For many people on the mainland, Hawaii represents the ultimate island lifestyle: beautiful beaches, warm weather, outdoor recreation and a culture unlike anywhere else in the United States. But there’s a big difference between visiting Hawaii and actually living there.
One of the biggest questions people have when considering a move to the islands is simple: Can I really afford to live in Hawaii?
The answer isn’t as straightforward as some of the myths suggest.
Hawaii is expensive. In fact, current cost-of-living data consistently ranks it as the most expensive state in the country. But that doesn’t mean you have to be wealthy to live there, nor does it mean every expense is dramatically higher than it would be on the mainland.
Understanding what is actually expensive—and why—can help you make a much more informed decision about moving to Hawaii.
Myth: You Have to Be Wealthy to Live in Hawaii
Fact: Hawaii is expensive, but people with a wide range of incomes live there.
Hawaii’s cost of living is unquestionably high. The latest MERIC cost-of-living data places Hawaii’s overall index at about 84% above the national average, making it the most expensive state in the country. Housing is one of the biggest reasons for that difference.
But an expensive state isn’t necessarily an impossible place to live.
Millions of people have made Hawaii their permanent home, working in industries ranging from healthcare and education to tourism, construction, government, technology and professional services.
The more important question isn’t simply whether Hawaii is expensive. It’s whether your income, housing situation and lifestyle fit the particular community where you want to live.
A family living on Oahu will have a different budget from someone living on Hawaii Island. A homeowner will have different expenses from a renter. And someone who works remotely may have different options from someone looking for a job after arriving.
Myth: Everything in Hawaii Costs Almost Twice as Much
Fact: Some things are dramatically more expensive, while other expenses may be much closer to mainland prices.
It’s tempting to hear that Hawaii is one of the most expensive places in the country and assume that every item on a grocery receipt costs twice as much.
That’s not necessarily the case.
Housing is one of the largest contributors to Hawaii’s high overall cost of living. Transportation, utilities and many consumer goods can also cost more than comparable expenses on the mainland.
But the difference varies by product, location and household.
Hawaii’s geographic isolation is a major factor. Many goods consumed in the islands must travel long distances by ocean or air before reaching consumers. Limited land and housing supply also put upward pressure on real estate prices.
At the same time, Hawaii produces some of its own agricultural products, and many national retailers operate in the state. You aren’t moving to an island where basic household necessities simply don’t exist.
You may pay more for them, however, and you’ll have fewer choices in some categories than you might find in a large mainland metropolitan area.
Myth: Hawaii Doesn’t Have Normal Stores or Products
Fact: You can find most of the things you need—but selection can vary.
The idea that you’ll have to give up your favorite mainland brands when you move to Hawaii is exaggerated.
Major national retailers, grocery chains and other familiar businesses operate throughout the islands. You can buy everyday household products, clothing, electronics, furniture and groceries just as you would elsewhere in the United States.
The difference is often selection and price.
A mainland city may have several competing stores within a few miles. On an island, your choices may be more limited. Some specialty products may cost more or take longer to obtain.
That’s one reason it is worth thinking carefully about what you take with you when you move.
If you already own quality furniture, appliances or other household goods that you want to keep, shipping them may make more financial sense than selling everything and replacing it after you arrive.
Myth: You Can’t Afford to Own a Home in Hawaii
Fact: Buying a home is challenging, but it isn’t impossible for everyone.
This is one of the myths with a significant amount of truth behind it.
Hawaii has some of the highest housing costs in the United States. Recent data puts the state’s median home value at roughly $876,000, with Hawaii’s housing cost index approximately three times the national average.
That makes homeownership considerably more difficult for many households than it is in lower-cost parts of the mainland.
However, Hawaii isn’t one single housing market.
Prices vary significantly by island, community, property type and neighborhood. Oahu’s market is different from Maui’s, which is different from Hawaii Island or Kauai.
If you’re considering a move, don’t stop at a statewide median. Research the actual community where you expect to live, including home prices, rents, property taxes, insurance, utilities and commuting costs.
Myth: Everyone in Hawaii Lives at a Resort
Fact: Most residents live ordinary lives—with an extraordinary backdrop.
Visitors experience Hawaii through hotels, resorts, beaches and tourist attractions. Residents experience it very differently.
People go to work. Children attend school. Families shop for groceries, commute, pay utility bills, maintain homes and deal with all the ordinary responsibilities of everyday life.
The difference is that those everyday routines take place in a state with a unique geography, climate and culture.
That distinction is important when deciding whether Hawaii is right for you. If you’re considering moving there, think less about what your vacation looked like and more about what your Tuesday morning will look like.
Where will you work? Where will your children attend school? How long will your commute be? Where will you shop? What kind of home can you afford?
Those questions will tell you much more about whether Hawaii is a good fit than a vacation itinerary will.
Myth: Hawaii’s High Cost of Living Is Only About Shipping
Fact: Shipping is part of the story, but it isn’t the whole story.
Hawaii’s location in the middle of the Pacific creates genuine logistical challenges.
Many products must be transported long distances to reach consumers, and that transportation cost can affect prices. The state’s limited land area also affects housing, commercial development and agriculture.
But Hawaii’s cost of living isn’t explained by shipping alone.
Housing supply and demand, land availability, wages, utilities, transportation and the state’s geographic isolation all contribute.
In other words, you shouldn’t assume that every product in Hawaii is expensive simply because it had to be shipped there.
Myth: Hawaii’s Taxes Make Everything More Expensive
Fact: Hawaii’s tax system is different, but the tax picture is more complicated than a simple “sales tax.”
Hawaii doesn’t have a traditional mainland-style retail sales tax. Instead, the state uses a General Excise Tax (GET) that is imposed on businesses for the privilege of conducting business in Hawaii.
Businesses may pass some or all of that cost along to customers, which means consumers can see GET reflected in the prices they pay.
The exact rate and treatment can vary depending on the location and transaction, so the old idea that Hawaii simply adds a flat “4% sales tax” to everything is an oversimplification.
Taxes are certainly part of the overall cost of living, but they shouldn’t be considered in isolation from housing, wages and other household expenses.
Myth: Hawaii Is Only for Retirees and Wealthy Vacationers
Fact: Hawaii is home to working families, young professionals, military members, retirees and people from all kinds of backgrounds.
Hawaii’s economy supports a broad range of occupations and industries.
The state’s minimum wage is now $16 per hour, effective January 1, 2026, with another scheduled increase to $18 per hour in 2028.
Of course, a minimum wage income is not the same thing as a comfortable household income in a high-cost state. Housing costs in particular can make affordability difficult.
That’s why anyone considering a move should research employment opportunities and expected wages before making the move.
If you’re relocating because of a job, compare your new salary with the actual cost of living in your destination community—not simply with what you currently earn.
Myth: You Have to Leave Everything Behind When You Move to Hawaii
Fact: Bringing your household goods with you may make more sense than replacing everything.
Moving to Hawaii requires more planning than a typical interstate move because your belongings have to travel across the Pacific.
That doesn’t mean you should automatically sell everything before you go.
Consider the value of your furniture, appliances, clothing and other household goods compared with the cost of replacing them after you arrive.
A professional mover experienced with Hawaii transportation can help you determine what makes sense to ship and what might be better to sell, donate or replace.
The same decision applies to your vehicle. Depending on your circumstances, shipping a car to Hawaii may make sense; in other situations, selling it on the mainland and purchasing another vehicle after you arrive may be the better choice.
So, Is Hawaii Really Too Expensive?
For some people, yes.
For others, no.
The important thing is to look beyond the stereotype.
Hawaii is currently the most expensive state in the country by broad cost-of-living measures, and housing is a particularly significant challenge. But the cost of living varies by island and community, and households have different needs and priorities.
If you are thinking about moving to Hawaii, start by creating a realistic budget based on the specific place where you want to live.
Research housing. Look at local wages. Estimate utilities, transportation, groceries, insurance and healthcare. Consider whether you will ship your household goods or replace some of them after arrival.
And don’t forget the cost of the move itself.
Moving to Hawaii Requires More Planning Than a Typical Move
Unlike a mainland-to-mainland move, you can’t simply load your belongings into a truck and drive to your new home. Your household goods must travel across the Pacific, and your vehicle may need to be transported separately.
That’s why choosing a moving company familiar with Hawaii transportation can make a significant difference.
Compass Moving has experience coordinating moves to and from Hawaii and can help you understand the logistics involved in getting your household goods, along with your vehicle, from the mainland to your new island home.
Thinking about moving to Hawaii? Contact Compass Moving to discuss your move and get started with a plan.