Cost of Living in India: Check Comparison With USA, Canada, Malaysia, Vietnam (Easy Guide)
To a foreign national, the cost of living in India is cheap, but to a person living in the urban areas of India – that’s not quite the case!
If you want to cut through this confusion and figure out what India’s cost of living is, you’re in luck. Here, we’ll discover what India’s cost of living is, and how it compares to countries like USA, Canada, Malaysia, and Vietnam.
- What is Cost Of Living?
- How Does Cost of Living Impact Your Standard of Living?
- Cost of Living in India Per Month
- Cost of Living in USA vs India
- Cost of Living in Canada vs India
- Cost of Living in Malaysia vs India
- Cost of Living in Vietnam vs India
What is Cost Of Living?
Think of cost of living as the money you need to survive and do normal stuff like eating, having a place to live, and getting around. It includes things like food, housing, transportation, and other basic needs. So, if the cost of living is high, you might need more money to live comfortably.
How Does Cost of Living Impact Your Standard of Living?
Think of your standard of living as a dinner plate, and the cost of living as the size of your paycheck. When the cost of living is high, it’s like your plate shrinking while the portions remain the same. You might struggle to fit all your essential “dishes” – housing, groceries, utilities – onto the smaller plate, leaving little room for extras like dining out or entertainment.
On the flip side, a lower cost of living expands your plate. With the same income, you can comfortably accommodate the essential items and have space for additional “side dishes,” like saving for the future or indulging in non-essential (discretionary) expenses.
So, the cost of living shapes the size of your financial plate, determining how much you can comfortably put on it. A higher cost means a smaller plate with fewer choices, while a lower cost allows for a more generous serving of life’s extras.
Cost of Living in India Per Month
The cost of living in India varies across cities, with urban areas generally having higher expenses. For instance, Mumbai, New Delhi, Chennai, and Bengaluru are among the more expensive cities, while Kolkata tends to be more affordable for expats. For a rough estimate, monthly living expenses for one person (excluding rent) range from £261.60 in Kolkata to £303.90 in Mumbai.
Housing costs also differ, with a 1-bedroom flat in Mumbai’s city center averaging £442.10, while the same in New Delhi is £194.00. Additionally, healthcare costs are relatively low for expats, but private healthcare may be preferable.
Overall, India offers a cost-effective lifestyle. If you’re planning to move, manage your finances efficiently keeping in mind the cost of living of the country you’re moving to.
Cost of Living in USA vs India
The cost of living in India is significantly lower than in the United States. On average, living expenses for one person in India are $435 per month, compared to $2434 in the United States. For a family, the cost is $1095 in India and $5606 in the United States. This makes India 82% less expensive than the United States.
Additionally, the after-tax salary in India is sufficient to cover living expenses for 1.5 months, while in the United States, it covers 2 months. This places India at the 109th position and the United States at the 21st position in the list of the best countries to live in. As for cost of living in USA vs India, the cost of living in specific cities may vary, so it’s essential to consider the location for a more accurate assessment.
Cost of Living in Canada vs India
The cost of living in India is significantly lower than in Canada. Consumer prices in Canada are 201.2% higher than in India, and rent prices are a staggering 561.7% higher. For example, a meal for two at a mid-range restaurant in India costs around ₹1,000, while in Canada, it’s approximately ₹5,844.
This substantial difference extends to various aspects, making India more affordable for day-to-day expenses. Keep in mind that this is just a general overview on the cost of living in Canada vs India, and actual expenses may vary based on specific cities and personal lifestyle choices.
Cost of Living in Malaysia vs India
In the debate of cost of living in Malaysia vs India, it’s certain that living in India is more affordable than in Malaysia. The average cost of living for one person is $435 in India, which is 26% less than the $585 in Malaysia. For a family, the cost of living in India is $1,095, compared to $1,388 in Malaysia. Rent for both one person and families is significantly lower in India.
Food expenses, transportation, and other living costs contribute to the overall affordability. Additionally, the after-tax salary in India is sufficient to cover living expenses for 1.5 months, while in Malaysia, it covers 1.3 months. This indicates that the purchasing power of income is higher in India.
The cost of living comparison, which includes various factors such as food, housing, and transportation, places India as a more economical choice. However, it’s essential to consider specific city variations and personal preferences when assessing individual budgets.
Cost of Living in Vietnam vs India
Living in India is generally more affordable than in Vietnam. The consumer prices in Vietnam are 45.6% higher than in India, excluding rent. When rent is included, the difference increases to 55.2%, indicating that housing significantly contributes to the higher cost of living in Vietnam. Rent prices alone are 102.0% higher in Vietnam compared to India.
Specifically, expenses like restaurant prices, groceries, and transportation are more economical in India. For instance, a meal at an inexpensive restaurant in India costs around ₹200, while in Vietnam, it’s approximately ₹171.74. Similarly, various grocery items, such as milk, bread, and rice, are more affordable in India.
It’s important to note that these figures on cost of living in Vietnam vs India are averages, and actual costs may vary based on the city you choose to live in. Additionally, personal preferences and lifestyle choices can influence your overall cost of living.
So, for you, understanding the cost of living in India is key. It’s like adjusting your financial plate – higher costs mean less for essentials. It means aligning your expenditure to the actual cost of living in india per month.
Compared to the USA, Canada, Malaysia, and Vietnam, India is affordable. Whether it’s lower USA expenses, a big difference with Canada, affordability in Malaysia, or cost-effectiveness in Vietnam, India shines.
Your move to India depends on your situation. These insights guide for a cost-effective lifestyle. Tools like Wise help manage finances between India and your current location. Happy budgeting!