What is the cost of living in Vanuatu for expats?
The cost of living in Vanuatu is moderate - significantly cheaper than Australia or New Zealand, but not ultra-cheap like Southeast Asia. Combined with zero income tax, your money goes further here than most places.
Monthly Budget Overview (Port Vila)
| Expense | Budget | Mid-Range | Comfortable |
|---|---|---|---|
| Rent (1BR apartment) | $700-900 | $900-1,200 | $1,200-1,800 |
| Utilities | $150-200 | $200-300 | $300-400 |
| Groceries | $300-400 | $400-600 | $600-800 |
| Dining out | $100-200 | $200-400 | $400-600 |
| Transportation | $50-100 | $100-200 | $200-400 |
| Internet/Phone | $175-200 | $200-230 | $230-280 |
| Health Insurance | $100-200 | $200-400 | $400-600 |
| Entertainment | $100-150 | $150-300 | $300-500 |
| Total | $1,675-2,350 | $2,350-3,630 | $3,630-5,380 |
Living Outside Port Vila:
Luganville and outer islands are 20-30% cheaper for rent and daily expenses, but with fewer amenities and less reliable infrastructure.
What's Expensive:
- Internet: $150-230/month for broadband (expensive and not always reliable)
- Imported goods: Electronics, packaged foods, alcohol - all shipped from Australia/NZ
- Vehicles: High import duties
- Medical evacuation insurance: $3,000-5,000/year (but essential)
What's Affordable:
- Local food: Fresh fish, tropical fruits, vegetables at markets
- Local restaurants: $10-15 per meal
- Domestic help: Cleaners, gardeners very affordable ($100-200/month)
- Rent: 60% cheaper than Sydney/Melbourne
- Utilities: Reasonable (electricity can vary)
Sample Budgets:
Digital Nomad (Single, Moderate):
| Item | Monthly Cost |
|---|---|
| 1BR apartment (Port Vila) | $1,000 |
| Utilities | $200 |
| Internet | $200 |
| Groceries | $400 |
| Dining out | $200 |
| Transport | $100 |
| Health insurance | $200 |
| Entertainment | $150 |
| Total | $2,450 |
On a $100,000 remote salary with zero income tax, you'd save ~$5,000-6,000/month.
Couple (Comfortable):
| Item | Monthly Cost |
|---|---|
| 2BR house | $1,500 |
| Utilities | $350 |
| Internet | $230 |
| Groceries | $600 |
| Dining out | $400 |
| Transport (car) | $300 |
| Health insurance | $400 |
| Entertainment | $300 |
| Total | $4,080 |
Family of 4 (Comfortable):
| Item | Monthly Cost |
|---|---|
| 3BR house | $2,200 |
| Utilities | $450 |
| Internet | $230 |
| Groceries | $900 |
| Dining out | $400 |
| Transport (car) | $400 |
| School fees | $800-1,500 |
| Health insurance | $700 |
| Entertainment | $300 |
| Total | $6,380-7,080 |
The Zero Tax Advantage:
This is the real story. Here's what your $100,000 income looks like:
| Location | Gross | Tax | COL/month | Annual Savings |
|---|---|---|---|---|
| Sydney | $100K | $25K | $5,000 | ~$15,000 |
| Vanuatu | $100K | $0 | $2,500 | ~$70,000 |
Even with moderate living costs, the zero tax means dramatically higher savings.
Hidden Costs to Budget For:
- Medical evacuation insurance: $3,000-5,000/year (non-negotiable)
- Generator: $500-2,000 (for power outages)
- Flights home: Vanuatu is remote - budget for travel
- Cyclone preparation: Emergency supplies, possibly storm damage repairs
Tips for Keeping Costs Down:
- Shop at local markets - fresh produce is cheap and excellent
- Avoid imported goods - buy local when possible
- Consider Luganville - 20-30% cheaper than Port Vila
- Cook at home - restaurant prices add up
- Use local transport - minibuses are very cheap
Bottom Line:
A single person can live comfortably in Vanuatu for $2,000-3,000/month. A couple needs $3,500-4,500. A family requires $5,500-7,000+. Combined with zero income tax, this makes Vanuatu extremely cost-effective for anyone with decent remote income.
Immigration Information Disclaimer
This content is for general informational purposes only and does not constitute legal advice. Immigration laws change frequently. Always consult a qualified immigration attorney for advice specific to your situation.