Taiwan is not murang-mura everywhere. Daily expenses can be lower than in many Western countries, but costs change a lot by city. Taipei is expensive. Tainan and Kaohsiung are far more affordable. Your budget depends on where you live, how you rent, and how you spend.
The Big Myth About Taiwan’s Cost of Living
Many people hear one sentence over and over. Taiwan is cheap.
That idea spreads fast on social media and travel videos. Night markets look affordable. Public transport looks efficient. Rent ads look low compared to the US or Europe.
Here is the reality: Taiwan’s cost of living depends on the city, your lifestyle, and your housing choice.
👉 If you live like a tourist for two weeks, Taiwan feels cheap.
👉 If you live like a resident for one year, the numbers change.
This matters for OFWs, expats, ESL teachers, and families planning long term stays. Choosing the wrong city can quietly drain your salary month after month.
Taiwan Cost of Living by City
Below is a practical city by city look at the cost of living in Taiwan for a single person, including rent.
Monthly Cost of Living Comparison
| City | Estimated Monthly Cost (USD) | What to Expect |
| Taipei | 1,300 to 1,500 | High rent, higher food prices, best transport |
| New Taipei | 1,100 to 1,300 | Slightly cheaper rent, still urban costs |
| Hsinchu | 1,200 to 1,400 | Tech salaries higher, housing also costly |
| Taichung | 950 to 1,100 | Balanced lifestyle, moderate rent |
| Kaohsiung | 900 to 1,050 | Cheaper housing, relaxed pace |
| Tainan | 850 to 1,000 | Lowest rent, very affordable food |
These are averages. Your real cost depends on your apartment size, eating habits, and daily commute.
Taipei: Convenience Comes at a Price
Taipei is the most expensive city in Taiwan. It also offers the most convenience.
Why Taipei Costs More
Rent is the biggest factor. A small studio in a central area can cost two to three times more than the same space in southern cities.
Food is still affordable by Western standards, but prices add up fast if you eat out daily. Cafes, Western food, and imported groceries cost more here.
Transport is excellent, but regular MRT use still adds a monthly expense that smaller cities do not have.
Who Taipei Makes Sense For
Taipei works well if you value:
✅ Short commute times
✅ High English usage
✅ International schools and hospitals
✅ Office and tech jobs
If your salary is average and your rent is high, Taipei can feel tight very quickly.
New Taipei and Hsinchu: Close to Taipei, Still Costly
New Taipei surrounds Taipei City. Rent is slightly lower, but daily costs stay similar. Many people choose New Taipei to save on rent while keeping access to the capital.
Hsinchu is a special case. It is a tech hub with higher salaries. That also means higher rent and dining costs. If you work in semiconductors or engineering, the pay may balance it out. If not, the city can feel expensive.
Taichung: The Middle Ground
Taichung often feels like the most balanced city in Taiwan.
Rent is much lower than Taipei. Food is affordable. The city is modern but less crowded.
Transport is improving, but you may rely more on buses or scooters. That keeps costs stable but adds planning.
Taichung suits people who want:
- Moderate rent
- City comfort without capital prices
- A slower daily pace
For many long term residents, Taichung offers the best value for money.
Tainan and Kaohsiung: Where Taiwan Feels Affordable
Southern Taiwan is where the murang-mura idea comes closest to reality.
Why the South Is Cheaper
Rent is the biggest advantage. You can get a larger apartment for half the price of Taipei.
Food culture is local and traditional. Meals are filling, cheap, and everywhere.
Transport costs are lower because many people live close to work or use scooters.
Differences Between Tainan and Kaohsiung
Tainan is slower and more traditional. It is great if you like quiet streets and local food.
Kaohsiung is bigger and more modern. It has an MRT system, better nightlife, and more job options.
For many OFWs and expats on fixed income, southern Taiwan offers the most breathing room.
What Really Drives the Cost Differences
Housing
Housing is the number one factor. Rent in Taipei can be two to three times higher than in Tainan or Kaohsiung for the same size.
Choosing a newer building, elevator access, or a central location raises costs fast.
Food
Street food is affordable nationwide. Restaurant dining changes by city.
Taipei has more international food options, which cost more. Southern cities focus on local dishes, which stay cheap.
Transport
Public transport is affordable across Taiwan. Taipei has more MRT use, which increases monthly transport spending.
In smaller cities, scooters reduce daily costs.
Lifestyle Choices
Imported groceries, Western brands, frequent cafes, and luxury apartments erase Taiwan’s cost advantage quickly.
Living local keeps costs low.
Taiwan vs Western Countries
Taiwan is still affordable compared to many Western countries.
- About 27.5 percent cheaper than the US overall
- Rent around 65 percent lower than the US
- Average monthly salary after tax around 1,481 USD
- That salary covers about 1.4 months of basic living expenses
This makes Taiwan attractive for long term living. But expecting Southeast Asia level prices leads to disappointment.
Taiwan sits in the middle. Not cheap everywhere. Not expensive everywhere.
Choosing the Right City for Your Budget
Here is a simple way to decide.
Choose Taipei if:
- Your salary is high
- You need city convenience
- You work in tech, finance, or international roles
Choose Taichung if:
- You want balance
- You want modern living at lower cost
- You can accept fewer MRT lines
Choose Tainan or Kaohsiung if:
- You want lower rent
- You prefer slower pace
- You want your salary to stretch further
City choice makes or breaks your Taiwan budget.
Frequently Asked Questions
- Is Taiwan cheaper than the Philippines?
Daily food and transport can feel cheaper. Rent is often higher, especially in Taipei. It depends on city and housing. - Can you live in Taiwan on one salary?
Yes, especially outside Taipei. In southern cities, one salary can cover rent, food, and savings if you live local. - Is Taipei more expensive than Tokyo or Seoul?
Taipei is cheaper than Tokyo and Seoul, but it is closer than many expect. Rent savings help, but food and lifestyle costs add up. - Which city is best for saving money?
Tainan and Kaohsiung offer the lowest rent and food costs, making them best for saving.
Watch: What to expect in Kaohsiung Taiwan | Travel Guide SEP 2025
The vlog followed two Filipino travelers as they stepped into Kaohsiung for the first time, eager to uncover its charm.
They narrated how visitors needed a valid passport, an online arrival card, and an e-card to move around with ease.
From the airport, they chose the train for its budget-friendly convenience, showing how simple it was to reach their hotel near Yan Cheng Pu station.
Their adventure carried them to Cijin Island, where ferry rides, bike rentals, and street food painted a lively picture of local life.
They capped the day at Ruifeng Night Market, tasting fried chicken, onion pancakes, and frozen yogurt, before heading to Lotus Pond’s Dragon and Tiger Pagodas, Love River’s gondola rides, and Michelin Bib Gourmand restaurants that revealed Kaohsiung’s vibrant mix of culture, flavor, and history.
Final Thoughts
Taiwan is affordable compared to many countries, but it is not uniformly cheap.
Taipei trades cost for convenience.
Taichung offers balance.
Tainan and Kaohsiung give the best value.
If you are planning to relocate, do not rely on averages. Pick the city that matches your income and lifestyle.
The myth that Taiwan is murang mura everywhere does not survive a real monthly budget.