In past years, the cost of living in Germany has been rising gradually. However, coming out of COVID the world faced another problem due to the Russia-Ukraine war. This war has disrupted the supply chain of multiple goods in Europe.
Germany was one of the countries that were highly impacted by this war, as it rely on the Russian Gas for domestic heating. All of these factors have resulted in a steep increase in the cost of living in Germany.
Rents and Utilities
Rents have been the biggest expense for Germans. Renting an apartment in Germany mainly depends on the area. For a good comparison, we will focus only on rents of apartments near to city center (7 km). In bigger cities like Berlin, you can find a gentle 2 Room unfurnished apartment in 1600 euros warm. However, in smaller cities the cost of a similar apartment would be around 900 euros warm. Something that has really pushed the prices up recently is the supply and demand in bigger cities. The availiblity of apartments in bigger cities is really low and you will see big queues outside an apartment that is available for rent.
Moreover, in winter everyone residing in Germany got a shock because of the high heating costs, where they had to pay 2 to 3 times of their normal costs. This increase was due to the war, as most of the gas used in domestic heating in Germany was coming from Russia.
Electricity and Internet Bills
Beyond Rent and Utilities, Additional monthly expenses you can’t ignore . The electricity bills are separate from the utilities, which adds up €120 per month on average.
And what about staying connected? Internet charges are often an overlooked expense that can quickly add up. For house internet, you can expect to pay around €45 per month, and for mobile internet recharge, it’s approximately €25 per person, on average totaling €95 per month for a couple.
Food and Grocery
The cost of food can vary greatly depending on your eating habits and lifestyle choices. If you’re looking to save money, you can eat at home and buy groceries. But if you’re looking to enjoy dining out and going for drinks with friends and family, you may end up spending lavishly.
1. A single meal in a fancy restaurant costs you on average 30 euros, for 2 people mid range meal costs 57 euros.
2. Single meal at a cheap restaurant costs 11 euros.
3. 2.75 euros for a cappuccino.
4. 10 euro for a cocktail.
5. Doner Kebab 7 euros in average.
The cost of food in Germany can be reasonable, especially if you shop at discounted grocery stores such as Aldi, Netto and Lidl. Grocery ranges from 200 to 250 euros per person in a month. And, if you are someone who loves to dine out once a week at least, your expenses on food and groceries will be around 350 to 400 euros.
Transportation
After the recent wave of inflation German government wanted to give a relief to all residents and promote the use of public transport. Hence, they have introduced the 49 euro Deutschland ticket (starting from May). So you can travel in entire Germany on public transfer for just 49 euros per month. You can find more information about the 49 euro ticket on the DB Official Website.
If you plan to own a car, keep in mind that it can be more expensive due to fuel costs, insurance, and maintenance etc. If you use public transport or a bike to get around, you’ll spend less than people who drive. Well, making use of public transportation is a wise choice.
Health Insurance
If you are living and working in Germany, then you must have health insurance! Not only is it mandatory by law, but it is also an essential investment in your well-being.
The cost of health insurance can vary depending on your age, income, health status, the provider and the level of coverage. On average, a couple can expect to spend around €500 to €600 per month on health insurance.
However, this investment guarantees access to top-notch healthcare services, from routine check-ups to emergency medical treatment, without incurring excessive costs. And this is deducted already from your salary in most of the cases so you should not worry about this expense unless you do not have a Job.
Radio Tax
There’s some hidden charges as well, like Radio or cable tax, they are around €18.36. this expense is mandatory, you have to pay this amount even if you have TV or radio at home or not, this tax is mandatory for every house.
Other Expenses
Other than all these expenses, you will need some stuff on month to month basis for example a good jacket for the winter or some good sports gear to enjoy your summer. Well these expenses are highly subjective and they vary from person to person. However, on average in Berlin these expenses range from 250 to 300 euros.
Is Germany still worth moving to?
Living in Germany might now be as cheaper as it used to be. However, despite the recent wave of inflation Germany is still a great place to relocate because of the Education and Work Opportunity. Moreover, the government is very considerate about inflation hence they are introducing a number of changes that help the residents. Raising the minimum wage rate and introducing the 49 euro ticket are few initial steps that are highly appreciated by the public
