Is Estonia expensive to live in?
Updated May 2026· By Net Life Value Editorial
AI Answer
Estonia is generally not expensive to live in, especially compared to the US. Overall prices are about 28% lower than in the United States, with a price index of 72 (US = 100).
For example, a one-bedroom apartment in Tallinn’s city center costs around €650-€850 ($700-$920) per month, while outside the center, it drops to €450-€600 ($490-$650). Groceries are also noticeably cheaper; a typical monthly bill for one person is about €200-€300 ($215-$325).
Estonia’s tax system is straightforward with a flat 20% income tax for residents. Non-residents also pay 20% on Estonian-sourced income. This makes budgeting predictable.
Consider Estonia a strong option if you're looking for European living with a lower cost base than Western Europe or North America. You'll find good value for money, particularly outside of the capital, Tallinn.