Australia: Cost of Living
March 19, 2019
By GoinGlobal
Introduction
Australia is expensive by international standards. It ranks as the 18th most expensive country out of 217 in Xpatulator’s country cost of living comparison, which compares living expenses for expatriates around the world. According to the ranking, it is cheaper to live in Sweden, Canada, France, the UK and the US than it is to live in Australia.
HSBC Bank’s Expat Explorer Survey, which surveys 46 countries based on metrics that include disposable income, wage growth and work/life balance, ranks Australia seventh overall as a destination for foreign nationals. However, although it ranks 12th for wage growth, Australia slips to 29th on the list for disposable income.
Prices continue to climb. The Australian Bureau of Statistics’ Living Cost Index reports that living expenses have increased at the fastest rate in four years. Household spending on goods and services, such as housing, transportation and groceries, increased by 15% between 2009 and 2016.
Sydney is the costliest city in Australia, ranking 10th globally. However, Melbourne is not far behind.
Average Prices
In general, prices are high in Australia compared to the rest of the world. Xpatulator reports Australian groceries cost almost 19% more than in the US, and household costs are 15% higher than in the UK. Costs for clothing, recreation, personal care, transportation, restaurant meals and communication services, such as mobile service providers and internet subscriptions, are all comparatively very high.
Australian households spend, on average, 1,425 AUD per week on goods and services. The greatest expenses are housing, food and non-alcoholic beverages, and transportation. Rents in the major cities may consume more than 30% of earnings.
Average Weekly Household Spending in Australia
|
Item |
Average Weekly Spending Amount (in AUD) |
|---|---|
|
Housing costs |
279 |
|
Domestic fuel/power |
41 |
|
Food/non-alcoholic beverages |
237 |
|
Alcoholic beverages |
32 |
|
Clothing/footwear |
44 |
|
Household furnishings/equipment |
58 |
|
Household services/operation |
45 |
|
Medical care |
82 |
|
Transport |
207 |
|
Communication |
47 |
|
Recreation |
172 |
|
Education |
44 |
|
Personal care |
29 |
Source: Australian Bureau of Statistics
Costs vary depending on location and eating habits. Although groceries can be expensive, beef and lamb remain relatively inexpensive everywhere. Locally grown fruits and vegetables are abundant, but depending on the season, prices can fluctuate a good deal. Supermarkets are plentiful, but sometimes independent grocers have lower prices. Look for specials at the supermarkets.
Typical Prices in Sydney, Melbourne and Brisbane (in AUD)
|
|
Sydney |
Melbourne |
Brisbane |
|---|---|---|---|
|
Groceries |
|
|
|
|
Bread for two people for one day |
2.79 |
2.42 |
2.07 |
|
Toilet paper, four rolls |
3.49 |
3.91 |
2.92 |
|
Toothpaste, one tube |
4.17 |
3.75 |
3.52 |
|
Dining out/entertainment |
|
|
|
|
Lunchtime meal in the business district |
16 |
17 |
17 |
|
Combo meal in fast-food restaurant |
11 |
11 |
11 |
|
One bottle of good-quality red table wine |
22 |
18 |
20 |
|
One beer in a local pub |
8 |
9 |
8 |
|
Two movie tickets |
38 |
38 |
29 |
|
Basic dinner out for two in local pub |
53 |
56 |
56 |
|
Services/memberships |
|
|
|
|
Monthly rent for 85-square-meter/900-square-foot furnished accommodation in average area |
2,730 |
2,020 |
1,846 |
|
Utilities for two people in 85-square-meter/900-square-foot apartment (monthly) |
289 |
350 |
217 |
|
Internet 8 MB (monthly) |
60 |
61 |
59 |
|
Gym membership in business district (monthly) |
96 |
75 |
59 |
|
Clothing |
|
|
|
|
One pair of jeans |
115 |
115 |
100 |
|
One pair of sport shoes |
151 |
143 |
150 |
Source: Expatistan
If possible, open a bank or credit union account in the first six weeks after arrival; the only identification needed is your passport. After six weeks, additional forms of identification may be required to open an account, and doing so will be difficult without the necessary documents.