{"id":2707,"date":"2021-04-30T14:09:53","date_gmt":"2021-04-30T19:09:53","guid":{"rendered":"https:\/\/www.accrediteddebtrelief.com\/blog\/?p=2173"},"modified":"2026-01-12T17:47:43","modified_gmt":"2026-01-12T23:47:43","slug":"the-cost-of-living-around-the-world-in-2021","status":"publish","type":"post","link":"https:\/\/www.accrediteddebtrelief.com\/blog\/the-cost-of-living-around-the-world-in-2021\/","title":{"rendered":"The Cost of Living Around the World in 2021"},"content":{"rendered":"\n

Have you ever thought about moving to a different country? Or maybe you are wondering how far a US dollar will go on your next international vacation. Even if you are just a curious mental traveler, you\u2019ll be fascinated to learn which countries ended up on the list of Top 20 most expensive countries to live in 2021. <\/p>\n\n\n\n\n\n\n\n

To help you learn more about the world\u2019s most expensive places, we examined the cost of living in 138 different countries worldwide and featured interviews from recent expats. <\/p>\n\n\n\n

The Cost of Living Index<\/h2>\n\n\n\n

Cost of living refers to the price of everyday goods and services required to live a particular lifestyle.<\/p>\n\n\n\n

Data scientists at Numbeo<\/a> determined the cost of living index by examining the purchasing power of money in a particular location. They evaluated consumer goods prices, including groceries, restaurants, transportation, and utilities. Then they compared data from each country to New York City, which was given a baseline index of 100. <\/p>\n\n\n\n

For example, if a country has a Cost of living Index of 145, it means Numbeo has estimated it is 45% more expensive than New York City. If it has an index of 80 (20 points less than 100), it is 20% less expensive than New York City.<\/p>\n\n\n\n

\"Cost<\/a>
Tap the map to view in full size<\/figcaption><\/figure>\n\n\n\n

Other Cost of Living Indices <\/em><\/strong><\/p>\n\n\n\n

The cost of living can be examined in a few different ways. We are focusing on the primary cost of living index, which does not include rent. However, Numbeo gathers data for six different categories, including:<\/em><\/p>\n\n\n\n

Cost of living:<\/em><\/strong> all consumer goods and services except rent <\/em>
Cost of living, plus rent:<\/em><\/strong> cost of goods, service, and rent<\/em>
Rent index:<\/em><\/strong> rent costs only<\/em>
Grocery index:<\/em><\/strong> grocery costs only<\/em>
Restaurant price index:<\/em><\/strong> restaurant costs only<\/em>
Local purchasing power: <\/em><\/strong>relative purchasing power in buying goods and services in a given country for its average net salary.<\/em><\/p>\n\n\n\n

20 Most Expensive Countries<\/h2>\n\n\n\n
\"\"<\/a>
Tap to view in full size<\/figcaption><\/figure>\n\n\n\n

9 of 20 of the most expensive countries in the world are in Europe. Still, all continents are represented on the list, with 1 in Africa (Seychelles), 2 in Oceania (Australia and New Zealand), 2 in North America (Barbados and Bermuda), and 5 in Asia (Hong Kong, South Korea, Singapore, Israel and Japan.)<\/p>\n\n\n\n

The Most Expensive Country<\/strong><\/h2>\n\n\n\n

The most expensive country in 2021 is Bermuda; a British island territory made up of 181 islands in the North Atlantic Ocean. Bermuda is known for its pink sand beaches and subtropical climate. The cost of living is notoriously high in Bermuda because of high import duties and its remote location. <\/p>\n\n\n\n

The number one industry in Bermuda is tourism, and nearly 80% of all the food and 60% of consumer goods on the island are imported from other countries. Before COVID-19, Bermuda welcomed 600,000 tourists every year. The island is home to 65,000 full-time residents. Around 20% of the people who live and work in Bermuda are expatriates. <\/p>\n\n\n\n

Bermuda<\/strong>
Capital: Hamilton<\/a>
Largest City: St. George<\/a>
Population: 63,918 (2019)
GDP: 7.48 Billion (USD, 2019)
Source: World Bank<\/a><\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n

20 Least Expensive Countries<\/h2>\n\n\n\n
\"\"<\/a>
Tap to view in full size<\/figcaption><\/figure>\n\n\n\n

The Least Expensive Country <\/strong><\/h2>\n\n\n\n

Pakistan is the least expensive place to live, work and visit in the world. Despite the low cost of living and safety concerns, visitors to Pakistan often report on the country\u2019s extraordinary hospitality. Foreign travelers note how frequently they are given gifts<\/a> and how generously they are received by locals.<\/p>\n\n\n\n

Many governments strongly advise against traveling to Pakistan due to the history of terrorist activity in the country, which peaked between 2008 and 2010. The country has stabilized considerably<\/a> and seen a dramatic decline in the number of terrorist attacks, yet safety concerns remain. <\/p>\n\n\n\n

Pakistan<\/strong>
Capital: Islamabad<\/a>
Largest City: Karachi<\/a>
Population: 216.6 million (2019)
GDP: 1.076 trillion (USD, 2020)
Source: www.pakistan.gov.pk<\/a><\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n

Most Expensive Cities By World Region<\/h2>\n\n\n\n
\"\"<\/a>
Tap to view in full size<\/figcaption><\/figure>\n\n\n\n

Top 5 Most Expensive Cities in North America<\/h2>\n\n\n\n

New York City, which is widely used as a baseline for cost of living models, is the second most expensive city in North America. Hamilton, Bermuda maintains a significant lead ahead of the rest with a cost of living index 46% higher than New York City.<\/p>\n\n\n\n

Rank<\/td>Most Expensive Cities in North America<\/td>Score<\/td><\/tr>
#1<\/td>Hamilton, Bermuda<\/td>146.33<\/td><\/tr>
#2<\/td>New York, NY, United States<\/td>100.00<\/td><\/tr>
#3<\/td>Honolulu, HI, United States<\/td>95.92<\/td><\/tr>
#4<\/td>San Francisco, CA, United States<\/td>93.35<\/td><\/tr>
#5<\/td>Anchorage, AK, United States<\/td>92.21<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n

One person we spoke to is no stranger to adjusting to a higher cost of living. She moved from Denver, CO, to San Francisco in 2016. In San Francisco, the cost of living plus rent is 65.24% higher<\/a> than in Denver.<\/p>\n\n\n\n

\u201cI ended up selling my car and only renting (car sharing) when I needed it. This saved me a lot of money, but I could no longer be spontaneous with car\/road trips. Because salaries in San Francisco are still high for my industry, I could afford to live alone.\u201d<\/em><\/p>\n\n\n\n

She stayed in San Francisco for a year and a half before relocating again to Dublin, Ireland. After a few years in Dublin, she moved again to Amsterdam in the Netherlands, where she currently lives.<\/p>\n\n\n\n

To adjust to new costs of living, she planned ahead by using Numbeo\u2019s cost of living calculator. However, she warns against stopping your research there. When moving cities or countries, it\u2019s important to dive deeper into local research, which will give you more specific information. <\/p>\n\n\n\n

\u201cFor example, when moving to the Netherlands, I visited <\/em>funda.nl<\/em><\/a> to view apartments in the areas I would want to live and see the prices to confirm. This is because Numbeo.com uses averages and is not tailored to your specific tastes and interests.\u201d<\/em><\/p>\n\n\n\n

Top 5 Most Expensive Cities in Central America<\/h2>\n\n\n\n

Even the most expensive cities in Central America are more than 40% cheaper than living in New York City.<\/p>\n\n\n\n

Rank<\/td>Most Expensive Cities in Central America<\/td>Score<\/td><\/tr>
#1<\/td>Panama City, Panama<\/td>58.57<\/td><\/tr>
#2<\/td>San Jose, Costa Rica<\/td>52.08<\/td><\/tr>
#3<\/td>San Salvador, El Salvador<\/td>46.75<\/td><\/tr>
#4<\/td>Guatemala City, Guatemala<\/td>46.22<\/td><\/tr>
#5<\/td>Mexico City, Mexico<\/td>40.52<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n

For Coretta Lewis of It\u2019s a Family Thing<\/a>, leaving the US and moving to Mexico helped her family cut their living cost by more than half. <\/p>\n\n\n\n

\u201cMy family left California before the pandemic and ended up in Ohio. After I lost my job, we then decided to move to Playa Del Carmen and live on $1,000 a month over the last six months. In San Diego, we spent nearly $2,100 a month on expenses, compared to the $800 we spend now. We’re about to save 75% of our income while having a better quality of life.\u201d<\/em><\/p>\n\n\n\n

For Coretta, the benefits have been significant. She was able to enroll her son in a Dual language preschool which would have been out of their budget in the US. \u201cHe goes six hours per day five days a week for less than $200 a month. We weren’t able to send him to preschool in California due to the cost.\u201d<\/em><\/p>\n\n\n\n

Her advice to someone moving to a place with a lower cost of living is \u201ckeep your spending in check. It’s easy to spend more when your expenses go down, but you have to be disciplined and put that money to use for you. You can save, invest, or start a side hustle that will generate more income.\u201d<\/em><\/p>\n\n\n\n

Top 5 Most Expensive Cities in South America<\/h2>\n\n\n\n

Suriname is the smallest independent country in South America. The largest city and capital, Paramaribo, has the highest cost of living in South America. With a total estimated population of 240,924, Paramaribo is 1\/35th the size of New York City.<\/p>\n\n\n\n

Rank<\/td>Most Expensive Cities in South America<\/td>Score<\/td><\/tr>
#1<\/td>Paramaribo, Suriname<\/td>51.00<\/td><\/tr>
#2<\/td>Montevideo, Uruguay<\/td>50.63<\/td><\/tr>
#3<\/td>Santiago, Chile<\/td>50.62<\/td><\/tr>
#4<\/td>Quito, Ecuador<\/td>43.95<\/td><\/tr>
#5<\/td>Guayaquil, Ecuador<\/td>42.45<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n

American Expats Living in Ecuador<\/h3>\n\n\n\n

Scott and Jody Arnold of Adventures in Middle Earth<\/a> are American expats living in Ecuador. In August 2014, Scott and Jody moved to Quito to pursue a Christian mission while Scott continued his work as a CPA.<\/p>\n\n\n\n

In an interview with Expat Arrivals<\/a>, Scott talks about their adjustment to the cost of living in Ecuador: \u201cThe cost of living is much lower if you can manage without imported goods. In 2015, we did two blog posts on the cost of living here, and a few things have gone up in five years, and our internet has gone down (and improved in speed).\u201d <\/em><\/p>\n\n\n\n

Although the overall cost of living is lower, Scott and Jody do send away for certain things that are hard to get or more expensive locally. \u201cElectronics and specialty foods top that list. Computers and cell phones are about twice as expensive here as in the US. Vitamins are much more expensive here, and we always bring those back.\u201d<\/em><\/p>\n\n\n\n

Scott recommends visiting a place and talking to people who live there before planning an international move. However, he cautions that COVID-19 has had a significant impact on the local economy, so finding a job may be challenging. <\/p>\n\n\n\n

Top 5 Most Expensive Cities in Europe<\/h2>\n\n\n\n

Switzerland sweeps the top 5 most expensive cities in Europe. The average cost of living in Switzerland is nearly 32% higher than New York City and 60% higher than the US average. <\/p>\n\n\n\n

Rank<\/td>Most Expensive Cities in Europe<\/td>Score<\/td><\/tr>
#1<\/td>Basel, Switzerland<\/td>136.65<\/td><\/tr>
#2<\/td>Zurich, Switzerland<\/td>135.49<\/td><\/tr>
#3<\/td>Lausanne, Switzerland<\/td>132.86<\/td><\/tr>
#4<\/td>Geneva, Switzerland<\/td>131.75<\/td><\/tr>
#5<\/td>Lugano, Switzerland<\/td>128.44<\/td><\/tr><\/tbody><\/table><\/figure>\n\n\n\n

Dee Olateru of The Rich Immigrant<\/a> Blog and Podcast is an experienced expat who has lived and worked on four continents. In 2015, she moved from Minneapolis, USA, to Edinburgh, Scotland.  <\/p>\n\n\n\n

\u201cAll in, the cost of living was slightly higher, but salaries were considerably lower compared to the US. To adjust to the overall higher cost of living and prepare for the lower salary, I researched taxes, medical expenses, and the cost of basic expenses as best I could in advance of my move. I also created a draft budget for my new life before moving. Upon my arrival,  I tweaked those expenses based on my lived experience.\u201d<\/em><\/p>\n\n\n\n

Dee’s move wasn\u2019t permanent. Instead, she planned to live in Scotland for three years before relocating. To adjust, she came to terms with the fact that she would save less during her residence in Scotland. <\/p>\n\n\n\n

As a trade-off, Dee says, \u201cI took advantage of the significantly lower costs of flights within Europe, for example (compared to the USA) to explore the region.\u201d <\/em><\/p>\n\n\n\n

Dee recommends that someone making an international move do the following:<\/p>\n\n\n\n