Germany is one of the most powerful economies in Western Europe—and it’s typically more affordable than neighboring countries like France and Switzerland. That makes it a popular choice for students, digital nomads, and expats alike. But the cost of living in Germany can vary widely.
Plan ahead with this guide to the cost of living in Germany, with a focus on nine major cities there.
What is the overall cost of living in Germany?
According to the Federal Statistical Office of Germany, the average German household spent a total of 2,623 euros (EUR) per month in 2021. That includes 966 EUR for housing and utilities, 402 EUR for food and beverages, and 322 EUR for transportation.
This is significantly less than some European countries. For example, the cost of living in France can be as high as 1,500 EUR for housing alone. But it’s more expensive than in some parts of Spain, where housing costs can be as low as 675 EUR per month.
The average consumer price index (CPI) for Europe is 100. Germany’s is slightly higher than average, at 104.4.
The most expensive country in Europe is Iceland, which has a CPI of 171.6, while the cheapest is Bulgaria, with a CPI of 44.
What is the official currency in Germany?
The official currency of Germany is the euro. The euro is also the currency of 19 other European countries. If you’re moving to Germany from one of those countries, you won’t have to worry about exchanging your money.
If you’re moving from somewhere else in the world, then you’ll want to consider the exchange rate between the euro and your home currency.
For the rest of this article, most of the figures we cite will be in U.S. dollars (USD) so it’s easy to compare the average cost of living in Germany to other countries.
Cost of living in Germany by city
Germany has a population of 83 million people. Its capital, Berlin, is the largest German city, with 3.7 million residents. But Germany has plenty of small towns and rural regions, too, which typically have a lower cost of living than its big cities.
One exception to this is Bavaria, a picturesque region in the south of Germany, which tends to be more expensive than cities in the north. Small cities like Bremen and Heidelberg attract international students because of their high-quality international schools, while the scenery drives tourism.
With that in mind, here’s a guide to monthly costs in nine German cities.
Berlin
Berlin has surprisingly low costs for a capital city. Unlike other capital cities, such as Paris and London, Berlin has reasonable monthly rents and low living expenses. Berlin is known for its vibrant arts scene, museums, and multicultural population.
According to Teleport.org, you can expect the following living costs in Berlin:
- Housing: $850 per month for a small apartment in the city center
- Food: $10 for a typical lunch and $3.60 for a cappuccino
- Transport: $100 for public transit expenses
- Health: $41 for a gym membership
Munich
Munich is the most expensive city in Germany. Located in Bavaria, it’s close to some of Germany’s most iconic castles.
Despite its higher costs, Munich’s strong economy and high standard of living may make it appealing to some working professionals.
Here’s what you can expect to pay each month in Munich:
- Housing: $1,400 per month for a small one-bedroom apartment
- Food: $16 for lunch and $3.80 for a cappuccino
- Transport: $74 for public transit costs
- Health: $56 for a gym membership
Frankfurt
Frankfurt is a large city in the center of Germany. As a major transport hub and financial center, it has a relatively high cost of living, but is still cheaper than Munich.
Here’s what you can expect to pay to live comfortably in Frankfurt:
- Housing: $960 for a small apartment in the city center
- Food: $16 for lunch and $3.30 for a cappuccino
- Transport: $98 for public transit
- Health: $51 for a gym membership
Hamburg
Hamburg is Germany’s second-biggest city and the second most expensive. Hamburg has a high quality of life index, placing it just ahead of Copenhagen and Geneva.
You can expect the following monthly costs if you live in Hamburg:
- Housing: $860 for a small, centrally located apartment
- Food: $14 for lunch and $3.80 for a cappuccino
- Transport: $100 in public transit costs
- Health: $46 for a gym membership
Cologne
Cologne is located in the west of the country, not far from the border with Belgium and the Netherlands.
Its famous cathedrals and strong higher-education sector makes it a popular destination for international students and tourists alike.
Expect the following monthly expenses in Cologne:
- Housing: $820 for a small apartment in the city center
- Food: $13 for lunch and $3 for a cappuccino
- Transport: $110 for public transportation
- Health: $34 for a gym membership
Stuttgart
Stuttgart is located in the southwest of Germany, close to scenic landscapes like the Black Forest.
As the center of Germany’s automobile industry, it’s also home to the Mercedes-Benz Museum and the Porsche Museum.
Factor in the follow costs to live comfortably in Stuttgart:
- Housing: $900 for a centrally located apartment
- Food: $12 for lunch and $3.40 for a cappuccino
- Transport: $95 for public transportation
- Health: $44 for a gym membership
Dusseldorf
Dusseldorf is located on the Rhine River, not far from Cologne, and ranks highly on the Mercer Quality of Life Index.
Its moderate living costs make it a good choice for those who want to avoid the cities with the highest cost of living in Germany.
Here’s what Dusseldorf residents can expect to pay each month:
- Housing: $820 for a small apartment in the city
- Food: $14 for lunch and $3.50 for a cappuccino
- Transport: $81 for public transportation
- Health: $42 for a gym membership
Leipzig
Leipzig has grown in popularity over the past few decades, competing with Berlin to be Germany’s cultural capital and startup hub.
Writers have compared it to Paris, Athens, and Venice, which should give you some idea of this city’s charm.
Leipzig is among the cheapest cities in Germany, with the following average costs:
- Housing: $520 for a small apartment
- Food: $11 for lunch and $2.90 for a cappuccino
- Transport: $86 for public transport costs
- Health: $36 for a gym membership
Dresden
Dresden is another affordable city in the east of Germany, with a historic city center and a large public transit network.
Dresden is close to the borders of Poland and the Czech Republic, and offers easy access to some of Germany’s national parks.
Life in Dresden comes with the following average costs:
- Housing: $550 for a small apartment
- Food: $9.80 for lunch and $3.10 for a cappuccino
- Transport: $73 for public transit
- Health: $43 for a gym membership
Factors that determine the cost of living in Germany
Rent is the biggest factor in determining how much it costs to live in Germany. But other variables, such as your income and lifestyle, can make a difference too. Here are three things to consider before buying a one-way ticket to Germany.
Lifestyle
Are you a single person planning to rent your own apartment? Or do you have pets or family members to consider? What about tuition fees and childcare costs? All of these things can raise the cost of living in Germany significantly.
Since most German cities have a good public transit network, getting a monthly pass can help you save money on fuel and vehicle expenses.
You can also save money by shopping at supermarkets like Aldi and Lidl, rather than going out to restaurants for lunch and dinner.
Health insurance
Germany has a universal healthcare system that’s available to permanent residents via a salary deduction. But if you’re a digital nomad, an international student, or an expat, you may be required to take out private health insurance.
Students can expect to pay a tariff of 110 EUR per month, while other non-residents should budget for slightly higher costs.
Salary
Whether or not you can afford the cost of living in Germany depends on your net salary. Although the cost of living in Munich may be higher than average, it also comes with a higher paycheck than other German cities. A software engineer can expect a median salary of $55,301 in Munich vs. $37,185 in Leipzig.
Of course, if you’re working remotely for an employer outside Germany or living off of savings in your home currency, you’ll want to check the exchange rate to see how far your money will go.
Send money home from Germany
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