Cost of Living in Portugal vs USA in 2025

Bhumika Sharma

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Cost of Living in Portugal vs USA: Understanding the cost of living in a particular place is crucial for students when moving abroad for higher studies. Portugal and the United States are two vastly different countries in terms of culture, lifestyle, and economy. Students who are deciding between these two countries to pursue their studies further need to consider the cost of living in both countries.

In this blog, we will explore the cost of living in Portugal vs USA, covering essential expenses like food, transportation, utilities, rent, and more. For ease of understanding, we’ll also provide detailed comparisons in tabular form.

What is the Average Cost of Living in Portugal vs USA?

The average cost of living in Portugal is significantly lower than in the USA. Portugal offers affordable housing, utilities, food, and transportation, making it ideal for those seeking a budget-friendly lifestyle. In comparison, the USA has higher salaries but much higher living costs, especially in major cities. Below is a comparison of the monthly costs of living in USA vs Portugal.

CategoryUSA (USD)Portugal (USD)
Rent (1-Bedroom, City)1,749.851,000.10
Utilities (85m² Apartment)206.01123.54
Meal, Inexpensive Restaurant20.0010.80
Groceries (Monthly)300–USD400162.00–216.00
Public Transport Pass65.0065.00

Cost of Studying in Portugal vs USA

Education in Portugal is more affordable than in the USA, making it a great option for students seeking quality education at a lower cost. Public education in Portugal is free for residents, including foreign nationals, with minimal fees for materials. 

Tuition fees for higher education are also significantly lower than in the USA. Here’s a comparison of the cost of studying in Portugal vs the USA. You can explore the best places to study abroad in these countries.

CategoryUSA (USD)Portugal (USD)
Public School (Annual Fees)Free (for citizens)Up to 162.00
Bachelor’s Degree (Private)27,000+ (Public)3,240.00–13,500.00
Scholarships/Financial AidWidely availableAvailable (varied)

Cost of Accommodation in Portugal vs USA

Cost of Accommodation in Portugal vs USA
Source: Pexels

The cost of accommodation is a vital part of the cost of living in Portugal vs USA. Rent and property prices showcase the starkest contrast. Portugal’s housing market is far more affordable, both for renters and buyers. Below we have mentioned the table which compares the housing costs in Portugal and USA. 

CategoryUSA (USD)Portugal (USD)
1-Bedroom Apartment (City Centre)1,749.851,000.10
1-Bedroom Apartment (Outside Centre)1,442.44794.71
3-Bedroom Apartment (City Centre)2,915.951,721.34
3-Bedroom Apartment (Outside Centre)2,393.401,312.48

Note: Rent in Portugal is less than half of what you’d pay in the USA, making it a budget-friendly option for families and individuals alike.

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Cost of Food in Portugal vs USA

Cost of Food in Portugal vs USA
Source; Pexels

The cost of food reflects even larger differences between the two countries. Portugal’s fresh produce, dairy, and staple items are remarkably affordable compared to the USA, making it a haven for budget-conscious shoppers. Look at the table to compare the cost of groceries in Portugal vs USA. It will also cover the dining costs and give a brief comparison.

CategoryUSA (USD)Portugal (USD)
Milk (1L)1.051.00
Loaf of Bread (500g)3.611.45
Rice (1kg)4.581.48
Eggs (12)3.782.85
Local Cheese (1kg)12.9110.92
Chicken Fillets (1kg)12.027.15
Beef Round (1kg)16.0712.99
Apples (1kg)5.252.10
Bananas (1kg)1.671.35
Oranges (1kg)4.491.69
Tomatoes (1kg)4.912.36
Potatoes (1kg)2.941.58
Onions (1kg)3.081.87
Lettuce (1 head)2.201.47
Water (1.5L bottle)2.210.74
Bottle of Wine (mid-range)15.005.33
Domestic Beer (0.5L)1.911.22
Imported Beer (0.33L)3.542.33
Cigarettes (Marlboro)10.005.87
Meal, Inexpensive Restaurant20.0010.67
McMeal at McDonald’s11.008.53
Domestic Beer (0.5L draught)6.002.67
Cappuccino (regular)5.191.96
Coke/Pepsi (0.33L bottle)2.541.80

Note: Everyday grocery items are significantly cheaper in Portugal, especially fresh produce and essential commodities. Dining out in Portugal is significantly cheaper, with restaurant meals and drinks costing less than half of their counterparts in the USA.

Cost of Transportation in Portugal vs USA

Cost of Transportation in Portugal vs USA
Source: Pexels

The cost of Living in Portugal and the USA involves major expenses of transportation. Public transportation and taxis are generally more affordable in Portugal, though gasoline costs are higher compared to the USA. For those relying on public transit, Portugal offers excellent value. Compare the cost of transportation of both of these countries from the table below.

CategoryUSA (USD)Portugal (USD)
One-way Ticket2.502.08
Monthly Pass65.0042.72
Taxi 1km (Normal Tariff)1.740.85
Taxi 1-hour Waiting30.0016.00
Taxi Start (Normal Tariff)3.753.73
Gasoline (1L)0.931.87

Note: Public transportation is cheaper in Portugal, but gasoline costs are nearly double compared to the USA, impacting car owners.

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Cost of Utilities in Portugal vs USA

The cost of Living in Portugal vs the USA involves utility bills and Internet costs, which are huge expenses for individuals. Monthly expenses like electricity, heating, and internet reveal substantial savings in Portugal. For those working remotely or living in apartments, Portugal offers lower costs.

CategoryUSA (USD)Portugal (USD)
Basic Utilities (85m2 Apartment)206.01121.99
Mobile Phone Plan (10GB+ Data)56.5520.22
Internet (60 Mbps or More)70.8239.72

Note: Utilities and internet costs are much lower in Portugal, offering significant savings for households.

Cost of Entertainment 

Recreational or entertainment activities are essential in one’s life. Whether fitness memberships or leisure outings, they are more wallet-friendly in Portugal. The reduced costs make it easier for residents to participate in hobbies and stay active. Look at the table below to understand the costs of Entertainment in Portugal vs the USA.

CategoryUSA (USD)Portugal (USD)
Fitness Club (Monthly Fee)46.7238.81
Tennis Court Rent (1 Hour, Weekend)21.2114.23
Cinema (International Release, 1 Seat)14.007.73

Note: Leisure activities are significantly cheaper in Portugal, making it an appealing destination for an active and balanced lifestyle without breaking the bank.

Understanding the cost of living between Portugal and the USA highlights the affordability of Portugal in almost every aspect of daily life. While the USA boasts higher salaries and earning potential, Portugal’s lower costs for dining, housing, transportation, and entertainment provide an attractive case for those seeking a high quality of life at less expense.

Key Highlights:

  • Dining and Groceries: Portugal offers incredibly affordable options for food lovers and grocery shoppers.
  • Transportation: Public transit is cheaper in Portugal, though fuel prices are higher.
  • Housing and Utilities: Rent and utilities in Portugal cost less than half compared to the USA, making it an ideal choice for families and remote workers.
  • Salaries and Living Costs: While incomes in the USA are higher, Portugal’s affordability can balance the scales for those earning a global or remote income.
  • Recreation: From fitness to cinema, Portugal enables residents to maintain an active and social lifestyle at minimal cost.

Ultimately, Portugal’s combination of affordability, rich culture, and scenic beauty makes it a top choice for retirees, and digital lovers. The USA remains an economic powerhouse, but for those who prioritise cost efficiency and a relaxed lifestyle.

Whether you’re planning to relocate, retire, or explore, understanding these cost differences can help you make an informed decision tailored to your lifestyle and financial goals.

Hope you liked reading our blog about the Cost of Living in Portugal vs USA. For a stress-free stay during your study abroad adventure, choose Fly Homes. Call 1800572118 to reserve your ideal accommodation abroad with ease.

FAQs on Cost of Living in Portugal vs USA 2025

What is the main difference in the cost of living in Portugal vs USA?

The cost of living in Portugal is significantly lower than in the USA. Expenses like rent, dining, groceries, and transportation are much cheaper in Portugal, making it an affordable option for expats and retirees.

Are groceries cheaper in Portugal vs the USA?

Yes, groceries in Portugal are much cheaper. Fresh produce, dairy, and staples like bread and rice cost 40-70% less compared to the USA.

Is dining out more affordable in Portugal?

Dining out is far more affordable in Portugal. A meal at an inexpensive restaurant costs USD 10.31 in Portugal, while in the USA, it costs around USD 20.

How much cheaper is housing in Portugal compared to the USA?

Housing in Portugal costs around 40-50% less than in the USA. A 1-bedroom apartment in the city centre averages USD 954 in Portugal compared to USD 1,749 in the USA.

What about the cost of education in Portugal vs the USA?

Education in Portugal is much cheaper. Public schools are free, and university tuition averages USD 3,092–USD 12,883 annually, compared to over USD 27,000 in the USA.

How do salaries compare in Portugal and the USA?

Salaries are much higher in the USA. The average monthly net salary is around USD 4,359 in the USA, compared to USD 1,071 in Portugal.

Which country is better for digital nomads in terms of cost of living?

Portugal is better for digital nomads due to its affordable rent, dining, and utilities, while offering modern infrastructure and quality of life at a lower cost.

Is healthcare more affordable in Portugal compared to the USA?

Yes, Portugal offers universal healthcare at a low cost, while the USA has higher healthcare expenses, often requiring expensive insurance plans.

Are utility costs lower in Portugal?

Yes, utility costs are significantly lower in Portugal. Basic utilities for an 85m² apartment cost around USD 117.4, while in the USA, the average is USD 206.

How does the cost of entertainment activities differ in Portugal vs USA?

Entertainment or relaxing activities like gym memberships and cinema tickets are cheaper in Portugal, costing 20-50% less than in the USA.

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