residents make informed decisions. The average income someone currently earns may feel comfortable in many states, but Hawaii’s economic reality demands significantly higher earnings for the same lifestyle.

Whether you’re single or supporting dependents, whether you own or rent, these baseline numbers reveal why Hawaii ranks consistently as one of America’s most challenging states for financial planning. Yet knowing exactly what average income is required—whether $120,000 or $255,000—allows prospective residents to evaluate their own financial readiness and choose locations that align with their earning potential.

The data underscores a fundamental truth: Hawaii’s beauty and lifestyle come with substantial financial requirements that extend well beyond typical American cost-of-living expectations.