Cost of Living in Malaysia

When considering this destination as a place to live, the first thing most people will want to know is the cost of living in Malaysia. It's tough to sum it up on a single page as there are so many different lifestyles and expectations. Naturally, the cost of living will vary wildly between those who are single and those who have a family. We'll include some key costs here and you can make your own adjustments from that. This basic information will be critical to those who are negotiating a pay package from their employer.

Whether you are coming here to work or enjoy your retirement, most people from other industrialised nations will find costs considerably lower than they are used to. The tax regime is kept relatively low and at the time of writing there is no capital gains or inheritance tax on assets. If you're are living off savings or a pension from your home country, it's good to know that foreign remittances aren't taxed.

The public transport could be a lot better, so for many families, are car is a must... so it's good to know that expatriates will not be taxed when buying a new vehicle. To sum up this opener, the Malaysian government is keen to give the impression they welcome expatriates.

At the time of writing, the average family income in Malaysia (assuming one parent is working) is 3000 - 3500 RM per month. Obviously, as this is an 'average' figure, many families will earn less... but in our opinion, this figure is on the fringes of what an expatriate could call a comfortable lifestyle. If you're sent to Malaysia by your employer and sending your kids to a private school, the fees are going to look make that average figure look inadequate.

It would be useful to quote some sample monthly costs here (only intended as a rough guideline):

Advertisement: Coming to Malaysia? Take a look at our hotel rates: Malaysia Hotels

Basic Monthly Expenses

Basic mobile phone package: 100 - 150 RM
Gasoline (assuming daily trips to school): 500 RM
Electricity (without aircon): 150 - 200 RM
Broadband Internet: 100 RM
Cable TV: 120 - 150 RM

Health Costs

Doctor's surgery visit (minor ailment): 100 RM
Basic accident emergency insurance: 200 - 250 RM

Groceries

One litre of milk: 4 - 5 RM
12 eggs: 5 RM
1 kilo of onions: 2 RM
Chicken 1 kg: 8 RM
Rice 5 kg: 25 RM

Eating Out

Big Mac: 7 RM
Large pizza: 35 RM
Chinese and Indian restaurants: Average 15 RM per person

Eating at street vendor food stalls is very popular and you can get a decent meal while keeping food costs very low. The cost of electrical goods such as televisions and washing machines compare with most nations, as do the cost of major household furnishings, such as beds, chairs and tables.

Need advice? Got a question? Go to our Malaysia Forum