Portugal is part of the Eurozone and has the euro as its currency but just because the currency is the same as the rest of much of Europe, it doesn’t mean that it has the same prices – on the contrary – prices in Portugal are some of the lowest in Western Europe.
When you break down how much it costs to live in Portugal, then accommodation takes the biggest chunk out of monthly expenses, whether you chose to rent or buy, however according to Numbeo, the cost of rent in Portugal is 53.1 percent lower on average than in the United States. International Living estimates that the average price for the rent of a two-bedroom furnished apartment is around $1,300 but it is possible to pick up something far cheaper if you look away from the main hotspots of Lisbon, Porto and the Algarve.
Paying for essential utilities can come in at around $100 a month in a two-bedroom apartment (gas, water, electricity) and a telecoms bundle (mobile phone, landline, cable TV and wifi) can cost around $80 a month depending on the services that you opt for.
While it may not be as well-known on the world gastronomy map as its larger neighbor Spain, Portugal has a fantastic food scene which is very reasonable to enjoy. If you are looking to eat out then you can find everything from Michelin Star restaurants to unassuming local taverns serving local traditional dishes. Depending on your location you can spend as little as $8 on lunch (prato do dia) which includes an appetizer, entree and dessert (including a drink) but in general look to pay between $18-$25 dollar for a main course in a mid-range restaurant.
However, it is the luxuries in life that make Portugal stand out as a destination which is truly affordable. You can pick up a bottle of decent Portuguese wine from a supermarket from as little as $4, a large beer costs from $2.50 in many bars across the country, a three-day pass for a music festival with international acts costs under $200 and a ticket for the cinema costs under $10.
But the very best thing about the cost of living in Portugal? That has to be the fact that the stunning beaches, incredible national parks and historic cities are all free to visit!