Cost of living: South Africa Vs Amsterdam

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amsterdam



I thought it would be interesting to share my experience with the cost of living both in Cape Town (South Africa) and in Amsterdam (Netherlands – Europe). I would like you to leave a comment after reading this artice saying what your initial thoughts were about the cost of living in these two countries and which one you think would be more expensive.

Initially I thought that the cost of living in Amsterdam would be way higher than in South Africa but after living in Amsterdam for the last two months I have come to the conclusion that it is not really the case. Let me break it down for you to show you what I have learned.

(For ease of reading and comparison I have converted all prices to Usd)


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As you can see from the comparison above, when you take just the rent, transport, food and internet  into consideration, there is actually no difference in the cost of living between these two cities in different continents. I bet you didn’t expect that!

The reason why I approached the comparison from this angle is because that is how it is relevant to me right now (and to anyone that lives by themselves and wants to build something up). I’m still young and all I essentially need to survive are those 4 things: rent, transport, food and internet. I work from the internet and I am prepared to live minimalistic for a few years until I build up my online businesses to such a level that they bring in a great income.Let me expand a little on the different costs of living. I will add that if you really have to it would be possible to live off $1000 a month or maybe less in both countries, but then you would cut things down to the bare essentials.


The cost of living in Amsterdam Vs. South Africa


Rent & Transport

In South Africa, you can rent a nice apartment for a much lower price than in Amsterdam. However, in South Africa public transport is not an option (it is unsafe and unreliable), so it is neccessary to have a car since nothing is really at walking distance. I did budget for a reasonable car in SA , but if needs be I think it is possible to get away with $400 per month for 4 wheels that will get you from A to B. In Amsterdam it is not neccessary to have a car.  Many things are in walking distance or otherwise cycling distance from where you stay or otherwise public transport is cheap, safe and reliable. So while the rent in Amsterdam is higher, it is compensated by the fact that you do not need much money for transportation. This puts Amsterdam and South Africa on the same level for the cost of transport and rent.


Food

The monthly cost of food is based on groceries bought in the supermarket. Yes it means you have to make your own meals at home (or get someone to make them for you) but it also means that it is a lot cheaper and healthier then eating out every day. It is not difficult to come up with several different dishes that are both healthy and easy to prepare and that you can alternate so you don’t get bored of eating the same thing. Chicken, salad, vegetables, pasta, frozen pizzas or fish, egg, tuna, yoghurt, bread and cold meats. With items like these you can really come up with some yummy meals and it is relatively inexpensive. The cost of food in supermarkets in South Africa and in Amsterdam is very similar.


Internet

Amsterdam is signficantly cheaper than South Africa when it comes to internet. Uncapped, high speed internet (capable of downloading over 600kbps) is only a fraction of the price of the bad-quality uncapped internet (capable of downloading around 50kbps). However, I need internet where-ever I stay in the world so I don’t have a choice in the matter.


Clubbing, Drinks and Partying

When it comes to clubbing, drinks and partying the South Africa is about half the price of Amsterdam. While most clubs will only charge $6 entrance in SA, most clubs will charge around $10 entrance in Amsterdam, there are some that charge as much as $30. Drinks-wise, beers are the same price in both countries but any other liquor in a club is close to double the price or more in Amsterdam.


Movies

I took the movies as a basic comparison for entertainment. The price of  movie tickets for a single movie are twice as much in Amsterdam as they are in SA. However, here in Amsterdam they have a concept that you can see unlimited movies for $25 a month. If you are someone that likes to go and see a movie once a week then it is a good deal and brings the monthly cost of movies to a similar price in both countries.


Basic Job Wage

In Amsterdam, a normal job like working in a supermarket or retail store or even delivering newspapers by bicycle will earn you about $1400 for the month. These kind of jobs are easy to come by, especially if you are young and a hard worker. In South Africa it is not as lucrative. There are close to 50 million people in the country and a large percentage of them are unemployed. If you are a hard worker you will be able to find a job in SA. However, a job similar to the one I mentioned to get in Amsterdam will not bring you much more than $600 unless you move up to a higher position like a manager of some sort. Another factor is that the average work week consists of 40 hours or less in Amsterdam while it consists of 45 hours in South Africa.

I am no tax expert but I know that tax levels in Amsterdam are considerably higher in Amsterdam than in South Africa, so if you are earning a lot of money then it’s not a good incentive to live in Amsterdam.


Photo Credit

A Long Story Short


For single people or couples without kids the cost of living in Amsterdam and South Africa is pretty similar. I actually think that it would be easier to live in Amsterdam because it is easy to find a job that will pay for your rent, food, transport and internet (assuming you are an EU citizen for Amsterdam or a SA citizen for South Africa). Then you still have the possibility of working a second job to make money or you can work on your own projects in your spare time to build up a business online. However, in South Africa you have the advantage of great weather and beautiful beaches.

I think that it will be more expensive to live in Amsterdam if you have children and a car, but then again you will stay further from the city center so the rent will be less. Clothes, entertainment and going out are definitely more expensive in Amsterdam.

My overall conclusion is that South Africa is cheaper, but not by as much as you would think. If you have no specific desire for South Africa or the perks of the country (like the weather and nature) then the difference in cost of living would not justify choosing it as your country to live.

Both Cape Town and Amsterdam are truly unique and beautiful in their own way and if you have the opportunity to visit either one or both, then grab that opportunity with both hands.



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  • http://www.freestylemind.com/ Oscar – freestyle mind

    South africa sounds fantastic, but $150 for internet? That’s a lot of money!
    .-= Oscar – freestyle mind´s last blog ..Declutter Your Life And Start Living Again =-.

    • Diggy

      Hey Oscar!
      Thanks man. Yeah the internet in South Africa is slow and ridiculously expensive!

      • Alin

        And I thought the internet here is slow and expensive.
        $7 for 1,600kbps download speed, unlimited
        $17 for a 7-12Mbps download speed, unlimited
        My parents live 60km from a big city somewhere in the mountains in Romania.

        Beer: $1
        Bottle of wine: $3
        Bottle of Whisky :$20-$30

        But I don’t want to compare clubs from here with Amsterdam =))

        • Diggy

          Hey Alin!

          Wow that sounds cheap:)
          I’d actually love to go to Romania sometime, Eastern European girls are amazing! I’m pretty sure that your clubs have way hotter girls than in Amsterdam!

          But how is work and pay in Romania? I heard the average wage is something like $200?

    • Willie Louw

      Yes internet in SA expensive. Very good article. How can I go about moving to Amsterdam? Any advice from a pro please.

  • Ajay

    Love the comparison. I’d prefer to live in Amsterdam because, as you mention, if you are single, Amsterdam is the best place of the two. I don’t care much for beaches (I’ve seen enough of them here in India) so that’s another vote against SA.

  • http://jonassandstrom.com Jonas Sandström

    Great post Diggy :)

    Just a quick comparison with Sweden. These are aprox. prices if you want to live cheap in a 100k city in northern Sweden. There’s a BIG difference in where you live and what things cost here.

    Rent
    If you’re studying you probably want to live really cheap. You can get a dorm room for around $280 a month (that’s the real cheap rooms).

    A regular 2 room 53sqm apartment on the cheap is going for $530 today.

    One of the downsides is that most of these apartments are owned by companies where you have to stand in a queue before you even have a chance to apply for these.

    Transport
    Highly depends. The taxis aren’t really an option imo if you have to go somewhere far. In this small city you can get from one side of the town to the other for around $3 with buses.

    Taking the bike is highly recommended though.

    Internet
    Sweden is in the lead here I think.
    Here you can get 100/100Mbps(Theoretical download speed max would be 12,5 MB/s) fiber broadband for as low as $23 a month and that is with unlimited bandwidth.

    One of the cheapest alternatives is 1Mbps for around $13.

    Student prices could be lower too.

    Clubbing
    Student clubs could be as low as $4 while some clubs are $13ish. (There’s not that much competition in this town between the clubs)

    Movies
    $10-$13 for a regular movie and 3D could be as high as $20.

    It feels like there are too many variables to make a real comparison though seeing as both a’dam and Cape town is way bigger. The prices in Stockholm might be more in alignment with some of the prices you listed above.

    I like it here though, it’s convenient having everything you need in cycling distance while I’m starting up a business :)

    Have a great day!
    /Jonas
    .-= Jonas Sandström´s last blog ..Greasemonkey password hashing =-.

    • http://www.gospelrhys.co.uk Rhys

      That’s all very true but isn’t beer in Sweden expensive?

      Comparison for the UK. Rent in a decent city costs between $300-$500/month, clubs are $10, Transport I spend about $160/month, internet though is cheap, at around $10/month
      .-= Rhys´s last blog ..Automated Twitter Accounts That Don’t Suck #1 – Tweet Your Blog =-.

      • Diggy

        Hey Rhys!!
        The rent you mention, is that for smaller places in the UK? I imagined that London was a lot more expensive to rent something?

    • Diggy

      Hey Jonas!
      Thanks for sharing the costs in Sweden where you live! I am sure the readers will find it very interesting! :)

      It’s true that smaller cities or villages are a lot cheaper with things like rent than the capital cities of countries. It can also be a lot more peaceful to live in a bit of a smaller place.

      If you are even in Cape Town while I’m still there then let me know, we’ll go for a drink!

  • http://www.reachourdreams.com Jen

    Interesting comparison … it is easy to say such and such a place is more expensive than XYZ at a glance but as you show it isn’t always cut and dried.

    • Diggy

      Hey Jen!
      Yeah it’s pretty interesting, I din’t think it would work out that way:)

  • http://thetruthway.net Claudia

    I used to live in South Africa and still go visit as often as possible. Now I live in Austria, about 50 km outside of Vienna. One thing though that you can’t compare is the weather. The sun makes a huge difference. As for the rest of the lifestyle I feel a lot more secure here. Too bad about the hijackings etc that happen in good ol’ South Africa.

    • Diggy

      Hey Claudia!
      Ooh, Austria is nice! Perfect for skiing and snowboarding :)

      I can imagine you feel more secure there. South Africa is nice but I don’t think that I will spend very much longer there, a few years or so still.

  • http://feint.me Anthony Feint

    Great comparison. Before reading this I definitely would have said South Africa would be way cheaper.

    Where do you prefer living, South Africa or Amsterdam?
    .-= Anthony Feint´s last blog ..The 2 Minute Trick =-.

    • Diggy

      Hey Anthony!
      Now that I’ve been away from South Africa I must say that I don’t have much of a desire to go back and live there. I would also not want to stay in Amsterdam permanently but would like an apartment to be here a few months of the year. For the reast I would just like to travel to different countries and spend a few months in each to get a feel for what it’s like. Then eventually I’ll find a place where I want to live for the rest of my life :)

      I still have so many places that I want to see (never been to the US or to Asia).

  • http://www.30daysatatime.com Dave @ 30 Days at a Time

    It would be interesting to look at these comparisons for major US cities as well. I take it on faith that New York, San Francisco, and DC are expensive, but I wonder what the difference really is as compared to, say, Richmond.

    • Diggy

      Heya Dave!
      It would indeed be interesting to hear that, I have never been to the US so I cannot give you an answer :)

  • http://blog.mlmebusiness.com BrianJUY

    Diggy,

    Congrats on getting out there and exploring the world. Too many people get “stuck” in life right where they are…

    The cost of Internet SUCKS… We have the fastest connection in Uruguay ADSL 4096/512 and it’s right at U$S 150 per month… You’re not alone…
    .-= BrianJUY´s last blog ..How to Write with Authority… =-.

    • Diggy

      Brian!
      So cool to hear that I’m not alone. I think that most developing countries have issues with internet access :)
      Thanks a million for your email, I’m really going to use it!!!!
      Have an awesome weekend!

  • http://survivalguru.wordpress.com winnie

    I am so glad you can take this journey you cannot put a price of that. Enjoy my handsome friend

    • Diggy

      Thank you winnie:)
      Have an awesome weekend!

  • http://www.mindsetsuccesscoaching.com/blog Kim

    I agree with Winnie and Brian — Congrats on taking the journey.

    I live in the mishmash Los Angeles area where rent can range from 650 to 3500. It depends on the square footage, security, amenities, the area… LA is spread out with smaller cities that most people have never heard of.

    Most kids want a car before leaving high school. Ever hear about our traffic — yuck!

    We have no shortage of bars and clubs. Everyone seems to have a Happy Hour or Special. There’s something to fit any mood from ‘$2 buck chuck’ to $30 cocktails made by ‘Mixologists.’

    Internet averages between $25-$30/mo. The cable and phone companies are big on “bundling” TV, internet, and phone. The average cost – $100-$150 depending on TV channels and internet speed.

    Where ever you live, there is always something to appreciate, learn from, explore.

    Diggy – I imagine you not only see some amazing sights, but you must meet some interesting people :)

    Til Next Time – Cheers!

    • Diggy

      Hey Kim :)

      Thanks for stopping by and sharing the costs of living in LA :) I’ve never been there but it’s high on my list. I’m with you on the ridiculousness of every man and his dog getting a car. I live in a university town in South Africa and every student has their own car. Global warming anyone? :P

  • http://www.successpush.com Jeff

    I noticed the same thing when I am in Costa Rica. Everyone says its much cheaper to live there, but when I am there I still go through the same amount of money each month. I am surprised to see the two you covered are not different though. I would guess then it doesn’t much matter where you go? Grats on the opportunity to do this. It would be cool to see the next location in a similar post. :)

    • Diggy

      Heya Jeff!
      Yeah I have the feeling that to have the same quality of life (reasonable but not overboard) will not really differ much when you make a comparison of a big number of cities and countries across the world. I think Thailand and Malaysia would be noticibly cheaper, but I have never been there so can’t comment on it yet.

      How is life in Costa Rica?

      • http://www.successpush.com Jeff

        Life in Costa Rica is great. I would imagine that its the opposite of Amsterdam ;) . It is more real is the only way I know to say it. I love it. I do hate it when I have to leave to go back to the states for work. Hopefully this year I can fix that. Have a safe trip. I will be commenting and blogging much more this year.

        • Diggy

          Would love to visit Coast Rica! Good luck with your blog and adventures this year :)

  • http://www.Escapingthe9to5.com Maren Kate

    I love this blog! I just found it via a comment you made on PluginID… and I’ve got to say impressive! I love the vibe and this post was rad, I want to move and get mobile internationally badly but am still in the midst of a start up stateside.

    Anyways, very cool thing you are doing here. I am definitely going to bookmark this blog & keep tabs on your progress. From another entrepreneur who is trying to live life of my own terms it is encouraging to see others doing the same.

    • Diggy

      Hey Maren!
      Wow, thanks for the comment and kind words:) Gladd to hear that you enjoyed the article! I have looked at your site before but it’s looking much better now! Good to see you are making progress! Don’t give up :)

  • http://www.the9to5alternative.com Alan

    Diggy -

    Coming from someone who compares the cost-of-living in different cities around the world…this is a heck of a post! Nice work breaking it down into different categories.

    Honestly, I thought Amsterdam would be a bit more expensive, so this certainly surprised me.

    • Diggy

      Hey Alan!
      Thanks for the kind words Sir! Initially I also thought it would be way more expensive in Amsterdam but it’s actually not too big a difference :)

  • http://www.simplywilldo.com Zoli Cserei

    This also surprised me a little, and I think that both internet taxes are huge!

    For $12.5 I get 30 mbps international bandwidth, and 100 mbps towards servers from Hungary and Romania, uncapped. $150 is a lot for me, but even $30.

    • Diggy

      Hey Zoli!
      Yeah the internet is a massive expense in South Africa but if you work on the internet then you have little choice :) Thanks for stopping by!

  • http://www.zentactics.com Adam

    Wow, great post Diggy. I was surprised – I thought Amsterdam would have been way higher. I was shocked at the $150 price for Internet in South Africa!! I’m used to paying ~$50.

  • http://micronichefinderhq.com Danny Cooper

    Hey Diggy, I love comparisons like this, it’ll definitely help when I come to travelling in the future.

    One question: in terms of transport in South Africa, is that buying or hiring a car, and what about insurance, tax, petrol..

    • Diggy

      Hey Danny!
      Thanks for stopping by! It is the complete cost of transport in South Africa. It is either renting a small car including insurance, maintenance and petrol or it is buying a small car (in monthly installments usually over 5 years) and including maintenance and petrol. :)

  • http://www.wakeupcloud.com/ Henri Junttila

    I went with the inbetween choice (literally) and moved to Spain. The weather’s good and the cost of living is good.

    I was pretty surprised to see that the cost of living in both ams and sa is basically the same!
    .-= Henri Junttila´s last blog ..What is Success? =-.

    • Diggy

      Hey Henri!
      Yeah it surprised me too and that’s why I made the post :) I haven’t really been to Spain, I’d like to go for a few weeks this coming summer and see what it’s like, blogging on the beach!

      Keep well Sir!

  • David Maynor

    Very intersting post – thanks Diggy. Re the $150 per month internet cost, can you explain what that $150 is made up of? And if, for example, you confined your internet usage to 80 hours a month at reasonable speed, would the cost still exceed $100 per month?

    • Diggy

      Hi David,
      Glad you found my blog:)

      The internet is slowly getting better here but it’s still very slow and mostly capped.
      Uncapped 4gb lines with download speeds of around 200kbps cost around $100-$150 a month.
      You can get cheaper, but then the line is usually capped to 3GB or 5GB data.

      Im currently using mobile internet but its really crappy. It costs $40 a month for 5gb data, when it works its fast (200kbps download) but it constantly drops. So its quite terrible actually.
      :)

  • http://www.whatsupwithamsterdam.com/ Tanja

    Hi,
    I lived in Spain for a while and got by with some 800 Euros (yes very low budget!). It does mean you have to go to the streets to drink and not go into any clubs. Buying a beer will cost you at least 5 euros in any nice bar/club in Madrid. So what I wanted to say, is that I don’t agree with you on the club prices for Amsterdam.

    Only Jimmi Whoo and Escape maybe are the prices you name, but other bars and clubs will never charge you more than 3 euros for a drink. That’s one of the things I liked most about being back in Amsterdam: I could afford getting drunk in a bar again!

    • Diggy

      Hi Tanja,
      There are of course some free bars, but most will cost 5 Euros entrance. Beer indeed costs E2.50 but personally I don’t like beer at all and any sort of spirit drink will cost at least E6 but even as much as E12-E18 which is crazy.

      Thanks for sharing your experience, always nice to hear from others!
      Enjoy your travels!

  • Alin

    (Reply for your message)

    Yeah, I think so, we’re close to Russia :)
    But it depends, in clubs like the ones here: http://www.facebook.com/bozonclub or http://www.facebook.com/pages/Club-Makadiny/179769668725048 many girls are under 18 and only a few are those amazing Eastern European girls people talk about. But come in the summer to Brasov (mountains) or Constanta (sea) and you will find ‘all’ the great ones in one place. :p

    In big cities prices in clubs are double the ones I wrote there. Entrance $5 to $10 or higher in very select ones.
    Rent in a 2 bedroom apartment close to the city center from $300 in cities like Târgu Mureş, Cluj, Brasov to $500-$800 in Bucharest, Constanta(depending on season, position, etc).
    Public transport is safe (except cheap trains), $0.5 for a bus ticket in Târgu Mureş(any line), $2 for one city to another, $20 for a 400km train ticket.
    You can live really well on $100-$150 for food(a lot of families spend less).
    Working in a supermarket or retail store will pay you around $250 per month. The average pay is around $400 I think.

    Let me know if you get to Romania, maybe we can meet and go for a drink. I see you don’t like beer too, how about a bottle of Vodka? $25 :) http://www.stalinskaya.com/

  • http://jacqueline-gates.com Jacqueline Gates

    Greetings, Diggy!

    This post couldn’t have come at a better time as my husband and I (both from Port Elizabeth originally) were looking to move back to Cape Town for a while.

    Since we both work online, the internet info was eye-opening.

    One question – Whereabouts was the apartment for $650? Cape Town itself, or outside? And how many rooms? Seems really cheap from what we’ve seen online, but we’ve probably only seen the stuff for tourists lol

    My folks are in Somerset West so we’d have to have a car anyway … and learn to drive on the other side of the road again!

    Thanks for some great info.
    If you ever get to Atlanta – there’s a HUGE ex SA tribe here.

    Bliss-ings,
    Jacqui

    • diggy

      Hi Jacqui,
      How are you doing! Glad to see you’re still around and doing well!

      You’re moving back to Cape Town? Awesome. I really love CT! Been living much closer to town the last few months and absolutely loving it.
      At the time of writing the article the ZAR was a lot weaker. I based the apartment price on around R5000. Currently I’m sharing a 2 bedroom apartment with my friend and the rent is R7000 a month, but for each of us only R3500 :)

      Thanks for stopping by!
      Have a nice day!

  • http://www.upgradereality.com Diggy

    Possibly being at the bottom of the world has something to do with it, but Thailand is comparable to South Africa and they have way faster internet than here. I guess it’s just about the infrastructure?