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Previous higher education research has revealed inconsistencies between estimated student living costs in institutions’ Cost of Attendance and local living costs. Given the variation associated with these living costs, institutional factors may underpin some students’ financial struggles. This research employed multilevel modeling to explore the relationship between local living allocation mismatches and adequacy, measured with a poverty-based indicator, and institutional retention at public two- and four-year colleges and universities. Preliminary findings suggest that full-time student retention rates at four-year institutions may exhibit a curvilinear relationship with estimated off-campus living allocations, after controlling for relevant institutional and state factors. Further model refinements are recommended to enhance the model and assess additional contributing factors.