Cost of Living Melbourne
If you’ve ever wondered how much it costs to live in Melbourne, this is the guide for you. The Victorian capital was crowned as the world’s most liveable city city for seven years straight, but just how affordable is it for expats and those looking to relocate?
Anchoring southeastern Australia, Melbourne is home to a rich tapestry of cultures, cuisine, character-packed corners and colourful events. With multiculturalism nestled in the heart of every neighbourhood, this is one of the most diverse cities in the country.
Living here is nothing short of fun - with fanatic football matches, fancy food events and seriously good specialty coffee on every corner.
The lifestyle, dazzling day trips and non-stop nightlife are just a few of the highlights of living here. And topped by an endless list of things to do, it really does never get boring. But can you afford the cost of living in Melbourne?
Mercer’s 2021 Cost of Living Survey rated Melbourne number 59 on their list of the most costly cities in the world.
So when compared to other global hot spots like London and Paris, the prices are a lot more affordable than you’d think… So let’s find out more.
Want to know more about what it’s like to live in Melbourne? Check out this in-depth guide on the Pros and Cons of Living in Melbourne.
How Much Does it Cost to Live in Melbourne?
In this local guide, we’ll break down the average cost of living in Melbourne. Here are the five factors we’ll cover:
Cost of housing and rent
Cost of utilities
Cost of food and groceries
Cost of transportation
Cost of entertainment
This is a rough guide and the average cost ultimately depends on your income, lifestyle and personal preferences.
Cost of Housing & Rent in Melbourne
Housing and rent are the biggest expenses for Melburnians and buying is a challenge for first-home owners and low-income earners. The average rental price in Melbourne depends on what type of place you’re looking for. The total varies for homes, apartments, units and share houses.
If you want to move to Melbourne, it’s important to consider a range of factors like the location, type of property, rental duration, amenities and transportation.
The average cost of rent per month:
Student: $800 - $1200 AUD
Single: $1500 - $2000 AUD
Family: $2150 - $3200 AUD
Cost of Utilities in Melbourne
Utilities such as electricity, gas, water, internet and phone bills are relatively affordable for Melburnians. Popular providers include AGL, Kogan Energy and Dodo Power & Gas.
The average cost of utilities per month:
Student: $200 - $250 AUD
Single: $150 - $200 AUD
Family: $250 - $350 AUD
Cost of Food and Groceries in Melbourne
In general, this is the second biggest expense for Melburnians. And would you expect any less for the food capital of Australia? And with bottomless brunches, rooftop restaurants and quirky cafes spread around the city, it’s kind of hard not to splurge a little to satiate your palette.
The price of groceries in shops like Coles and Woolworths is more or less the same, but it’s usually more affordable to go to supermarkets like Aldi. Local markets like the South Melbourne Market, Queen Victoria Market and Prahran Market are great if you want to find high-quality produce. But just keep in mind that you’ll pay a higher price tag.
Eating out at restaurants and cafes isn’t cheap, but don’t get me wrong, there are loads of pocket-friendly restaurants and takeaway options. Eating out often can dramatically increase the cost of living in Melbourne.
The average cost of food and groceries per month:
Student: $500 - $700 AUD
Single: $500 - $800 AUD
Family: $1500 - $2000 AUD
Cost of Groceries in Barcelona
If you’re strung to a strict food budget, you can save money by cooking your meals at home. Here are some of the estimated costs for groceries:
White bread (500gr) - $3.40
Eggs (a dozen) - $5.50
Milk (1L) - $2.50
White Rice (1 kg) - $3.40
Chicken Fillets (1 kg) - $13.40
Beef (1 kg) - $23.95
Cheese (1 kg) - $14.50
Potatoes (1 kg) - $4.00
Apples (1kg) - $4.50
Oranges (1 kg) - $3.80
Bananas (1 kg) - $3.90
Aussie beer 0.5L - $6.50
Imported beer 0.5L - $5.80
Bottle of wine - $20.00
Bottle of water - $2.50
The average cost of dining out in Melbourne is:
Standard Restaurant (1 person) - $25 - $30
Mid-Range Restaurant (for 2 people) - $120 - $150
Local Beer - $11 - $15
Softdrink - $4 - $6
Cappuccino - $5
Cost of Transportation in Melbourne
Melbourne boasts a modern public transport system and a well-connected road network. The cost of commuting can add up, making it the third biggest expense for Melburnians. It all comes down to how far you’re commuting to and from work or school, and if you’re travelling during peak hours.
Most locals own a car and that comes with its own list of costs like registration, fuel, insurance and parking fees.
The average cost of transportation per month:
Student: $150 - $200 AUD
Single: $400 - $500 AUD
Family: $1000 - $1200 AUD
Cost of Leisure & Entertainment in Melbourne
This last one really all depends on you, your preferences, lifestyle and spending habits. Melbourne is kind of like New York City; there is always something going on. With weekend-long raves, social events, outdoor cinemas, sports matches and more, this one comes down to you.
Movie tickets usually are around $22 per person and gym memberships generally cost between $30 to $80 per month.
Clubbing in the city can be expensive, with average entry fees costing anywhere between $15 and $45.
The average cost of leisure and entertainment per month:
Student: $150 - $200 AUD
Single: $150 - $300 AUD
Family: $400 - $800 AUD
FAQs
What salary do you need to live comfortably in Melbourne?
This ultimately comes down to your personal preferences for lifestyle, where you live, your job, etc. That being said, most people who earn around $50,000 to $60,000 AUD per year can live comfortably in the city.
Is Melbourne expensive to live in?
Yes, Melbourne is the second most expensive city to live in Australia. But compared to big cities like New York, London and Paris, it’s much more affordable.
Is $80,000 enough to live in Melbourne?
Yes $80,000 AUD is considered a very good salary in Melbourne, Australia. This amount of income would provide you with a pleasant standard of living. Plus, you’ll even have some cash left over to save or splurge on whatever you please.
Is it cheaper to live in Sydney or Melbourne?
According to Finder, Sydney is 22 per cent more expensive than Melbourne. Melbourne’s lifestyle scene can be more expensive, especially when it comes to restaurants and nightlife.
Cost of Living in Melbourne
So, now you’re up to speed on the cost of living in Melbourne. Rent, utilities, transport, groceries and entertainment costs can add up, but your experience in the city doesn’t have to cost a fortune.