Cost of Living in Luxembourg: All You Need to Know

This is a landlocked country located in the Western part of Europe. It shares boundaries with different countries such as Germany to the east, Belgium to the North and West, and France to the South.  The capital of the country is Luxembourg City, and it is known for its diverse cultures based on the fact the citizens speak different languages such as German, French, and Luxembourgish. In fact, knowing the cost of living in Luxembourg is an added advantage for you.

It is no doubt the country is one of the smallest countries in the world, there are more facts not yet known by most people from other parts of the world. Although it is small, their Gross Domestic Product is high, and this has made its citizens enjoy a good standard of living. We are going to see interesting facts that are related to Luxembourg.

Facts about Luxembourg

  • It is a trilingual country speaking German, French, and Luxembourgish.
  • The food is a blend of German and French.
  • The country produces exotic wines.
  • It has the second-highest Gross Domestic Product in the world.
  • Most of the citizens are immigrants.
  • The country has the highest rates of car owners in the world.

Cost of Living in Luxembourg

The cost of living in Luxembourg is fair enough compared to other European countries. This is the major reason indigenes from countries such as Germany, France, and Belgium migrate in order to purchase luxury items and electrical pieces of equipment.

The country performs well when it has to do with a good standard of living based on many factors such as earnings, social connections, income, jobs, etc. When it has to do with comparing it with other European countries, for some countries it is cheaper, while for others it is expensive

  • 18% more expensive to Brussels
  • 25% cheaper to London
  • 24% more expensive to Madrid
  • 6% more expensive to Munich
  • 29% cheaper to New York
  • 9% cheaper to Paris
  • 28% cheaper to Paris

Cost of Living in Luxembourg: Real Estate

Getting an apartment in Luxembourg is quite expensive, and if your plan is to reside in the country for a short time frame, it is advisable to rent an apartment. The only reason you can buy an apartment is when you have made up your mind to stay for a longer period of time. People living in high brow areas of Luxembourg pay approximately €1,400 for a single bedroom accommodation, while for a three-bedroom is going to be around €3,500. The amount being paid for an apartment depends on the region.

Cost of Living in Luxembourg: Utility Costs

The utility cost in the country is more expensive compared to other European Union countries. The monthly utility cost for water, gas, and electricity is around €150 to €300. On the other hand, things like phone, television, and broadband begin at €28 for each month and can be increased to €50 per month.

Cost of Living in Luxembourg: Education

The educational standard in the country has a 100% rate of literacy especially for students who are 15 years old. Foreign expatriates who have registered their wards or children are going to enjoy Luxembourgish social security. The tuition fee is approximately €3,000 to €18,500 for pre-school, and for every age, there is a stipulated tuition fee to be paid. The university fee per semester could be around €600 for undergraduate courses and a €100 registration fee.

Read also: Here’s a Quick Way to Obtain Luxembourg Student Visa

Cost of Living in Luxembourg: Transport

The country has awesome public transport comprising trains and buses. In the aspect of transportation, the fare is affordable due to the small landmass of the country. A transport ticket can be sold for €4, or €2 for short tickets. If you are after a monthly ticket to use for your transportation then be ready to pay €40. The good thing is the ticket can be used on both buses and trains.

Cost of Living in Luxembourg: Healthcare

Luxembourg has a good public healthcare system that offers free healthcare to its citizens. For the employed citizens, they pay 2.8% of their gross earnings. The self-employed citizens have to pay an amount to get free healthcare. For instance, manual workers pay 10%, while professional pay 5.2% of their gross earnings. The essence of the money is to cover all the medical costs such as consultations, childbirth, hospitalization, medical prescriptions, rehabilitation, and many others.

Read also: How to Obtain Permanent Residency in Luxembourg


The cost of living in Luxembourg is still affordable in some areas when it is being compared with other European countries. If you have a steady high paying job in Luxembourg, you will be able to cater for your day-to-day expenses.

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