Last update: Oct 2026

Cost of Living Comparison Between Iceland and Australia

Name: Australia
Address: AU

For one person, living is cheaper in Australia: $2,626 a month against $3,897 in Iceland, rent and utilities included – about $15,300 less a year. Rent and utilities account for about half of the difference.

187

Cost of Living Index in Iceland
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Iceland Living Index
125

Cost of Living Index in Australia
Learn more

Australia Living Index

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🇮🇸 Iceland

$3,897

/mo nomad

🇦🇺 Australia

$2,626

/mo nomad

Monthly Cost of Living

How much you'll spend in Iceland and in Australia

Real prices from locals and on-the-ground checks – rent, groceries, transit and the daily extras. Here's what a month in Iceland and in Australia actually costs, broken down by who's living it.

A single person spends $3,897 per month in Iceland vs $2,626 in Australia, rent included.

Iceland $3,897
Australia $2,626

A couple spends around $5,533 per month in Iceland vs $3,810 in Australia, rent included.

Iceland $5,533
Australia $3,810

A family of three spends $7,168 per month in Iceland vs $4,994 in Australia, rent included.

Iceland $7,168
Australia $4,994

The regional cost range is wider in Iceland ($179–$4,040) than in Australia ($1,068–$3,303), so city choice matters more there.

The cost of living in Iceland is about 48% higher than in Australia on average.

Both Iceland and Australia are pricier than the global median – Iceland by 186%, Australia by 93%.

Meal at Budget Restaurant

$28.48 ISK 3,457

$17.65 A$25.19

61.36%

Three-Course Dinner for Two, Mid-Range

$123 ISK 14.9K

$85.2 A$122

44.40%

Fast Food Meal (McDonalds, etc)

$23.70 ISK 2,877

$11.09 A$15.83

113.71%

Cappuccino

$6.09 ISK 740

$3.90 A$5.56

56.15%

Coke/Pepsi/Fanta/Sprite (0.33 liter bottle)

$3.11 ISK 378

$2.85 A$4.07

9.12%

Water (0.33 liter bottle)

$2.95 ISK 358

$2.31 A$3.30

27.71%

Local Beer (0.5 liter draught)

$12.19 ISK 1,479

$7.53 A$10.75

61.89%

Imported Beer (0.33 liter bottle)

$12.42 ISK 1,508

$8.59 A$12.25

44.59%

Milk (1 liter)

$2.03 ISK 246

$1.76 A$2.51

15.34%

White Bread (500g)

$3.99 ISK 484

$2.81 A$4.01

41.99%

Rice (white) (1kg)

$3.45 ISK 419

$2.24 A$3.20

54.02%

Eggs

$7.17 ISK 870

$5.02 A$7.17

42.83%

Local Cheese (1kg)

$20.65 ISK 2,507

$9.87 A$14.08

109.22%

Chicken Fillets (1kg)

$24.78 ISK 3,008

$9.32 A$13.30

165.88%

Beef Round Steak (1kg)

$42.17 ISK 5,119

$14.86 A$21.21

183.78%

Apples (1kg)

$3.01 ISK 366

$3.82 A$5.45

-21.20%

Banana (1kg)

$2.67 ISK 325

$2.92 A$4.17

-8.56%

Oranges (1kg)

$3.15 ISK 382

$3.13 A$4.47

0.64%

Tomato (1kg)

$5.93 ISK 719

$4.81 A$6.86

23.28%

Potato (1kg)

$3.86 ISK 469

$2.80 A$4.00

37.86%

Onion (1kg)

$1.85 ISK 225

$2.38 A$3.40

-22.27%

Lettuce (1 head)

$3.59 ISK 436

$2.37 A$3.39

51.48%

Water (1.5 liter bottle)

$1.89 ISK 229

$1.65 A$2.36

14.55%

Cigarettes 20 Pack (Marlboro, Camel)

$14.17 ISK 1,721

$39.13 A$55.9

-63.79%

Wine (Bottle)

$22.52 ISK 2,734

$13.93 A$19.88

61.67%

Local Beer (0.5 liter bottle)

$3.65 ISK 443

$4.96 A$7.07

-26.41%

Imported Beer (0.33 liter bottle)

$3.33 ISK 405

$5.17 A$7.38

-35.59%

One-way Ticket (Public Transport)

$5.51 ISK 669

$2.42 A$3.45

127.69%

Public Transport Monthly Pass (Regular Price)

$94.7 ISK 11.5K

$94.6 A$135

0.10%

Taxi Start (Normal Tariff)

$6.77 ISK 822

$3.49 A$4.99

93.98%

Taxi (Normal Tariff) (1km)

$2.87 ISK 349

$1.60 A$2.28

79.38%

Taxi 1hour Waiting (Normal Tariff)

$79.3 ISK 9,631

$39.84 A$56.9

99.12%

Gasoline (1 liter)

$2.35 ISK 285

$1.39 A$1.98

69.06%

Midsize Hatchback 1.4l (Volkswagen Golf, Toyota Prius, Honda Civic, etc)

$69.7K ISK 8.5M

$30.0K A$42.8K

132.28%

Compact Sedan 1.6l (Toyota Corolla, Mazda3, Kia K4, Hyundai Elantra, etc)

$56.0K ISK 6.8M

$25.8K A$36.8K

117.54%

Utilities for 2 People in 2-bedroom Apartment (Heating, Electricity, Gas, Water, Garbage) (85m2)

$103 ISK 12.5K

$205 A$293

-49.74%

SIM Card Monthly Plan (Calls and 10GB+ Data)

$32.44 ISK 3,939

$28.33 A$40.44

14.51%

Internet (50+ Mbps, Unlimited Data)

$87.9 ISK 10.7K

$58.8 A$83.9

49.50%

Gym Membership (Monthly)

$92.3 ISK 11.2K

$55.7 A$79.4

65.86%

Tennis Court (1 Hour on Weekend)

$52.4 ISK 6,359

$19.57 A$27.94

167.65%

Cinema Ticket

$19.09 ISK 2,317

$15.38 A$21.95

24.12%

Preschool or Kindergarten, Full Day, Private, 1 Child (Monthly)

$947 ISK 115.0K

$2,145 A$3,062

-55.85%

International Primary School, 1 Child (Yearly)

$26.4K ISK 3.2M

$18.3K A$26.2K

43.78%

Jeans (Levis 501 Or Similar)

$149 ISK 18.1K

$78.3 A$112

90.31%

Summer Dress (H&M, Zara, etc)

$47.82 ISK 5,806

$56.3 A$80.3

-15.02%

Sport Shoes (Adidas, Nike)

$172 ISK 20.9K

$115 A$164

49.37%

Men's Leather Business Shoes

$234 ISK 28.4K

$123 A$176

90.14%

1-bedroom Apartment, City Center (Monthly)

$2,575 ISK 312.7K

$1,591 A$2,271

61.87%

1-bedroom Apartment, Outside City Center (Monthly)

$2,041 ISK 247.8K

$1,293 A$1,845

57.90%

3-bedroom Apartment, City Center (Monthly)

$3,504 ISK 425.4K

$2,524 A$3,603

38.80%

3-bedroom Apartment, Outside City Center (Monthly)

$2,712 ISK 329.2K

$2,005 A$2,862

35.24%

Buy Apartment in City Center (m2)

$7,617 ISK 924.7K

$8,751 A$12.5K

-12.96%

Buy Apartment Outside City Center (m2)

$6,338 ISK 769.4K

$6,260 A$8,935

1.24%

Average Monthly Net Salary (After Tax)

$4,789 ISK 581.4K

$3,984 A$5,686

20.21%

20-Year Fixed Mortgage Interest Rate (Annual %)

9.29

5.93

56.66%

CityCost data is based on AI and user input – minor inaccuracies may occur.

Last update for Iceland: October 25, 2026

Last update for Australia: October 27, 2026

Monthly budget structure

Share of the monthly basket for one person, rent included.

Accommodation & Living

Iceland

$2K 52.4%

Australia

$1.3K 49.2% 36.7% $748

Groceries & Markets

Iceland

$611 15.7%

Australia

$374 14.3% 38.7% $236

Eating Out

Iceland

$482 12.4%

Australia

$297 11.3% 38.5% $185

Clothing & Footwear

Iceland

$271 7%

Australia

$168 6.4% 38.2% $104

Monthly Utilities & Internet

Iceland

$223 5.7%

Australia

$292 11.1% 30.8% $69

Getting Around

Iceland

$138 3.5%

Australia

$116 4.4% 16% $22

Sport & Entertainment

Iceland

$130 3.4%

Australia

$86 3.3% 33.8% $44

Cost Breakdown

Average rent: $2,368 in Iceland vs $1,383 in Australia. For reference, capital cities sit at $2,585 in Reykjavik and $1,749 in Canberra.

Average salary: $4,949 in Iceland vs $3,874 in Australia. The income gap affects purchasing power and how far your budget stretches in each country.

Cost Highlights

Rent is 71% higher in Iceland.

Dining out costs 42% more in Iceland.

Salaries are 28% higher in Iceland, and purchasing power comes out stronger in Australia.

Good to know

🇮🇸 Iceland

🇦🇺 Australia

🕒 Local time

19:12 7:12 PM

06:12 6:12 AM

11 h ahead of Iceland

🌤 Weather

👥 Population

364,260

26,473,055

💱 Currency

Icelandic Króna ISK kr

Australian Dollar AUD $

📈 Exchange rate

1,000 ISK = 8.24 USD

1,000 ISK = 7.38 EUR

1 AUD = 0.701 USD

1 AUD = 0.628 EUR

Exchange rates and currency converter

AUD, USD, EUR to ISK – Icelandic Króna Converter

🇺🇸 United States Dollar ($)

🇮🇸 Icelandic Króna (kr)

Icelandic Króna exchange rates as of November 2, 2026: 1 USD = 121 ISK (1,000 ISK = 8.24 USD). 1 EUR = 135 ISK (1,000 ISK = 7.38 EUR).

Australian Dollar exchange rates as of November 2, 2026: 1 USD = 1.43 AUD (1 AUD = 0.701 USD). 1 EUR = 1.59 AUD (1 AUD = 0.628 EUR).

USD to ISK in detail →

On the map

Lowest

Highest

Between locations

Iceland Australia 16,750 km ≈ 21 h nonstop flight

From you

Iceland
Australia

Distances are measured in a straight line. Your location is detected approximately.

City Median Internet Speeds Comparison (Updated April 2026)

The chart highlights the Precision Threshold for mobile and fixed broadband internet speeds, updated quarterly.

Digital Nomad Cost of Living Index

Iceland vs Australia: Cost of Living - Frequently Asked Questions

Australia is the cheaper option – living costs run roughly 33% lower on average.

Housing costs more in Iceland: a central one-bedroom averages $2,368 versus $1,383 in Australia.

Australia is the budget-friendly choice for expats. But cost isn’t everything: visa policies, language, healthcare quality, and job markets all weigh in too.