Frequently Asked Questions
What is a cost-of-living price-level index?
It measures what a standardised basket of goods and services costs in each country, with the EU-27 average set to 100. An index of 120 means prices are roughly 20% above the EU average; 80 means about 20% below. Because the basket is identical everywhere, the figures are directly comparable across countries, unlike raw local prices, which are distorted by exchange rates and differing consumption patterns.
Which European country is cheapest to live in?
By overall price level, the cheapest countries are clustered in Central and Eastern Europe. The exact order is in the cheapest-countries ranking, which is computed live from the Eurostat data. Remember that the cheapest country is not necessarily the one where you live best, incomes there are often lower too.
Does a low cost of living mean a high standard of living?
Not on its own. Affordability is income measured against prices. A cheap country with low pay can leave a resident no better off than a pricier country with higher pay. Our best-value ranking divides median net income by the local price level to show where a typical income actually stretches furthest.
How current is the data?
The price-level indices reflect Eurostat's most recent annual comparative price-level release. Eurostat publishes these once a year and we refresh the site when a new release lands. Prices change continuously, so treat the figures as the latest official annual snapshot rather than today's shelf price.
Are city-level costs included?
The country indices are national averages. Capitals and large cities typically cost more than the national figure, so use the country numbers as a baseline and adjust upward for a major city. Where city-level reference costs are available we show them separately.
How does the cost-of-living calculator work?
It scales the income you enter by the ratio of two countries' price levels, destination index ÷ origin index, to estimate the income you'd need to keep the same standard of living. It is a directional estimate based on national averages, not a personal budget; your real costs depend on housing, lifestyle and city.
Where does the data come from?
All figures are compiled directly from official Eurostat statistics: comparative price levels (built on the Harmonised Index of Consumer Prices) and income statistics. Every country page links back to the Eurostat source so you can verify any number.