What Luxembourg lacks in size it makes up for in wealth. This land locked European country covers a mere 999 square miles, and is the wealthiest country in the EU per capita. Its financial sector accounts for 36% of GDP. Luxembourg was one of the six founding members of the European Economic Community (EEC) which later became the European Union (EU).
If you are considering moving to Luxembourg, the various costs listed below will help you make an informed decision on what costs are involved when moving and living in this part of Europe.
Quick Luxembourg Facts:
- Population: 650,167 (2022 estimate)
- Official Language:Luxembourg has 3 official languages – Luxembourgish, German and French.
- GDP Per Capita: US$135, 046 (2022 estimate)
- For wine lovers and foodies: Luxembourg is home to Chiggeri, a restaurant which not only has the world’s longest wine list but it serves its excellent cuisine in total darkness.
- Currency: As of January 2023, €1 is equivalent to £0.87, $0.97 (USD), $1.35 (CAD), and $1.56 (AUD).
1. Moving and Shipping Costs to Luxembourg
Here are some sample container shipping rates to Luxembourg from other countries around the world.
Also see: 3 Best International Moving Companies in Luxembourg
2. Luxembourg Housing Costs
Accommodation in Luxembourg is expensive, especially in Luxembourg city. There’s a variety of accommodation available, with Luxembourg city having a good selection of both apartments and houses. You’ll find more houses in rural areas but apartments are still prevalent.
Monthly Rental Prices in Luxembourg
- 1 bedroom apartment in City Centre: €1,300.00 – €2,050.00
- 1 bedroom apartment outside the City Centre: €1,100.00 – €1,900.00
- 3-bedroom apartment in City Centre: €2,000.00 – €4,000.00
- 3-bedroom apartment outside the City Centre: €1,800.00 – €3,500.00
- Price per square metre to buy in City Centre €9,000.00 – €15,000.00
- Price per square metre to buy outside the city: €6,715.00 – €11,000.00
Source: NUMBEO
Luxembourg Housing Cost Comparison
Below are how rents in Luxembourg compare with other countries around the globe.
United Kingdom is 38.07% cheaper than Luxembourg
United States is 2.08% more expensive than Luxembourg
Canada is 30.9% cheaper than Luxembourg
Australia is 28.94% cheaper than Luxembourg
Germany is 45.09% cheaper than Luxembourg
France is. 48.42% cheaper than Luxembourg
Italy is 57.07% cheaper than Luxembourg
Spain is 56.18% cheaper than Luxembourg
Source: NUMBEO
How to Save on Housing Costs
- Share an apartment or house. Living with a room or flatmate is a good option for saving on housing costs in Luxembourg. Have a look at the following sites to find your perfect room or flatmate – The Roommate, Erasmusu, Find a Flatmate, Roommate in Luxembourg, and Flatshare in Luxembourg.
- Different areas – different prices. Luxembourg city is definitely the most expensive area to live in Luxembourg. The northern part of Luxembourg is the most affordable area. Wiltz and Clervaux are the cheapest areas to buy in as they are the furthest away from the capital. Also have a look at Neudorf-Weimershof, Bonnevoie and Ville-Haute or the suburbs like Hesperange, Leudelange, Bridel, Strassen, Bereldange to find affordable housing in Luxembourg.
3. Luxembourg Food, Grocery and Restaurant Costs
Luxembourg has a vibrant food scene which is heavily influenced by France, Germany and Belgium’s culinary traditions. Buying food and eating out is expensive compared with many countries around the globe but the quality and variety of food makes up for the high cost.
- Inexpensive Restaurant- €10.00 – €25.00
- Domestic beer: €4.00 – €6.50
- Coke/Pepsi: €2.00 – €5.00
- 1L of milk: €0.70 – €1.69
- Loaf of Bread: €1.75 – €5.00
- 12 Eggs: €1.50 – €6.00
- 1kg Chicken Fillets: €4.86 – €19.00
- 1kg Beef: €9.00 – €25.00
- 1kg Apples: €1.00 – €3.99
- 1kg White Rice: €1.00 – €4.00
Source: NUMBEO
Below is how food and restaurant prices compare with other major countries in the world.
- UK restaurants are 33% cheaper and groceries are 29.88% cheaper than in Luxembourg.
- United States restaurants are 77% cheaper and groceries are 11.40% more expensive than in Luxembourg.
- Canadian restaurants are 20.40% cheaper and groceries are 4.2% cheaper than in Luxembourg.
- Australian restaurants are 85% cheaper and groceries are 3.08% more expensive than in Luxembourg.
- German restaurants are 07% cheaper and groceries are 24.0% cheaper than in Luxembourg.
- French restaurants are 69% cheaper and groceries are 6.73% cheaper than in Luxembourg.
- Italian restaurants are 06% cheaper and groceries are 22.5% cheaper than in Luxembourg.
- Spanish restaurants are 80% cheaper and groceries are 41.49% cheaper than in Luxembourg.
Source: NUMBEO
Bonus Tips for Cheaper Food, Restaurants and Groceries
- Know your supermarkets: There’s a good selection of supermarkets, mini markets and street markets in Luxembourg, all of which are on the expensive side compared with many other countries. Aldi and Lidl are the cheapest stores, followed by Auchan, Match and Delhaize. Luxembourg owned stores are the most expensive, including local Co-ops, Cactus and Alima.
- Find Cheap Eats: Ask locals for recommendations and keep an eye out for specials advertised online, in newspapers or flyers. Have a look at the following sites for places to eat that won’t break the bank – In Your Pocket, City Dining on a Budget, Best Cheap Eats, Eating on Budget, and Wanderlog.
4. Luxembourg Alcohol Costs
Luxembourg has a good selection of bars, clubs and restaurants where you can enjoy socialising. Luxembourg produces good quality wines and brews some great craft beers. The selection of wines, spirits and beer reflects Luxembourg’s position in the middle of Europe.
- Bottle of imported beer at a restaurant/pub: €3.50 – €8.00
- Pint (0.5L) domestic beer at a restaurant/pub: €4.00 – €6.50
- Pint (0.5L) domestic beer at a supermarket: € 1.20 – €3.00
- Bottle of imported beer at a supermarket: €1.00 – €4.00
- Mid-range bottle of wine at a supermarket: €6.00 – €11.50
Source: NUMBEO
How to drink for less in Luxembourg
- Beer, wine, and other alcoholic beverages are cheaper in supermarkets and retail stores than in restaurants and bars.
- Restaurants and bars often advertise happy hours for late afternoon and early evening, where you can get half price drinks. Have a look at the following website for further information – Wanderlog, Luxcitizenship, Travel Triangle, Good Cheap Drinks, and Travelmag.
5. Luxembourg Transportation Fares
On 29th February 2020, Luxembourg launched an ambitious and unique program for public transport, the first of its kind in the world. From that day public transport became free in the country. Anyone, including the citizens of Luxembourg, non-residents and tourists can travel free on buses, trains, and trams throughout the country. However, there is a charge if you wish to travel first class.
Below are some example ticket costs.
- One-way ticket (Local transport) – €0.00 – €2.00
- Monthly Pass, (Regular Price) – €0.00 – €25.00
- Taxi start (normal tariff) –€2.60 – €6.37
- Taxi 1km (normal tariff) –€2.60 – €5.00
Source: NUMBEO
How to save money on public transport
- Don’t travel first class – every other fare is free
6. Cost of Internet in Luxembourg
Internet in Luxembourg is excellent. There are a number of internet providers in the country – 1 Verizon internet, 1 AT&T internet, 4 Cox internet and 3 Xfinity internet.
7. Cost of Clothing, Personal Items, Gym and Leisure
Luxembourg has a moderate oceanic climate with warm summers and mild to cold winters. The average summer temperatures range from 19C to 25C. Snowfalls are common in winter and temperatures frequently fall below zero centigrade. The southeast of the country gets around 700 mm of rain per annum and the southwest receives around 900 mm. The hilly areas in the north of the country receive the most rainfall – 1,000 mm per annum.
Below are some clothing prices, along with other useful prices.
- Pair of Jeans (Levi’s 501 or similar): €49.99 – €120.00
- Summer Dress: €25.00 – €70.00
- Running Shoes (Trainers): €60.00 – €140.00
- Business Shoes: €60.00 – €300.00
- Gym membership: €20.00 – €80.00
- Movie (cinema) ticket: €10.00 – €16.00
- Doctor’s visit (15 minutes): €47
- Shampoo:€3.84
- Deodorant:€3.98
- Toilet rolls:€2.31
Source: NUMBEO and Expatistan
8. Cost of Owning a Car and Driving a Car in Luxembourg
All car purchases and imported vehicles need to be registered with the SNCA. If you live in the EU, you can drive your car in Luxembourg for six months out of every twelve month period. If you are intending to live in Luxembourg for longer than six months, you can import your used car with zero VAT to pay, as long as the vehicle is over six months old with more than 6,000 kms on the clock. New vehicles attract a VAT payment of 17%.
Here are some other sample costs of owning and operating a car in Luxembourg:
- Volkswagen Golf:€24,580.00 – €28,000.00
- 1 litre (¼ gallon) of gas (petrol): €1.60
- Other fees (if any):Besides paying stamp duty of €50 and 17% VAT, you will have to pay an annual tax. You will also need to have annual MOT done on your vehicle. The cost of your MOT and annual tax payment varies depending on your vehicle.
Ways to save money driving in Luxembourg
- Car sharing or pooling is the best to save money driving in Luxembourg. Try Carsharing in Luxembourg, FLEX carsharing, Carloh Car Sharing, Car Sharing, and Ride2Go
- Taxis are another option, especially if you are going on a short trip and have to park all day. Try Uberand Ride Guru.
Need your car/vehicle moved to Luxembourg? Then read our guide to Car Transport & Vehicle Shipping
9. Taxes in Luxembourg
Annual income tax for non-residents in Luxembourg ranges from 8% to 42% dependent on income.
Property tax in the country is low, starting at 0.7% and going up to 1% depending upon the type of property and its location. VAT ranges from 3% to 17%, depending on the type of goods and services. Tax Summaries’ website gives you detailed on information on the various taxes in Luxembourg.
10. Flight Costs from Luxembourg
If you do make the move to Luxembourg, here’s approximately how much it will cost to fly to other major world cities based on the lowest, one-way fares from Skyscanner as of early 2023:
Other Luxembourg Relocation Tips
You should now have a good idea of the cost of living in Luxembourg through the above costs and pricing, but perhaps the following extra tips will make your move go smoothly.
11. Relocating to Luxembourg Alone
Moving is stressful and moving on your own can be even more so. Luxembourg is a great country and close to many major European cities which makes it easier to settle, as you look forward to exploring the surrounding countries. Below are a few tips on settling in Luxembourg.
- Meetups:Get in touch with Meetup This way you can find other expats and locals who enjoy your pastimes and activities.
- Attend local events: Luxembourgers are hardworking and friendly people. They enjoy socialising and attending events. Have a look at the following websites for information on events and activities: –Visit Luxembourg, All Events, Festivals Fairs and Events, and 11 Must See Events.
12. Moving to Luxembourg with a Family
Moving to a new country with a family can be challenging. However, Luxembourg’s proximity to other European countries means there’s a lot to keep the children entertained during holidays and weekends.
- New parents (or parents to be):Join groups for parents such as Parent Support Group, Friends of Luxmana, Mothers United, Expat Mum in Luxembourg, and Moms Groups.
- Live in a family-friendly area:There are five districts in Luxembourg that are considered the top family-friendly areas to live in – Ville-Haute, Bonnevoie, Gasperich, Limpertsberg, and Belair.
- Find things to do with the kids:Luxembourg has so much to offer when it comes to the kids. Have a look at the following websites for inspiration – Luxembourg with Kids, Things to do in Luxembourg with Kids, Visit Luxembourg, Inspirock, and Top 5 for Kids and Families.
13. Moving to Luxembourg for Work
Moving to a new country for work is one of the most common reasons people choose to move. While it is possible to move without a job, it makes sense to ensure there are jobs in your field before you make the move.
Currently, Luxembourg has a shortage of engineers, scientists, IT specialists, healthcare specialists and financial management specialists.
Below are a few things to consider when moving for work:
- Salary:Salaries in Luxembourg are high. The costs we outlined above should give you a rough idea of how much more you’ll want to be making to make the move worthwhile. You can also check salary ranges on sites such as Glassdoor and Payscale.
- How to find work: : If you want to have a job lined up before you move to Luxembourg, but aren’t sure where to begin, the following sites are good places to start: Expatica, Internations, Just Arrived, Visa Hunter, and LinkedIn. You may also want to Google recruiters in your industry, as they can often help land you some initial interviews as well.
14. Moving to Luxembourg from Australia
As of early 2022 there were 165 Aussies living in Luxembourg. If you are moving from Australia to Luxembourg and want to meet fellow Australians, consider the following.
- Size comparison:Australia is 2,994 times the size of Luxembourg. The population of Australia is 25,639,000 whereas only 639,070 people live in Luxembourg.
- Join expat groups: Meetup, InterNations, and Facebookoffer ways of meeting up with other Australians in Luxembourg.
15. Moving to Luxembourg from Canada
There are a handful of Canadians living and working in Luxembourg. If you are moving from Canada to Luxembourg and want to meet fellow Canadians, consider the following.
- Size:Canada is 3,861 times the size of Luxembourg with a population of 38,264,000 compared with Luxembourg’s 639,070.
- Expat groups:Connect with fellow Canadians in Luxembourg through Meetup and InterNations.
16. Moving to Luxembourg from the United Kingdom
There are over 5,000 Brits living in Luxembourg and they form the seventh largest expat community in the country. If you are moving from the UK to Luxembourg and want to meet fellow Brits, consider the following.
- Size: The UK is 94 times bigger than Luxembourg, with a population of 67,327,000 compared with Luxembourg’s population of 639,070.
- Expat groups:Meet the expats from the UK in Luxembourg through Meetup and InterNations.
Hopefully, the tips and costs above are helpful. If want to get started pricing out how much it will cost you to move to Luxembourg you can start by comparing moving quotes here.
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