Estonia is a small country in the Baltic region of Northern Europe. It has a population of approximately 1.3 million people and is known for its beautiful architecture, stunning nature, and digital innovation. One of the questions that many people ask about Estonia is the cost of living. In this article, we will explore the local currency in Estonia, compare the cost of living in Estonia to the cost of living in the UK and the USA, break down costs for singles, couples, and families of 4 in various categories, and explain the most common forms of payment in Estonia.
Local Currency in Estonia
The local currency in Estonia is the Euro (EUR). It has been the official currency since January 1, 2011, when Estonia joined the Eurozone. Before that, the local currency was the Estonian Kroon (EEK). The exchange rate of the Euro to other currencies, such as the US Dollar (USD) and the British Pound (GBP), can fluctuate daily, but as of February 27, 2023, 1 EUR is equivalent to approximately 1.17 USD and 0.84 GBP.
Cost of Living in Estonia Compared to the UK and the USA
The cost of living in Estonia is generally lower than the cost of living in the UK and the USA. According to data from Numbeo, a crowd-sourced database on the cost of living worldwide, the cost of living index in Tallinn, the capital city of Estonia, is 51.95, which is significantly lower than London, UK, with a cost of living index of 80.87, and New York City, USA, with a cost of living index of 100.00. However, it is important to note that the cost of living can vary greatly depending on the region, the lifestyle, and the individual preferences.
Breakdown Costs in Estonia
To give a more detailed overview of the cost of living in Estonia, we will break down costs for singles, couples, and families of 4 in various categories.
The cost of housing in Estonia can vary greatly depending on the location and the type of accommodation. In Tallinn, the average monthly rent for a one-bedroom apartment in the city center is around 600 EUR, while outside of the city center, it can be as low as 400 EUR. A three-bedroom apartment in the city center can cost around 1,200 EUR per month, and outside of the city center, it can be around 800 EUR per month. For couples and families, the cost of housing can increase accordingly.
The cost of food in Estonia is generally lower than in the UK and the USA. A basic meal at a local restaurant can cost around 10 EUR, while a fast food meal can cost around 6 EUR. The average cost of groceries for a single person per month is around 200 EUR, while for a family of 4, it can be around 500 EUR.
The cost of utilities in Estonia can vary depending on the region and the usage. The average monthly cost for basic utilities, such as electricity, heating, water, and garbage, for a small apartment in Tallinn is around 100 EUR. Internet can cost around 20 EUR per month, and a mobile phone plan with unlimited data can cost around 20 EUR per month.
The cost of leisure in Estonia can vary depending on the individual preferences. For example, a cinema ticket can cost around 8 EUR, while a fitness club membership can cost around 30 EUR per month. A cultural event, such as a concert or a theater performance, can cost around 30 EUR per ticket.
The cost of transport in Estonia is generally affordable, with a variety of options available. A single ticket for public transportation in Tallinn costs 2 EUR, while a monthly pass costs around 23 EUR. Taxis can be quite expensive, with a starting fee of around 3 EUR and a kilometer rate of around 0.8 EUR. However, ride-sharing services such as Bolt and Uber are available and can be more affordable.
The cost of clothing in Estonia can vary depending on the brand and quality. The average cost of a pair of jeans is around 50 EUR, while a dress can cost around 30 EUR. Basic shoes can cost around 60 EUR, and sneakers can cost around 80 EUR.
The cost of household goods in Estonia can vary depending on the brand and quality. The average cost of a liter of milk is around 0.7 EUR, while a loaf of bread can cost around 1 EUR. Basic toiletries such as toothpaste, shampoo, and soap can cost around 2-3 EUR each.
Forms of Payment in Estonia
The most common forms of payment in Estonia are cash and card. Credit and debit cards are widely accepted in most places, including shops, restaurants, and public transportation. Contactless payment is also becoming more popular, with many stores and restaurants offering it as an option. It is important to note that some small businesses, such as market stalls and street vendors, may only accept cash.
Another popular payment method in Estonia is bank transfer. This is often used for paying bills, rent, and other larger expenses. Mobile payment apps such as SEB Pank, Swedbank, and LHV are also gaining popularity, allowing users to pay for purchases and transfer money through their mobile devices.
In conclusion, the cost of living in Estonia is generally lower than in the UK and the USA, but can vary greatly depending on the region and the individual preferences. The most common forms of payment in Estonia are cash and card, with bank transfer and mobile payment apps also gaining popularity. By considering these factors and planning accordingly, individuals and families can make informed decisions about the cost of living in Estonia.