Cost of Living in Spain vs USA: A Comparison in 2025
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Making the decision to pack up your life and move across the ocean isn’t easy. For our family, it all boiled down to one big question: Can we afford to live a better life somewhere else? After diving headfirst into the numbers, comparing the cost of living in Spain vs the USA, the answer was clear. Moving to Spain wasn’t just going to be cheaper—it promised a fresh, exciting chapter in our lives.
So, we took the leap. We swapped out our fast-paced American lifestyle for the laid-back vibes of Spain, with its sunny weather, vibrant culture, and yes, much lower living costs. To this day, we don’t regret it for a second! Spain has given us not just financial freedom, but also a quality of life that feels richer in every sense of the word. If you’d like some pointers check out my How to Move Abroad e-book to help you make the right decisions and make the transition smoother.
In this article, we’re sharing what we learned, breaking down the costs of living in Spain versus the USA in 2025. Whether you’re considering a move abroad, planning an extended stay, or just curious about how the two countries stack up, we’ve got you covered.
From rent and groceries to healthcare and transportation, let’s explore what life on a Spanish budget really looks like compared to life in the States. Who knows? You might even find yourself inspired to make the move too!
In a Rush?
Here’s the gist of the article.
🇪🇸 Living in Spain is noticeably more affordable than in the USA. Expenses like rent, utilities, groceries, and dining out tend to cost much less, making Spain an appealing option for expats looking to save money.
🇪🇸 Spain combines a lower cost of living with a fantastic quality of life—think sunny days, a laid-back atmosphere, and accessible public transportation. Meanwhile, in the US, car dependency and high healthcare costs can add up quickly.
🇪🇸 Thanks to its affordable lifestyle, favorable exchange rates, and perks like the digital nomad visa (which even includes tax benefits), Spain has become a hotspot for remote workers from the United States.
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Living in Spain as an Expat: The Cost and Quality of Life
For many expats moving to Spain is about saving money— but it can also be about embracing a lifestyle that’s slower, sunnier, and often more fulfilling. For many expats, living costs in Spain are a breath of fresh air compared to the U.S. Rent, groceries, and dining out are much cheaper, making it possible to live comfortably on a smaller budget.
Where you choose to live in Spain definitely makes a difference to both of these factors. Cities like Madrid and Barcelona come with higher costs but offer unmatched culture and entertainment. Smaller cities like Valencia or Málaga, and even rural towns, are more budget-friendly and just as charming or can even offer a beach lifestyle if that’s what you’re looking for. No matter the location, Spain’s overall affordability beats the States by a mile.
What about quality of life and lifestyle?
One of the biggest reasons people move to Spain is for the lifestyle—it’s not just about what you save, but how you live. Spain is all about enjoying the little things: a leisurely meal with friends, an evening paseo (stroll) through the city, or soaking up the sun on one of the country’s gorgeous beaches. Life here feels less rushed and more balanced, which is a refreshing change if you’re coming from the fast pace of the U.S.
The weather is another huge perk. With more than 300 sunny days a year in many parts of the country, you’ll find plenty of opportunities to enjoy the outdoors. This Mediterranean climate makes it easy to stay active and enjoy nature, whether you’re hiking in the mountains, lounging on the coast, or exploring historic cities.
Culturally, Spain has a strong sense of community and family. Long lunches, festive celebrations, and a work-to-live mentality are all part of the lifestyle. It’s a stark contrast to the work-heavy culture in the U.S., where leisure often takes a back seat. Here, life is about finding joy in the everyday, and it’s not uncommon for businesses to shut down during siesta hours so people can recharge.
Of course, this relaxed pace might take some getting used to, especially if you’re used to the 24/7 availability of services in the U.S. But for us, it was a welcome change that made daily life feel more intentional. Spain’s lifestyle isn’t just about living—it’s about living well.
How much money do you need to live comfortably in Spain?
The answer depends on your lifestyle and where you decide to settle, but overall, Spain is much more budget-friendly than the U.S.
For a single person, a monthly budget of around €1,500 to €2,000 (about $1,600 to $2,100) is enough to cover rent, groceries, utilities, transportation, and a few fun extras like eating out or weekend trips. If you’re living in one of the larger cities, like Madrid or Barcelona, you’ll likely be on the higher end of that range, especially if you want to live in the city center. Smaller cities like Valencia or Málaga, or even smaller towns, allow you to live well for less—closer to €1,200 to €1,500 a month.
For families, a comfortable budget depends on the size of your household, but many expat families report spending between €2,500 and €3,500 a month. This includes rent for a larger apartment or house, schooling costs (if you choose private or international schools), and other family-related expenses.
What’s interesting is that living comfortably in Spain doesn’t mean you have to sacrifice fun or quality of life. Spain’s affordable dining and entertainment mean you can enjoy eating out, catching a live flamenco show, or traveling to nearby cities without breaking the bank. Plus, the country’s love for free or low-cost community events, like festivals and local markets, makes it easy to enjoy life on any budget.
Rent or Purchase: What is the average price of a house in Spain?
When it comes to finding a place to live in Spain, the options are not only plentiful but often much easier on your wallet compared to the U.S. Whether you’re planning to rent or buy, there’s something to suit every budget and lifestyle.
If you’re renting, expect to pay around €1000 a month for a one-bedroom apartment in the city center, while areas outside the center typically cost closer to €700. Cities like Madrid and Barcelona are on the higher end, with rents reaching up to €1,500 for central locations. But if you venture to smaller cities like Valencia or Málaga, you’ll find more affordable rents—usually between €700 and €1,000 for a similar apartment.
Thinking about buying instead? The average cost to purchase a home in Spain is roughly €2,100 per square meter, but this varies widely depending on the location. In hotspots like Madrid, you might pay around €3,500 per square meter, while smaller cities and towns offer much lower prices.
Even in tourist-favorite coastal areas like Málaga, buying property is often more affordable than in many U.S. cities, where the average price per square meter is over $4,700.
If you’re not ready to commit to buying, renting is a great way to start. It gives you the flexibility to explore different neighborhoods or even cities before settling down. Plus, Spain’s mortgage options often come with lower interest rates than in the U.S., making buying a long-term home an attractive choice for many expats.
What about utility prices?
When you’re planning your monthly budget, utilities are a key part of the puzzle. In Spain, these costs are generally a lot lower than in the U.S.
For a typical 2 bedroom apartment (around 85 square meters), you can expect to spend about €60 to €100 per month on electricity. Water bills in Spain are relatively low, averaging between €20 and €40 per month, depending on consumption and location. Natural gas, commonly used for the water heater and cooking, costs around €50 to €70 monthly, though this can increase during colder months.
Also remember that winter heating in northern Spain or summer air conditioning in the south might nudge the bill higher for a few months. Still, even at its peak, it’s usually more affordable than the U.S., where similar utility bills often climb above $200 or even $300.
Internet and mobile phone plans are also reasonably priced. High-speed internet in Spain costs about €30 to €50 per month, which is comparable to, or sometimes cheaper than, what you’d pay in the U.S. Many providers offer bundled packages that include internet, TV, and mobile services, helping you save even more.
One thing to note is that Spain’s older buildings may not always have central heating or air conditioning, especially in smaller towns. While this might seem inconvenient, many people adapt by using space heaters or fans, and the mild climate in much of Spain means you won’t need heavy-duty heating or cooling most of the year.
What about groceries and food?
Groceries in Spain are refreshingly affordable, especially compared to the U.S. Local markets offer fresh produce at great prices—think €2.00 for a kilogram of tomatoes or €1.50 for a loaf of bread, compared to $3.00 and $2.50 in the U.S.
Supermarkets also provide budget-friendly options, like €1.00 for a liter of milk or €7.00 for a kilogram of chicken breast, significantly cheaper than their U.S. counterparts.
Dining out is another win. A meal at an inexpensive restaurant costs about €12.00, while a mid-range three-course dinner for two is around €40.00—far less than similar meals in the U.S. Plus, Spain’s wine and olive oil are not only world-class but also easy on your wallet, with decent bottles starting at €5.00.
On average, a single person spends €200 to €300 monthly on groceries, compared to $300 to $500 in the U.S.
Is healthcare free in Spain?
Spain’s healthcare system is one of its biggest advantages, especially for expats. The country offers universal public healthcare, which means residents have access to medical services funded through taxes.
Most healthcare services are free at the point of use, including visits to general practitioners, specialists, and hospital care. However, you might need to pay a small amount for prescription medications, depending on your income and age.
If you’re working in Spain and paying into the social security system, you’re automatically entitled to public healthcare. For those who aren’t contributing, private health insurance is a popular choice. Plans are surprisingly affordable compared to the U.S., with costs ranging from €50 to €200 per month, depending on the level of coverage. Many expats use private insurance to access shorter waiting times or additional services.
One of the best parts? Spain consistently ranks as having one of the top healthcare systems in the world. Whether you choose public or private care, you’ll find high-quality medical services at a fraction of the cost you’d pay in the U.S.
Is transportation expensive in Spain?
Getting around in Spain is easy and affordable, especially compared to the U.S. Public transportation is reliable and cost-effective, with metro and bus tickets priced at €1.50 to €2.00 and monthly passes around €40 to €60. Spain’s high-speed AVE trains connect major cities quickly, with fares ranging from €50 to €120 depending on the route and booking time.
If you drive, fuel costs about €1.50 per liter—higher than in the U.S.—but many people find owning a car unnecessary thanks to the excellent public transport network. Cities are also bike-friendly and pedestrian-friendly, making cycling or walking great options.
Education: What about schooling?
Education in Spain is another area where you’ll find excellent value for your money. Public schools are free for kids aged 6 to 16, giving families access to quality education without the stress of tuition fees.
If you prefer private or international schools, those are widely available too, with tuition typically ranging from €4,000 to €10,000 a year—much cheaper than the $20,000+ price tags common in the U.S.
Universities in Spain are just as wallet-friendly. Public institutions charge between €800 and €2,500 annually for bachelor’s degrees, a fraction of the $10,000 to $50,000 you’d pay in the U.S. Plus, there are plenty of vocational training programs if you’re looking for a more practical path.
What is the average salary in Spain in dollars?
If you’re thinking about living and working in Spain, understanding the average salary is key. On average, people in Spain earn around €27,000 per year—that’s roughly $30,000 depending on the exchange rate. This is quite a bit lower than the U.S. average salary, which sits closer to $63,795. But don’t let that number scare you off! The cost of living in Spain is much lower, which means your money stretches further.
As with anywhere, salaries in Spain vary depending on your industry, experience, and location. High-paying fields like finance or tech can see salaries ranging from €40,000 to €60,000, with senior roles exceeding €100,000 in big cities like Madrid or Barcelona. On the other hand, roles in hospitality or retail tend to offer lower wages, but these align with the overall lower living costs.
Ultimately, while salaries in Spain might be smaller compared to the U.S., they reflect the local economy and lifestyle. Pair that with the lower cost of living, and you’ll find that living comfortably in Spain is well within reach!
What about working remotely?
Spain has quickly become a favorite for remote workers, and it’s easy to see why. With its sunny weather, laid-back lifestyle, and affordable cost of living, it’s the perfect place to live and work. Plus, the new Digital Nomad Visa makes it easier than ever for non-EU citizens to settle in Spain while working remotely for companies based elsewhere.
One of the biggest perks of the visa is its tax benefit: remote workers can enjoy a flat tax rate of 24% on income up to €600,000, which is pretty competitive compared to rates in other countries. Combine that with lower living expenses, and you’ve got a recipe for financial freedom.
Spain also ticks the boxes when it comes to infrastructure. High-speed internet, plenty of coworking spaces, and great public transportation make staying connected and productive a breeze. And when work is done? You’re just steps away from world-class beaches, lively tapas bars, and a rich cultural scene.
| Expense Category | USA (USD) | Spain (USD) |
| Monthly Rent (1-bedroom in city center) | $1,200.00 | $1,100.00 |
| Utilities (85 sqm apartment) | $200.00 | $110.00 |
| Internet (high-speed) | $60.00 | $44.00 |
| Groceries (monthly) | $400.00 | $275.00 |
| Public Transport (monthly pass) | $70.00 | $55.00 |
| Dining Out (meal for 1) | $15.00 | $12.00 |
| Healthcare (insurance) | $400.00 | $100.00 |
| Education (public school, yearly) | $0.00 | $0.00 |
| Education (private school, yearly) | $20,000.00 | $7,700.00 |
| Average Salary (annual) | $63,795.00 | $30,000.00 |
| Home Purchase (per sqm in city center) | $4,700.00 | $2,310.00 |
| Fuel (per liter) | $0.90 | $1.65 |
| High-Speed Train (Madrid to Barcelona) | $120.00 | $77.00 |
FAQ Cost of Living in Spain vs USA
Is Spain cheaper to live in than the USA?
Yes, Spain is significantly cheaper than the USA in most aspects, including rent, utilities, groceries, dining out, healthcare, and transportation. While salaries are lower in Spain, the reduced cost of living makes it easier to maintain a comfortable lifestyle.
Is it cheaper to live in Spain or Portugal?
Portugal is slightly cheaper than Spain in general, particularly for rent (except in Lisbon) and dining out. However, the difference depends on the city and lifestyle you choose. Both countries offer excellent value and a high quality of life for expats.
American Living in Spain: the Wrap-Up
Moving to Spain was one of the best decisions we’ve ever made. The lower cost of living, the incredible lifestyle, and the chance to embrace a slower, sunnier pace of life have all been game-changers for our family.
Sure, there were a few adjustments along the way—navigating the language, learning to slow down—but the benefits far outweigh the challenges.
If you’re thinking about making the leap, we hope this comparison has given you a clearer picture of what to expect. For us, Spain has become more than just a place to live—it’s home. And who knows? It might just be the perfect fit for you too!
Get Started Today!
How to Move Abroad
A Workbook to help you make the right choices
Use our easy to follow roadmap to help you find the perfect location to start your new life.
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We started our family travel blog in hopes of supporting other families move abroad and travel the world. Through straightforward, sincere and supportive information we hope to provide a reliable guide for those moving overseas with a family and traveling the globe.
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