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AverageCostOfLiving
Average cost of living in Iceland — 2 cities compared on rent, groceries, transport, and salaries in USD.
Northern Europe Updated

Average Cost of Living in Iceland

The average cost of living in Iceland ranges from $2,405 per month in Akureyri-Iceland to $2,634 per month in Reykjavik-Iceland, with a median monthly basket of $2,634 for a single person. We track 2 cities in Iceland.

Prices in USD, refreshed regularly. Click any city for the full price breakdown.

On this page 3 sections
Section Description
Iceland at a glance Headline numbers across 2 cities.
Cities in Iceland Sort by cheapest, most expensive, A–Z, or cost index.
Frequently asked about Iceland Common questions about prices, salaries, and relocating.
Cities tracked
2
Median monthly · single
$2,634
Average cost index
57.3
NYC = 100
Most / least expensive
Reykjavik-Iceland / Akureyri-Iceland

Browse cities

2 cities shown

About cost of living in Iceland

How expensive is Iceland?
Iceland has 2 cities tracked in our dataset. Costs vary considerably across the country: Akureyri-Iceland is among the most affordable, while Reykjavik-Iceland ranks among the most expensive.
How much money do I need to live in Iceland?
Budget anywhere from $2,405 per month in Akureyri-Iceland (the cheapest tracked city) to $2,634 per month in Reykjavik-Iceland (the most expensive). Pick the city that matches your work and lifestyle, then add 15–25% on top of the basket for taxes, savings, and discretionary spending.
What is the cheapest city in Iceland?
Akureyri-Iceland typically offers the lowest cost of living in Iceland, especially on rent and groceries. Salaries are usually lower too — compare both before relocating.
Which city in Iceland has the best quality of life for expats?
The best fit depends on your work and lifestyle. Capital cities offer the most amenities, English-speaking services, and international communities, while regional cities trade those for affordability and a slower pace.
Is the cost-of-living data for Iceland up to date?
Prices are normalized to USD and refreshed periodically. Currency fluctuations can shift dollar-denominated costs even when local prices are stable, so use the figures as a relative comparison rather than a precise quote.