The Cost of Living in Melbourne


The Cost of Living (in Melbourne)

What is Cost of Living? To put it into a simple term, as some may not understand, it is defined by dictionary is: the average cost of food, clothing, and other necessary or usual goods and services paid by a person, family, etc., or considered as a standard by the members of a group”

So basically it means that you need to get a job and receive a certain amount of salary to maintain and survive based on your needs to support yourself and/or your family.

When I landed in Australia, I didn’t know much about the average cost of things especially in Melbourne. I know it’s expensive compared to Singapore only because of the wage comparison. It took me a freaking while to figure out to make sure that I am able to buy and pay for things and also save up “x” amount of money every month. Only because I spend time driving to JB and get stuffs from Giant or Tesco, plus petrol, food and massage and still have some spare change, it took a while to digest.

But one thing for sure is I know I am not be paying exuberant amount for Baby Milk Formula as I have past that stage. Phew!! But what I conclude from my gifted intuition is that the holy cows are specially selected just for Singapore, in which, they are treated with royal treatment eg. Gold plated milking machine and fed with the highest of the highest grains and hay, no difference from the White Cows from the Elite Towers that are being fed. Thus the price justification which I truly and wholeheartedly agree. Don’t you?


Sorry about the milky rant.

For myself, I started off working as a casual in a hotel earning around $40K for the first year. But now I am in a government sector with a different pay scale.

Everyone earns differently. Based on the trade and experience and also being a new migrant, you have to know what your spending powers are. You can live moderately or lavishly even if you earn below the market value.

So to me, cost of living is about SMART SHOPPING.

Based on the links below, it tells you the average cost of living for a person in Melbourne and Australia.



I will generally go through some basic expenses and tips as it’s really difficult to compare every single product out there in the market.

FOOD

Milk
Melb. Avg - $1.32
You will be able to get milks from $1/litre from Aldi, Woolworths and Coles cheaper than the average price.

12 Large Eggs (Dozen)
Melb. Avg - $6
You can get a dozen of 700g eggs less than $4 from if you don’t get it from the major supermarkets.

Fruits
Fruits are generally cheaper in Australia if you don’t mind not eating much of the exotic fruits. Hard to do comparisons are some fruits hard to get during certain seasons.

A happy shoppers will get happy times at night.

Meat
Meats are a little complex because everyone’s taste bud is different. Even if it happens to cost a little more than you expect, the meats are definitely fresher.

Cookies, Breads and Spreads
Breads here are bigger and thicker than breads in Singapore. Popular brnds can cost anywhere starting from $3 and as cheap as $0.80 for the local supermarket brand.
Cookies and spreads like Peanut Butter, Nutella and Jams are definitely cheaper in Aldi. But always keep an eye on Coles and Woolworths where they have frequent “special’ sale on these items where you can stock up and save some bucks.

HOUSING
Housing is a little complex. Some live in rental houses or rooms and some own their own home. Monthly mortgage or rents varies individually. Talk to your broker or bank if you think can or want to afford a home. Go for it.


Utilities
As utilities also differ from households to households. For those living in a rented home like myself, bills come quarterly and you have to pay them. To prevent them paying a ‘big’ amount quarterly, try paying them weekly or fortnightly. E.g If average Electricity or Gas Bill comes up to about $250 each, try paying the utilities company $30 fortnightly. So by the next billing cycle, you will be only paying the remaining $70 for each bill.

Dishwashing Cubes and Laundry Powder
Get them from Aldi. Definitely a big saver if you have a family. 4kg for less than $10 and it does the work.


CLOTHES

Because clothes are based on seasonal conditions and if you have kids who outgrow them like bean sprouts growing from green beans in a secret science experiment, you definitely be going into departmental stores like K-Mart, Big W and Target. They have fairly good range of clothes and affordable. It’s surprising that they can last for at least couple of years. I have been doing that and loving it.
Look out for Special Sales. Go grab them if you really need.


TRANSPORTATION
Although the refined petrol is coming from Singapore, it is still cheaper than Singapore.
Petrol ranges anywhere from average $1 Unleaded 91) to $1.50 (Unleaded 98).

Cars? Nope. Not going into those details of getting a car in Australia. Second hand car? New car? Novated Leasing? Car insurance? Balloon payment for your car loan? It’s all up to your preference. Go figure it out. It’s just too big of a topic.


OTHERS

Entertainment
If you are an avid beer drinker or a smoker, your expenses will rise accordingly. As for myself, I don’t fall into these categories and those savings go into my bank account.

If you intend to go for movies in the cinemas, there are cinemas that charges $10 flat which I say it pretty affordable if you want to bring your kids out now and then.

I have given some generic samples of examples with small tips and hope it may serve you some sort of usefulness. Always keep your eyes open. Look around. Talk to friends. Talk to people. Look out for sale stickers.

This is a hard topic to talk about. You need specific data on a specific product on a period of time, taking in inflation factors.  Just remember to refer to the links up there.

If you think you can give better data comparisons, feel free to comment and show me how smart you are in SMART SHOPPING. I am all ears.

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