Methodology & Data Sources

Data sources

PlainCostOfLiving's European figures draw on official Eurostat statistics, cross-referenced with national statistics offices and OECD data for countries outside the EU/EEA:

  • Eurostat comparative price levels (Purchasing Power Parities / Price Level Indices, prc_ppp_ind) – the cost-of-living indices used for European countries, expressing the price of a standardised basket of goods and services with the EU-27 average set to 100, broken down by category: rent and housing, groceries, transport, healthcare, utilities and dining.
  • Eurostat income statistics (ilc_di03) – median net household income for European countries, used to compute real affordability (income relative to the local price level).
  • National statistics offices, blended with Eurostat/OECD benchmarks – for a handful of European countries not fully covered by the Eurostat comparative price-level release (UK: ONS Family Spending; Switzerland: BFS; Norway: SSB; Iceland: Statistics Iceland), and for the non-European countries covered by the site.
  • OECD Purchasing Power Parities and price level data – the primary cross-check for the non-European countries covered (Australia: ABS; Canada: StatsCan; Israel: CBS Israel; Japan: national statistics; Mexico: INEGI; New Zealand: Stats NZ; Singapore: SingStat; South Korea: KOSIS; United States: BLS Consumer Expenditure).

Figures are compiled as a curated, periodically-refreshed baseline against these published releases rather than a live automated feed, so indices reflect the most recent statistical-agency releases available at the time of each refresh, not real-time API pulls. See "Accuracy & updates" below.

Coverage

The site primarily covers European countries with comparative price-level data published by Eurostat, plus a selection of major non-European economies (see "Data sources" above) benchmarked via OECD and national statistics offices. For each country we hold an overall cost-of-living index plus six category indices (rent, groceries, transport, healthcare, utilities, dining) and median net income, all on the EU-27 = 100 scale. Cities are covered with euro-denominated reference costs where available.

What a price-level index means

A comparative price-level index measures what an identical basket of goods and services costs in each country, benchmarked to the EU-27 average of 100. An index of 120 means prices are roughly 20% above the EU average; 80 means about 20% below. Because the basket is the same everywhere, the figures are directly comparable across countries, they strip out exchange-rate distortion and differences in what people typically buy, which raw local prices cannot.

Affordability (best value)

A low price level alone does not mean a high standard of living, because incomes differ too. To capture real affordability we divide a country's median net income by its overall price-level index:

affordability = median net income ÷ cost index × 100

A higher score means a typical income stretches further against local prices. This is the basis of the best-value ranking, and it explains why the cheapest countries are not always the ones where people live best.

The cost-of-living calculator

To estimate the income needed to maintain the same standard of living when moving between countries, the calculator scales the income you enter by the ratio of the two price levels:

equivalent income = your income × (destination index ÷ origin index)

This is a directional estimate based on national-average price levels, not a personal budget. It does not account for your specific housing, lifestyle or city, which can move real costs well above or below the national figure.

Category indices

Beyond the headline figure, each country carries six category price levels on the same EU-27 = 100 scale, so you can see where the cost difference actually sits:

  • Rent & housing - the largest line in most household budgets, and usually the category that drives the overall index up or down.
  • Groceries - food and non-alcoholic beverages, the most frequently purchased basket.
  • Transport - fuel, fares and the cost of getting around.
  • Healthcare - out-of-pocket health costs, which vary widely with each country's public provision.
  • Utilities - electricity, gas, water and heating.
  • Dining - restaurants and hotels, a useful proxy for the cost of services.

Because a country can rank cheap on one category and expensive on another, the category indices often tell a more useful story than the overall number on its own, cheap groceries do not guarantee cheap rent.

Accuracy & updates

Every figure displayed is compiled directly from the published statistical-agency releases named above, not invented or projected; the underlying values are a curated, rounded baseline refreshed periodically against those releases rather than a live automated data feed. When Eurostat, OECD, or a national statistics office publishes a new comparative price-level release, we refresh the site so the indices reflect the latest figures available at that time. If you spot a value that looks wrong, tell us the country and category and we will trace it back to the source.

Limitations

  • Price levels are national averages; capitals and large cities typically run above the national figure.
  • Eurostat's comparative price-level programme covers EU and associated European countries; the site's coverage of non-European countries relies on OECD and national statistics offices instead (see "Data sources" above), so cross-region comparisons blend multiple statistical methodologies rather than a single harmonised source.
  • Figures reflect the most recent statistical-agency release available at the time of each refresh and may lag very recent price movements; they are a periodically-refreshed baseline, not a real-time feed.
  • PlainCostOfLiving is not affiliated with Eurostat, the OECD, or any government agency. The site is for information only and is not personal financial advice.

Contact

Questions about our methodology? Contact us.