Cost of Living in Japan

The cost of living in Japan tends to be high, but it's important to remember that Japanese salaries are also lucrative. This makes it entirely possible to live a good life in Japan without breaking the bank – and the average Japanese standard of living ranks among the best in the world.

The vast majority of Japan's expats live in Tokyo, Osaka, or Nagoya, the three largest urban areas. Tokyo is by far the most expensive Japanese city, though Yokohama and Nagoya are also fairly pricey. Expats living in Japan's rural areas will enjoy a lower cost of living than in the urban centres.

Cost of accommodation in Japan

Your most significant monthly expense in Japan will undoubtedly be accommodation, but choosing carefully can reduce costs. The housing market offers a wide range of options, from apartments in high-rise buildings to traditional Japanese houses.

In major cities like Tokyo and Osaka, apartments are the most common housing type. They range from compact studios to larger, multiple-bedroom options. When searching for accommodation in Japanese cities, it's worth bearing in mind that space is at a premium, and even smaller spaces can come with a hefty price tag.

On the outskirts and in less densely populated areas, you may find detached houses, frequently featuring traditional Japanese architectural elements. Though these are generally more affordable, you're likely to face fierce competition for any type of accommodation, so it's best to start the house hunt well in advance.

Renting Accommodation in Japan
Best Areas and Suburbs in Tokyo

Cost of transport in Japan

While public transport in Japan is expensive compared to other Asian countries, its efficiency and convenience are unparalleled, making it the easiest way to navigate the country.

Japan's train system is extensive, punctual and of excellent quality, with the Shinkansen, or bullet train, connecting major cities at remarkable speeds. In urban areas, metro systems are the primary mode of transport, offering affordable and frequent service. Buses fill in the gaps and provide connectivity in areas not served by trains.

Most expats opt not to purchase a vehicle, as driving in bustling Japanese cities tends to be more of a hassle than it's worth, with steep costs associated with parking, tolls and fuel. Instead, bicycles are popular for short-distance travel, providing a cost-effective and environmentally friendly alternative.

Public Transport and Driving in Japan

Cost of food and groceries in Japan

Japan is a haven for food enthusiasts, offering everything from sushi bars and traditional tea houses to international fast food and street stalls, catering to all tastes and budgets. The absence of a tipping culture in Japan can also make dining out more affordable than in other countries. Japan's convenience stores also offer a surprisingly diverse selection of affordable, ready-to-eat meals, making them a fantastic option for a quick, cheap bite.

While vegetables and fruit might seem rather expensive initially, you should remember that they are always top quality, fresh and usually locally grown. Seafood is relatively cheap, and most supermarkets offer evening discounts to get rid of that day's stock (fresh foods are rarely kept for sale the next day).

Cost of entertainment and nightlife in Japan

Japan's entertainment spectrum spans from traditional theatres and sumo matches to modern cinemas, nightclubs, and amusement parks. With careful planning, you can access these affordably, using discounts or drink-inclusive cover charges.

Japan also hosts numerous cultural festivals throughout the year, which are often free. These events, featuring traditional music, dance and food, offer a cost-effective and unique opportunity to appreciate Japan's rich cultural heritage.

Izakayas, Japanese-style pubs, offer affordable options and are favoured by locals and expats alike. They regularly have nomihoudai (all-you-can-drink) and tabehoudai (all-you-can-eat) deals, which can be an economical way to enjoy a night out.

Shopping, Entertainment and Nightlife in Tokyo
Top Attractions in Tokyo

Cost of education in Japan

If you're relocating to Japan with children, you'll need to factor in the cost of schooling. Most expats send their children to an international school that teaches a non-Japanese curriculum, typically that of the US, UK or International Baccalaureate.

International school fees in Japan can be pricey, but these schools also usually have excellent facilities and teaching standards. Parents should also note that extra costs, such as uniforms, stationery and field trips, frequently aren't included in the tuition fees, so parents will need to account for these as well.

Education and Schools in Japan
Best International Schools in Tokyo

Cost of healthcare in Japan

Japan has universal public healthcare. All Japanese citizens have public health insurance, and companies must often provide additional insurance to their employees. This means that, for expats, healthcare costs can be relatively low. In some cases, private care and insurance are necessary, such as for those staying in Japan for the 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. Researching the different public and private options available is still a good idea.

Healthcare System and Health Insurance in Japan