Germany is known for its high standard of living, yet it remains one of the more affordable countries in Western Europe. Whether you're a student, professional, or family planning to move, understanding the cost of living will help you manage your finances efficiently.

Monthly Expenses Breakdown

Here's a typical monthly cost breakdown for someone living in a mid-sized German city:

• Rent (shared apartment or student housing): €300–€600

• Utilities & Internet: €80–€150

• Groceries: €150–€250

• Transportation (monthly pass): €49 (Deutschlandticket)

• Health Insurance: €100–€120 (student), €300+ (working professional)

• Leisure, dining, and personal: €100–€200

The total monthly cost ranges from €850 to €1,200 depending on lifestyle and location.

Affordable Cities to Live In

While cities like Munich and Frankfurt are expensive, many affordable options exist:

• Leipzig: Budget-friendly housing and vibrant student life

• Dresden: Beautiful architecture with low cost of living

• Aachen: A tech hub with student-focused amenities

• Jena & Erfurt: Small towns with major universities and low expenses

Saving Tips for Students and Expats

• Apply for a semester ticket for unlimited public transport.

• Cook meals instead of dining out—groceries are affordable, especially at Aldi or Lidl.

• Use student discounts at cinemas, museums, and restaurants.

• Join free university clubs or local communities for socializing and networking.

Unexpected Costs to Watch Out For

• TV License Fee (Rundfunkbeitrag): ~€18/month per household

• Visa/residence permit fees: Can go up to €100–€150 depending on type

• Housing deposits: Usually 2–3 months’ rent

• Blocked account for students: Minimum €11,208/year (as of 2025)