REVEALED: The most expensive US state for a family of four to get by - and it's NOT California or New York

New data has revealed the most expensive state for a family of four to get by - and it is not California or New York. 

In Massachusetts, a family of four needs to earn a salary of at least $150,578 to cover their basic needs, according to a new study from SmartAsset, which is largely due to soaring housing and childcare costs in the state. 

Hawaii is the second most expensive state for families, followed by Connecticut in third place. 

New York comes in fourth, while California is the fifth most expensive state for a family to make ends meet, it found. 

The analysis lays bare how stubborn inflation and rising costs are eroding families' purchasing power across the country. 

The study examined cost estimates for housing, food, medical care, transportation and childcare across all 50 states. 

The cost of these basics can vary significantly based on local job and housing markets, city infrastructure and legislation - and even social and cultural influences. 

SmartAsset found that while supporting a larger household generally increases overall costs, thanks to economies of scale, the cost per child decreases when there is more than one child in a family. 

The study found that Massachusetts is the most expensive state for two working parents with two children to make ends meet. 

Housing in Massachusetts is notoriously unaffordable, amid a punishing property shortage across the state - particularly in Boston. 

Three-quarters of new homebuyers and 83 percent of new renters in the state said they faced challenges searching for a place to live, according to a University of Massachusetts survey earlier this month.

Another key reasons that the state is at the top of the ranking is because of the soaring cost of childcare. 

According to SmartAsset, childcare will set parents back an average of $21,500 per child per year.

If one parent stays home to care for the kids, families can potentially save a significant amount on childcare and other expenses - but this means they will also miss out on valuable income. 

The study estimates that one parent staying at home to care for a child typically saves about $11,000 per child per year. 

Covering basic needs for a family of four in Hawaii needs an average household salary of $147,319 - making it the second most expensive state on the list. 

Housing is the main factor which is driving up the cost of living in the state, as strong demand, a shortage of housing and land-use and zoning regulations have pushed up prices. 

A University of Hawaii report in March found the median price of a new two-bedroom condo in Hawaii is $672,000 - which is more than twice the average across America of $300,000.

Third on the SmartAsset ranking is Connecticut, where a family of four needs a salary of $139,924 to get by. 

Alongside housing costs, which are among the highest in the US, Connecticut residents also face above average state and local taxes.

According to WalletHub, the total tax burden - the proportion of total income that residents pay toward state and local taxes - in Connecticut is just over 10 percent for 2024. This includes property tax, income tax and sales tax.

High taxes are also a key driver of the cost of basic necessities in New York, where a family of four with two working parents need a salary of $139,504 to get by, according to SmartAsset. 

While the cost of housing, groceries and transportation is notoriously high in New York City, residents across the state also face a significant tax burden compared to other parts of the country. 

New York has the highest tax burden, at 12.02 percent in 2024, according to WalletHub. 

California, meanwhile, ranked as the fifth most expensive state in terms of basic costs for a family of four. 

To get by in the Golden State, parents must collectively earn a salary of at least $138,357, the study found. 

Again, much attention has been paid to soaring house prices in major cities such as Los Angeles, San Francisco and San Diego. 

Childcare in the state is also among the most expensive in the country. The average annual cost of sending a toddler to day care in California is $13,408, according to a report from charity the Annie E. Casey Foundation. 

While New York and California are both among the most expensive states in the US for families to live in, both are large states with significant populations outside of the affluent cities, which pushes them down slightly in the ranking. 

On the other end of the spectrum, Mississippi has the lowest income threshold needed to cover basic needs - at $88,895 - SmartAsset found.