Overall
Diff -5.7 RPP
Merced vs Waco
Cost of living comparison based on BEA Regional Price Parities. Waco is 5.8% less expensive than Merced.
5.8% less expensive
Waco, TX is 5.8% less expensive than Merced, CA on BEA Regional Price Parities (overall RPP 92.5 vs 98.3). A $100,000 salary in Merced buys about the same as $94,175 in Waco; the largest component gap is services.
- Overall RPP 98.3 (Merced) vs 92.5 (Waco)
- $100k in Merced ≈ $94,175 purchasing power in Waco
- Services drives the gap (-77.4 RPP points)
RPP parity plate
Pair CA:TX 98.3→92.5
TIER-NEAR · CROSS-STATE · SPLIT-BUDGET · BOTH-BELOW · PP-SHIFT
- TIER-NEAR Near tier
- CROSS-STATE CA × TX
- SPLIT-BUDGET Split budget
- BOTH-BELOW Both below 100
- PP-SHIFT PP shift
Instrument codes from this pair's BEA Regional Price Parities (overall · goods · services · rents · national benchmark 100 · purchasing-power conversion), not a ranking or recommendation.
Category Breakdown
Goods
Diff -11.4 RPP
Services
Diff -77.4 RPP
Rents
Diff +4.9 RPP
| Category | Merced | Waco | Difference |
|---|---|---|---|
| Overall | 98.3 | 92.5 | -5.7 |
| Goods | 105.2 | 93.8 | -11.4 |
| Services | 158.3 | 81.0 | -77.4 |
| Rents | 78.6 | 83.5 | +4.9 |
Visual Comparison
Overall
Merced 98.3
Waco 92.5
Goods
Merced 105.2
Waco 93.8
Services
Merced 158.3
Waco 81.0
Rents
Merced 78.6
Waco 83.5
Vertical line = national average (100)
What This Comparison Actually Tells You
Services creates the largest separation: Waco is 77.4 points lower. But rents move against the overall direction, so this is a split budget rather than a clean across-the-board winner.
Waco, TX is 5.8% less expensive than Merced, CA, a meaningful but not extreme shift. The move decision turns on which budget category creates the 5.7-point overall gap.
Both metros remain below the U.S. benchmark of 100. This comparison chooses between two below-average price levels; “more expensive” here does not mean nationally expensive.
Comparable population context is incomplete for this pair, so no market-scale explanation is inferred from the price indexes.
For a service-heavy household, test childcare, health, and other locally supplied costs before relying on rent alone. The BEA ratio converts $100,000 in Merced to $94,175 in Waco, but it is not a personal spending weight.
Merced
98.3
Cost Index
Waco
92.5
Cost Index
Salary Equivalents
What a salary in Merced would need to be in Waco for the same purchasing power:
| In Merced | In Waco | Difference |
|---|---|---|
| $50,000 | $47,087 | $-2,913 |
| $75,000 | $70,631 | $-4,369 |
| $100,000 | $94,175 | $-5,825 |
| $150,000 | $141,262 | $-8,738 |
$ in Merced = in Waco
Same BEA Regional Price Parity ratio as the table above (98.3 → 92.5), computed live from your number, nothing is sent anywhere.
Frequently Asked Questions
Is Waco more expensive than Merced?
Waco is 5.8% less expensive than Merced. The overall cost index is 92.5 vs 98.3 (national average = 100).
What salary in Waco equals $100K in Merced?
A $100,000 salary in Merced has the same purchasing power as $94,175 in Waco. This is based on the BEA Regional Price Parity indexes.
How do rents compare between Merced and Waco?
Rents in Merced are indexed at 78.6 while Waco is at 83.5 (national average = 100). Waco has higher rents.
Data sources
- BEA Regional Price Parities (RPP), the cost-of-living indices shown on this page
- U.S. Census Bureau, American Community Survey (ACS), gross-rent observations behind the rents component
- BLS Consumer Price Index (CPI), goods and services price relatives
- BLS Occupational Employment and Wage Statistics (OEWS), labor-driven services component
- HUD Fair Market Rents (FMR), 40th-percentile rent cross-reference
Every figure on PlainCost is rendered directly from BEA Regional Price Parity source data, no number is typed in by an editor. See our editorial standards & corrections policy, the methodology behind these numbers, our changelog, or report a data error. Data current as of 2026-08-11. Rankings measure the published cost-of-living index only; we don't recommend where to live or rate any metro's quality of life.