Cost of Living Comparison Between Italy and Iceland Cost of Living Comparison Between Italy and Iceland

Name: Iceland
Address: IS

Monthly Cost of Living

A single person spends $1,718 per month in Italy vs $1,713 in Iceland, rent included.

A couple spends around $2,621 per month in Italy vs $2,544 in Iceland, rent included.

A family of three spends $3,524 per month in Italy vs $3,375 in Iceland, rent included.

Both Italy and Iceland are pricier than the global median – Italy by 29%, Iceland by 28%.

Meal at Budget Restaurant

$17.58 €15.36

$26.73 ISK 3,331

-34.23%

Three-Course Dinner for Two, Mid-Range

$82.5 €72.0

$129 ISK 16.1K

-36.24%

Fast Food Meal (McDonalds, etc)

$11.72 €10.24

$19.72 ISK 2,457

-40.57%

Cappuccino

$1.92 €1.68

$6.00 ISK 748

-68.00%

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

$2.99 €2.61

$3.30 ISK 412

-9.39%

Water (0.33 liter bottle)

$1.36 €1.19

$2.64 ISK 329

-48.48%

Local Beer (0.5 liter draught)

$5.76 €5.03

$12.00 ISK 1,495

-52.00%

Imported Beer (0.33 liter bottle)

$5.22 €4.56

$10.46 ISK 1,304

-50.10%

Milk (1 liter)

$1.69 €1.48

$1.96 ISK 244

-13.78%

White Bread (500g)

$2.33 €2.04

$4.14 ISK 516

-43.72%

Rice (white) (1kg)

$3.05 €2.67

$3.48 ISK 434

-12.36%

Eggs

$3.99 €3.49

$6.59 ISK 821

-39.45%

Local Cheese (1kg)

$16.68 €14.57

$18.61 ISK 2,319

-10.37%

Chicken Fillets (1kg)

$12.57 €10.98

$24.58 ISK 3,063

-48.86%

Beef Round Steak (1kg)

$20.53 €17.94

$43.45 ISK 5,414

-52.75%

Apples (1kg)

$2.56 €2.23

$3.02 ISK 377

-15.23%

Banana (1kg)

$2.20 €1.93

$2.48 ISK 309

-11.29%

Oranges (1kg)

$2.68 €2.34

$2.87 ISK 358

-6.62%

Tomato (1kg)

$3.37 €2.95

$4.93 ISK 614

-31.64%

Potato (1kg)

$2.04 €1.78

$3.61 ISK 449

-43.49%

Onion (1kg)

$1.88 €1.64

$2.21 ISK 276

-14.93%

Lettuce (1 head)

$1.47 €1.29

$3.16 ISK 393

-53.48%

Water (1.5 liter bottle)

$0.54 €0.47

$2.21 ISK 275

-75.57%

Cigarettes 20 Pack (Marlboro, Camel)

$7.00 €6.11

$14.04 ISK 1,749

-50.14%

Wine (Bottle)

$7.09 €6.19

$21.88 ISK 2,726

-67.60%

Local Beer (0.5 liter bottle)

$1.80 €1.57

$3.78 ISK 470

-52.38%

Imported Beer (0.33 liter bottle)

$2.51 €2.19

$3.05 ISK 379

-17.70%

One-way Ticket (Public Transport)

$1.96 €1.71

$5.37 ISK 669

-63.50%

Public Transport Monthly Pass (Regular Price)

$41.58 €36.33

$84.5 ISK 10.5K

-50.81%

Taxi Start (Normal Tariff)

$5.80 €5.07

$6.28 ISK 782

-7.64%

Taxi (Normal Tariff) (1km)

$1.60 €1.39

$2.25 ISK 281

-28.89%

Taxi 1hour Waiting (Normal Tariff)

$35.07 €30.64

$86.0 ISK 10.7K

-59.21%

Gasoline (1 liter)

$2.13 €1.86

$2.53 ISK 315

-15.81%

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

$32.6K €28.5K

$47.5K ISK 5.9M

-31.36%

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

$33.8K €29.5K

$53.4K ISK 6.7M

-36.70%

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

$225 €197

$89.9 ISK 11.2K

150.24%

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

$13.14 €11.48

$27.33 ISK 3,406

-51.92%

Internet (50+ Mbps, Unlimited Data)

$31.19 €27.25

$86.2 ISK 10.7K

-63.81%

Gym Membership (Monthly)

$57.2 €49.94

$81.5 ISK 10.2K

-29.90%

Tennis Court (1 Hour on Weekend)

$25.85 €22.58

$37.90 ISK 4,723

-31.79%

Cinema Ticket

$10.34 €9.03

$17.71 ISK 2,207

-41.61%

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

$564 €493

$345 ISK 43.0K

63.32%

International Primary School, 1 Child (Yearly)

$10.3K €9,035

$30.3K ISK 3.8M

-65.91%

Jeans (Levis 501 Or Similar)

$91.9 €80.3

$140 ISK 17.4K

-34.27%

Summer Dress (H&M, Zara, etc)

$40.54 €35.42

$64.7 ISK 8,064

-37.36%

Sport Shoes (Adidas, Nike)

$98.2 €85.8

$172 ISK 21.5K

-43.07%

Men's Leather Business Shoes

$132 €115

$251 ISK 31.3K

-47.44%

1-bedroom Apartment, City Center (Monthly)

$855 €747

$2,180 ISK 271.6K

-60.77%

1-bedroom Apartment, Outside City Center (Monthly)

$663 €580

$2,031 ISK 253.1K

-67.34%

3-bedroom Apartment, City Center (Monthly)

$1,522 €1,330

$3,177 ISK 395.8K

-52.08%

3-bedroom Apartment, Outside City Center (Monthly)

$1,089 €951

$2,700 ISK 336.4K

-59.67%

Buy Apartment in City Center (m2)

$3,747 €3,274

$7,642 ISK 952.2K

-50.97%

Buy Apartment Outside City Center (m2)

$2,299 €2,009

$6,054 ISK 754.3K

-62.03%

Average Monthly Net Salary (After Tax)

$1,897 €1,657

$4,559 ISK 568.0K

-58.40%

20-Year Fixed Mortgage Interest Rate (Annual %)

4.41

9.88

-55.36%

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

Last update for Italy: July 11, 2026

Last update for Iceland: July 11, 2026

Cost Breakdown

Average rent: $742 in Italy vs $531 in Iceland. For reference, capital cities sit at $1,328 in Rome and $2,254 in Reykjavik.

Average salary: $1,912 in Italy vs $4,859 in Iceland. The income gap affects purchasing power and how far your budget stretches in each country.

Cost Highlights

Rent is 40% higher in Italy.

Dining out costs 14% more in Iceland.

Public transport is 132% more expensive in Italy.

Salaries are 154% higher in Iceland, and purchasing power comes out stronger in Iceland.

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

Italy vs Iceland: Cost of Living - Frequently Asked Questions

Italy is the cheaper option – living costs run roughly 6% lower on average. The gap is consistent across housing, groceries, transport, and entertainment.

Housing costs more in Iceland, and the gap is biggest in capital cities. Regional towns show less difference, but Iceland consistently has higher rents.

Groceries, transport, and utilities all cost less in Italy, contributing to the overall 6% price gap. The savings show up everywhere – from supermarket receipts to monthly bills.

$2,500 buys a comfortable lifestyle in Italy, but in Iceland it only works with careful planning outside the capital. Same money, very different lives.

Italy is the budget-friendly choice for expats – lower housing and daily costs. But cost isn't everything: visa policies, language, healthcare quality, and job markets all weigh in too.