Japan has a reputation for having an exorbitantly high cost of living. Nevertheless, it's quite possible to live a good life in Japan without breaking the bank. It's important to remember that Japanese salaries are also quite high. The average Japanese standard of living ranks among the highest in the world.
The vast majority of Japan’s expats live in Tokyo, Osaka or Nagoya. These are the three largest urban areas. Tokyo is by far the most expensive Japanese city, ranking second in Mercer's Cost of Living Survey for 2019 – Osaka ranked 19th and Nagoya 33rd out of 209 expat destinations surveyed.
Cost of food in Japan
It's easy to find good deals on meals in Japan due to fierce competition between restaurants. Eating out can even work out cheaper than cooking at home if expats don't mind a frequent diet of noodles. It's also worthwhile to check out the basement floors of most department stores, where there are food courts selling goods at extremely reasonable prices.
While vegetables and fruit might seem rather expensive at first, expats should bear in mind that they are always top quality, super fresh and usually locally grown. Seafood and fish are relatively cheap and most supermarkets offer evening discounts to get rid of that day’s stock (fresh foods are very rarely kept for sale the next day).
Cost of accommodation in Japan
The largest expense an expat will have in Japan is accommodation. There is a wide range of options available to suit every possible taste and preference, but it is important to bear in mind that competition is fierce and costs can be pricey even for small, sub-standard spaces.
Cost of healthcare in Japan
Japan has universal public healthcare. All Japanese citizens have public health insurance while companies must often also provide additional insurance to their employees. This means that for expats, healthcare costs can be relatively low. Although, in some cases, private care and private insurance are necessary, such as for expats who are staying in Japan for only a short term. The standard of care in both public and private hospitals is high as Japan's healthcare system is one of the best in the world. It's still a good idea to conduct some research on the different public and private options available to expats.
Cost of transport in Japan
While public transport in Japan is expensive compared to other Asian countries, it's highly efficient and the easiest way to travel around the country. Most expats opt not to own a vehicle seeing as driving is often more trouble than it's worth in bustling Japanese cities – the cost of parking being just one of the cons in a long list containing few pros.
Cost of schooling in Japan
Expats relocating to Japan with children will need to factor in the cost of schooling. Most foreigners choose to send their children to international schools which follow the same curriculum as they would in their home country. International school fees in Japan can be extremely high. Parents should also note that extra costs, such as for uniforms, stationery and field trips, usually aren't included in the high school fees. Some schools charge various additional fees for holding a place for a student as well as for applications.
Cost of living in Japan chart
Note that prices may vary depending on product and service provider. The list below shows average prices for Tokyo in May 2020.
Accommodation (monthly) |
|
Three-bedroom apartment outside of city centre |
JPY 155,000 |
Three-bedroom apartment in city centre |
JPY 300,000 |
One-bedroom apartment outside of city centre |
JPY 78,000 |
One-bedroom apartment in city centre |
JPY 130,000 |
Groceries |
|
Dozen eggs |
JPY 250 |
Milk (1 litre) |
JPY 195 |
Loaf of white bread |
JPY 202 |
Rice (1kg) |
JPY 625 |
Chicken breasts (1kg) |
JPY 825 |
Pack of cigarettes (Marlboro) |
JPY 510 |
Utilities (monthly) |
|
Mobile call rate (per minute – mobile to mobile) |
JYP 46 |
Internet (average per month) |
JYP 4,730 |
Utilities (average per month for standard household) |
JYP 22,000 |
Eating out and entertainment |
|
Three-course meal at a mid-range restaurant for two |
JYP 5,000 |
Big Mac Meal or equivalent |
JYP 700 |
Cappuccino |
JYP 390 |
Coca-Cola (330ml) |
JYP 140 |
Local beer (500ml) |
JYP 500 |
Transport |
|
Taxi rate per km |
JYP 425 |
City centre public transport |
JYP 200 |
Petrol (per litre) |
JYP 140 |
Further reading
►For more about money matters, read Banking, Money and Taxes in Japan.
►Transport and Driving in Japan provides an overview of transport options for expats in Japan.
Expat Interviews
"Without a base reference, you actually don’t know what is expensive and what is good value. It takes time to learn this, but after a while your cost of living comes down." Read more about the cost of living in our interview with Jonathan, a British expat.
Are you an expat living in Japan?
Expat Arrivals is looking for locals to contribute to this guide, and answer forum questions from others planning their move to Japan. Please contact us if you'd like to contribute.
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