Cost of living in Hong Kong – single, family & student
This article covers:
- Quick Overview
- Do you know?
- Average cost of living in Hong Kong
- Average cost of living in Hong Kong: Single vs student vs family
- Citywise comparison
- Tax scenario
- What salary do you need to live in Hong Kong?
- What should be your monthly budget to live in Hong Kong?
- Do’s and don’ts
- Can’t afford Hong Kong? Here are some cost-effective options
- Before you go…
- FAQs
The monthly cost of living in Hong Kong is HK$ 20,411 for a single person, HK$ 4,700 for a student & HK$49,151 for a family of four.
Hong Kong is a lively metropolis known for its prestigious educational institutions and thriving economy. It offers ample opportunities for career scaling and options for quality higher education.
If you want to explore the potential prospects that Hong Kong has in store for you, it is natural to have questions like ‘ Is it expensive to live in Hong Kong?’ or ‘ What should my budget be for living in Hong Kong?’. This guide is designed to provide all the necessary insights related to the Hong Kong cost of living index so you can budget your expenses efficiently.
Quick Overview
- The cost of living in Hong Kong for a single person = HK$ 20,411 per month with rent and HK$ 6,926 without rent.
- The average cost of living in Hong Kong for a student = HK$ 4,700 per month and HK$ 50,000 annually
- The cost of living in Hong Kong for a family of four = HK$49,151 per month with rent and HK$22,045 without rent.
Do you know?
- As per the Economist Intelligence Unit (EIU), Hong Kong has entered the top 50 ranks of the ‘Global Liveability Index’ in 2024. [1]
- According to the World Bank, only 3.93% of the total labour force was unemployed in Hong Kong in 2023. [2]
- The World Bank surveys state that the inflation of consumer prices was only 2.1% in 2023.[3]
Average cost of living in Hong Kong
Expense Category | Percentage from Total Expenses |
Transportation | 8.5% |
Clothing And Shoes | 1.8% |
Sports And Leisure | 4.4% |
Markets | 28.3% |
Monthly Utilities | 5.3% |
Rent Per Month | 43.6% |
Restaurants | 8.1% |
Source: Numbeo
Average cost of living in Hong Kong: Single vs student vs family
Type of expense | Avg. cost per month for student | Avg. cost per month for singles | Avg. cost per month for family |
Rent and Utilities (electricity, water, heating, etc. ) | HK$ 11,000 | HK$13478 | HK$27105 |
Food/groceries | HK$1873 | HK$3912 | HK$10,183 |
Transportation | HK$ 489 | HK$1889 | HK$5076 |
Source:
For singles and family: Livingcost.org (rates converted from USD to HKD ON 28/06/2024 between 20:00 HRS t0 20:15 HRS IST using Forbes Currency Convertor Tool)
For students: University living, Leapscholar
An overview of monthly rents in Hong Kong
Expense Category | Item | Avg. cost per month |
Housing | 1-bedroom apartment (in the city centre) | HK$ 18,744.44 |
1-bedroom apartment (outside the city centre) | HK$ 12,750.00 | |
3-bedroom apartment (in the city centre) | HK$ 38,121.62 | |
3-bedroom apartment (outside the city centre) | HK$ 25,370.59 |
Source: Numbeo
Citywise comparison
Type of expense | Hong Kong | Beijing | Shanghai | Guangzhou |
Avg. Monthly Salary (after taxes) | HK$ 31,655 | HK$ 13,345 | HK$ 11,361 | HK$ 8722 |
Cost of living (single) | HK$ 20,411 | HK$ 8,316 | HK$ 9292 | HK$ 5794 |
Cost of living (family) | HK$49,151 | HK$ 24,317 | HK$ 29,336 | HK$ 17609 |
Rent & utilities (single) | HK$13478 | HK$ 4,724 | HK$ 4958 | HK$ 2600 |
Rent & utilities (family) | HK$27105 | HK$ 10,651 | HK$ 12,595 | HK$ 6512 |
Food (single) | HK$3912 | HK$ 1975 | HK$ 2,405 | HK$ 2045 |
Food (family) | HK$10,183 | HK$ 5208 | HK$ 6,403 | HK$ 5395 |
Transport (single) | HK$1889 | HK$ 843 | HK$ 913 | HK$ 546 |
Transport (family) | HK$5076 | HK$ 2209 | HK$ 2381 | HK$ 1538 |
The overall quality of life | 89 | 79 | 78 | 75 |
Source: Livingcost.org (Refer to Citiwise cost of living pages)
Note: Rates converted from USD to HKD between 28/06/2024 to 30/06/2024 using Forbes Currency Convertor Tool)
Tax scenario
When planning your relocation to a different country, apart from researching the potential cost of living, it is also important to educate yourself about the taxes levied on non-residential workers. This helps you manage your Hong Kong living expenses efficiently.
In Hong Kong, the Inland Revenue Ordinance governs the taxation of income. Here is a detailed explanation of the levied taxes on expats..
Salary tax on expats
Hong Kong imposes income tax across three categories:
- Property tax on rental income,
- Profit tax on profits of unincorporated businesses,
- and Salary tax on income from employment.
Both resident and non-resident individuals earning income from employment, office work, or pensions in Hong Kong fall under the Salary Tax category. This tax applies to all income earned for services provided in Hong Kong, including fringe benefits like holiday travel benefits, share rewards, share option gains, and the rental value of employer-provided accommodation.
Tax liability is determined based on chargeable income for the year, with provisional Salary Tax paid during the assessment year and adjusted accordingly. Here’s an overview of the tax rates and salary bands.
Taxable Income Band | National Income Tax Rate |
HK$ 1 – HK$ 50,000 | 2% |
HK$ 50,001– HK$ 100,000 | 6% |
HK$ 100,001 – HK$ 150,000 | 10% |
HK$ 150,001 – HK$ 200,000 | 14% |
HK$ 200,000 + | 17% |
Source: Inland Revenue Department, Tax Summaries- PwC
What salary do you need to live in Hong Kong?
When looking for job opportunities you might ask‘ What is a good salary in Hong Kong?’. The answer to this question varies greatly depending on your lifestyle choices and the area you live in.
As per SalaryExplorer, the monthly average salary in Hong Kong in 2024 is around HK$ 36,700. For a single working professional, around a minimum of HK$ 20,411 per month may be required to cover basic living expenses and live comfortably. The monthly cost of living in Hong Kong for a couple may go over HK$ 24,576.
It’s important to consider that Hong Kong’s inflation rate is substantially high, making it one of the pricier places to live in Asia. When you budget to live in Hong Kong, it’s crucial to factor in your lifestyle and the location of your rental accommodation.
Also read: Average salary in Hong Kong – The Ultimate Guide
What should be your monthly budget to live in Hong Kong?
Category | Student | Single | Family |
Housing/Rent | HK$4000-HK$6000 | HK$20,000-HK$60,000 | HK$48,000-HK$80,000 |
Utilities | HK$10,000-HK$15,000 | HK$12,000-HK$16,000 | HK$25,000-HK$32,000 |
Groceries | HK$1700-HK$2500 | HK$2000-HK$4000 | HK$9000-HK$15000 |
Transportation | HK$300-HK$600 | HK$1700-HK$2100 | HK$4000-HK$8000 |
Other (entertainment, shopping, personal care) | HK$500-HK$1000 | HK$2000-HK$5000 | HK$6000-HK$10,000 |
Total##(approximately) | HK$16,500-HK$25,100 | HK$37,700-HK$87,100 | HK$92,000-HK$145,000 |
##It is an approximate value based on the consumer prices and average living expenses of an individual. It is advisable to consider income level, spending habits, location, and specific monthly expenses to calculate an accurate budget.
Do’s and don’ts
Do’s
- Take advantage of public transportation – One of the reasons why Hong Kong’s standard of living is high is due to its amenities. Hong Kong’s efficient and affordable public transport includes buses, trams, eateries and the MTass Transit Railway. Using an Octopus card you can make your travel more convenient and economical. This card can also be used for purchases at stores and eateries.
- If you are a student, opt for university accommodation – University-provided residence halls or hostels are generally more affordable than renting an off-campus apartment. They are also usually closer to the campus, which can help save on transportation costs. Don’t forget to search for an affordable# money transfer option to fund your overseas education.
- Opt for local dining options – Eating at local cafes, campus canteens for students, or local eateries is more affordable than dining at international chains or high-end restaurants. These places offer delicious food at reasonable prices and provide a chance to explore local cuisine.
- Utilise public healthcare – Public healthcare in Hong Kong is relatively affordable. However, having private health insurance as a foreigner can prove beneficial in many ways, reducing costs and providing additional coverage in times of need.
Don’ts
- Do not rely on personal vehicles – Owning a car in Hong Kong can be expensive. The costs of parking, maintenance and insurance charges are considerably high.
- Do not bring excessive belongings – Although rents are high, Hong Kong has small apartments which average to about 470 square feet. Bringing along necessities and minimal luggage will help you save on shipping costs and avoid cluttering your new space.
- Don’t overlook utility deposits – Properties often require deposits for utilities such as electricity and gas. Clarify these details before signing the lease.
Can’t afford Hong Kong? Here are some cost-effective options
Beijing
China’s capital, Beijing offers an attractive expense of rich culture and modern amenities. The cost of living in Beijing is considerably economical compared to Hong Kong.
The efficient transport systems, affordable cost of living and reputable schools make it a great place for international students and workers. Beijing is also known for its quality healthcare and amenities.
Average cost of living per person: HK$ 8,316
Shanghai
Shanghai is renowned for its culinary scene and offers a unique experience for visitors in China. It’s also home to prestigious universities that offer quality education. Additionally, Shanghai provides abundant job opportunities across various industries, making it attractive for those seeking cultural immersion and career advancement.
Average cost of living per person: HK$ 9292
Guangzhou
Guangzhou, the capital of Guangdong province, is central to China’s manufacturing and trading sectors, making it ideal for entrepreneurs, business professionals, and technology experts due to the high demand and opportunities in these fields.
Despite being a major city, Guangzhou offers a relatively low cost of living compared to Hong Kong and other Chinese cities.
Average cost of living per person: HK$ 5794
Before you go…
Hong Kong offers immense growth opportunities for both international students and working professionals. However, relocating to a new country makes research and comprehensive understanding of taxes and income levels in Hong Kong necessary.
Incorporating cost-effective methods and planning your budget in advance helps maintain financial stability and reduces money-related stress in a new environment. Another important factor is choosing a reliable and affordable# service for transactions between Hong Kong and your home country, like Instarem.
It is a fast** and economical service you can opt for to send money from Hong Kong. It offers competitive conversion rates for all currencies, including HKD to INR, which helps you save on frequent transaction costs.
Moreover, Instarem offers InstaPoints on multiple transactions, which can help you get discounted rates when you send money to India from Hong Kong.
You can now also download the Instarem app from the App Store and Google Play for hassle-free money transfers at your convenience.
FAQs
Q. Is it expensive to live in Hong Kong?
Yes, as per Mercer’s Cost of Living report in 2024, Hong Kong is ranked 1 as the most expensive place to live for international employees.
Q. How much money do you need to live in Hong Kong?
Your budget to live in Hong Kong entirely depends upon your lifestyle and rental location. A budget between HK$37,700-HK$87,100 should suffice for a single person to live comfortably in Hong Kong.
Q. How much does it cost for international students to live in Hong Kong?
For an international student to live comfortably in Hong Kong their budget should be around HK$16,500-HK$25,100.
Q. Is it cheaper to live in Sydney or Hong Kong?
According to livingcost.org, living in Hong Kong is 5% cheaper than living in Sydney.
Q. What is the average room rent in Hong Kong?
The average room rent in Hong Kong is around HK$ 18,744.44.
Q. How much is the cost of living in Hong Kong per month?
The average monthly cost of living in Hong Kong for a single person is around HK$ 20,411.
Q. How much is the cost of living in Hong Kong for a couple?
The average monthly cost of living in Hong Kong for a couple is around HK$ 24,576.
Q. What is the cost of living in Hong Kong for a single person?
The average monthly cost of living in Hong Kong for a single person is around HK$ 20,41.
Q. What is the cost of living in Hong Kong for a family?
The average monthly cost of living in Hong Kong for a family of four is HK$49,151.
Q. What is a good salary in Hong Kong?
The average monthly salary in Hong Kong is approximately HK$ 36,700. However, lifestyle choices, spending habits, rental location, and expenses like medical insurance can affect your disposable income.
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Disclaimer:
- This article is intended for informational purposes only. All details are accurate at the time of publishing. Instarem has no affiliation or relationship with the products or vendors mentioned.
- Prices mentioned in this blog are subject to change.
- ** Fast means 75% of our transactions are completed in 15 minutes. Depending on the funding method.
- # When it comes to affordable exchange rates and fees, it’s worth noting that the cost will vary depending on how you choose to fund your transactions. Credit card funding and bank transfer fees can differ significantly.
- The prices were taken between 28th and 30th June 2024 from different sources and are subject to change.
Citations:
[2]https://data.worldbank.org/indicator/SL.UEM.TOTL.ZS?locations=HK&skipRedirection=true&view=map
[3]https://data.worldbank.org/indicator/FP.CPI.TOTL.ZG?locations=HK&skipRedirection=true&view=map
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