Ukraine is one of the cheapest countries to live in the entire world. As the second poorest country in Europe, a significant amount of the population manages to get by on roughly $400-$600 a month. While many may believe that this means it is a less than desirable place to live, it is quite the opposite. For someone earning a salary in US dollars, euros or pounds, Ukraine is an incredibly inexpensive place to live. Today, we’re going in-depth to discuss the realities of the cost of living in Ukraine.
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Why is The Cost of Living in Ukraine So Cheap?
I remember being a young, 10-year-old child and going on vacation to Mexico with my parents. While everyone in my family couldn’t stop talking about going snorkeling, trips to the beach, and our hotel, my Dad was transfixed on something else entirely.
“This exchange rate is amazing. It’s cheaper there for us, right now.”
This was one concept I couldn’t quite wrap my head around. How could prices be lower if you go to another country? Why is it that money from the West is worth more than the money in Mexico?
Alas, this was my first ever exposure to something known as the “exchange rate.”
An exchange is simply the amount of currency that you can exchange for another.
For example, the euro and the dollar are relatively close in terms of their value, with the euro often being worth just a few cents more per dollar.
The British pound, on the other hand, is typically worth 30% more than each dollar, currently equaling out to £1 to $1.24.
And, due to the economically depressed nature of Ukraine, 1 American dollar goes a very long way compared to what it is worth at home.
The Ukrainian Exchange Rate
For example, in Ukraine, $1 is worth roughly ₴27 hryvnias (the Ukrainian currency).
That’s roughly the cost of a beer in a pub or a snack on the street. ₴80 hryvnias, or about $3.20, will get you a small meal in some restaurants. ₴120 hryvnias, or $5, will get you a very proper lunch in many restaurants.
Really, it should come as no surprise that money from one of the strongest economies on earth is worth a substantially large amount in countries like Ukraine, Georgia, or even Serbia.
On top of that, it’s not just the dollar that allows a huge amount of economic mobility in developing countries. The euro, pound, franc, and every other prominent currency enjoys this same benefit.
As such, even a meager internet based salary (by Western standards) can very well put you in the top 10% of earners in the country.
That’s right. If you can make even as little as $30,000 a year online, you can absolutely live in an upper-class lifestyle in Ukraine. Plus, as someone who resides outside of their home country for a significant amount of time, you’ll quite likely be exempt from paying the majority of taxes that your fellow citizens are required.
In fact, you will most likely be extremely hard-pressed to spend $30,000, particularly if you’re living outside of Kyiv.
As you can see, living in Ukraine as a foreigner can be a pretty sweet deal.
And it gets even sweeter if you’re careful with which city you pick!
Which City Will You Choose?
Below, we outline just how expensive each Ukrainian city is.
Kyiv
It goes without saying that Kyiv is the city with the highest cost of living in Ukraine. Even still, it is extremely cheap by Western standards. The only even slightly expensive bill you may run into in Kyiv is for housing in the city center. While you can certainly live in a studio outside of the center for $450 a month, most people I know are paying $750 a month for a spacious flat in a great location. Other than that, restaurants, bars, taxis, and groceries are still going to be dirt cheap and comparable to the rest of Ukraine.
To be fair, truly living the “good life” in Kyiv where you’re trying to be a budget baller is a little more challenging as it’s a large-scale business hub. I’d generally say that you should be prepared to spend an extra $350 a month if you choose to live in Kyiv as opposed to any other city in Ukraine.
Lviv
Lviv is said to be one of the cheapest cities in Europe right now. Friends who visited from Thailand even said that Lviv is far cheaper than Southeast Asia in many places. The only issue is that, due to the fact that it is the most touristic town in Ukraine, you occasionally may see a small hike in prices at restaurants, but only if you plan on going to the most luxurious of places. Realistically, you’ll still be paying less than $25 for a nice meal for two. New apartments can be had for under $400 a month in the direct center.
Kharkiv
Surprisingly, Kharkiv is thought to be one of the cheapest cities in all of Ukraine, even more than Lviv. While it is the second-largest city in the country, it is generally not visited by many tourists and is very much a student town. On top of that, I’ve heard of numerous Americans working there in IT, often making upwards of $30 per hour as there’s a fair amount of outsourcing that’s taking place there. Again, you’ll be looking at paying less than $400 a month for a newly renovated apartment and lunches for $3-$5.
Other Towns
If you are truly obsessed with saving money, you could very well choose to spend some time in a city like Dnipropetrovsk, Ivano-Frankivsk, or Chernivtsi. In each of these places, you should absolutely be able to rent a genuinely nice apartment for less than $350 each month and see even further savings in virtually every other category.
Even still, I find life in these places to be drab and boring. I’d rather find ways to make more money and live in a larger city.
Ultimately, life can be lived for less than $1000 in every city in Ukraine if you are truly pinching your pennies. On the other hand, you can easily spend $2000 a month living in the direct center of Kyiv.
Personally, I find a lifestyle balance right in the middle of those two numbers.
Your Lifestyle Dictates Your Spending
Ultimately, the beauty of Ukraine is that you can live there on a skint budget, or you can spend a little more cash and live it up. It’s up to you.
I’ve met plenty of thrifty expats with $500 to their name having plenty of fun drinking their way across the country and staying in hostels. On the other hand, I’ve met plenty of location independent entrepreneurs who are jet-set on scaling their online businesses.
I do find it hard to believe that most normal people will reasonably spend more than $2,500 each month while living in Ukraine. You would have to be living a truly extravagant lifestyle, going out to eat each night, and likely paying off a vehicle as well.
I certainly could choose to do this myself, but I personally like to watch that cash stack up.
Personally, I find the biggest advantage to living in a developing country being that you can set aside a huge amount of your income into investments which then have the ability to help you make money while you sleep.
These can be as simple as investing in a stock market mutual fund such as those offered through Vanguard, or even purchasing real estate and renting it out on Airbnb.
It is for this reason that I generally choose to spend about $1250 a month in total for all of my living expenses.
My Monthly Budget: The Cost of Living in Ukraine in Real Life
Below, I’m giving you a breakdown on my monthly budget so you can see my exact cost of living in Ukraine.
Necessary Expenses
$600 – Rent & Bills.
I will admit that I’m slightly overpaying, as I tend to move cities quite a bit. As I’m on a month to month agreement with the landlord, it is slightly higher. Realistically, if I were to agree to a year, this would drop to $500 a month or less. This price includes all bills, including heating, air conditioning, and water.
Even still, my place is brand new, in the nicest part of town, and mine alone. I could hire a maid for $4 an hour, but I’ve been a little bit cheap lately.
$250 – Food.
I eat quite a lot. Most people are not going to spend $250 a month on food. I’m rather serious about physical training, so I follow a diet where I consume a large amount of protein each day and roughly 2500 calories to go along with it.
These costs do add up for me, which is fine. In the USA, I’d be paying double this.
$80 – Going Out
I quite enjoy hitting the local bars and nightclubs no matter where I’m at. I don’t shy away from taking girls on dates that may cost up to $20 for a few cocktails.
Going out is a big part of dating.
I welcome this expense and am glad to pay it.
$50 – $100 – Restaurants
Though I love cooking at home, I go out to eat pretty frequently. Lately, it’s been a bunch of little business lunches and street food. I’d say I’m having at least one meal in a restaurant every three days or so.
But, there’s been times where I’ll take girls on dates to the fanciest places, and I’ve paid $80 for a meal and a few bottles of wine that would have cost $180 in any other city.
This also includes near-daily trips to the coffee shop, where I’ll purchase one or two cappuccinos for a whopping total of $3.
Somewhat Unnecessary Expenses
$100 – Clothing
Clothes at stores like Zara and H&M are largely the same price as in the West. Nice trainers from Nike or Reebok are also similarly priced, depending on where you purchase them.
Generally speaking, you’re not going to save money on fashion in Ukraine unless you plan on hitting up the town’s second-hand stores, which can yield some pretty interesting pieces if you’re into fashion. It’s in these places that they price clothing by the kilogram. Last I checked, it was about $3 per kilogram of clothes!
I don’t have the patience for this, and these shops are notoriously dirty. Hipster girls love them, though. Plus, I didn’t move to Ukraine so I can shop at the thrift store!
I just go to the local mall and pay Western prices.
$50 – Taxis
I take taxis way too much, but I don’t care. It’s part of the luxury of being in Ukraine. You can simply use Uber as you would in the West, and it’s about 1/10th the cost.
Yes, taxi rides are usually no more than $3. It’s amazing. This is perhaps the biggest saving that you will encounter on your expat journey.
All in all, that $50 paid for 15 taxi rides. Realistically, I could just use public transportation for .30 cents a ride, but I’m kind of lazy and frequently miss the busses and trains in my area.
$50 – Personal Care
This is a category for things like toothpaste, deodorant, pharmaceuticals, and cosmetics. These things are definitely cheaper than in the West by at least 30-40% or so. Better yet, it’s the exact same products, down to the brand names.
$12 – Cellphone
Of course, I have to mention my cellphone plan with Life Cell.
$12 gets me unlimited calling, data, and texting. I use my data plan to create a mobile hotspot when I’m away from WiFi, too.
TOTAL: $1250
Conclusion: The Cost of Living in Ukraine is a HUGE Benefit
The cost of living was one of the first things that enticed me into moving to Eastern Europe. I was absolutely sick of having to check my bank account every day and worry that taking a few taxis and wanting to have my own apartment would bankrupt me.
Since moving to Ukraine, I have been able to significantly increase my net worth, despite the fact that I made more money while living in the United States.
For this, we can thank Ukraine’s extremely low cost of living.
While many people may believe that at expat goes to a developing country to be stingy with their money, the fact is living abroad presents a unique opportunity to get years ahead of your peers in terms of your total net worth and portfolio size.
Or, you can just enjoy cheap beer and live the easy life.
The choice is yours!
PS: If you’re reading this because you’re interested in meeting Ukrainian women, I highly suggest checking out this website.
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