Cost of living in Chile, prices and what it is like to live for an Expat, quality of life / hardship, and compare cost of living for Expatriates as at October 2023.

What is it like to live in Chile?

Climate: The climate is temperate. There is desert in the north, mediterranean in the central region, and a cool and damp climate in the south.

Language: The official language is Spanish. Many Chilean business people are well educated and speak English. Some knowledge of Spanish is appreciated. Chilean Spanish is fast, with word-endings often unpronounced, and it can be difficult for foreigners to understand. Indigenous languages, such as Aymara and Mapuche, are also spoken, but business people are unlikely to encounter them. Easter Islanders speak the Polynesian language Rapa Nui.

Religion: Christianity.

Economy: The economy of Chile is a dynamic market-oriented economy characterized by a high level of foreign trade.

Inflation: 5.3% for Chile as at August 2023.

Money: The currency of Chile is the Chilean Peso (CLP). Credit cards are accepted in most large shops and hotels.

Tax: In Chile is based on the current personal income tax rates which are progressive up to 40%.

Population: 19.1 Million (2022 est.)

Expat Life: Chile is culture is Catholic and conservative, for example it is expected to use formal titles unless invited to use first names. Expatriate dress code is conservative. Men typically wear dark suits, and women a dress or a skirt and blouse. The safety risk for expatriates in Chile is low overall. Risks include petty crime such as pickpockets, particularly in Santiago, as well as burglaries and those associated with demonstrations. Other risks include earthquakes and volcanoes.

Health Care: Health care facilities are good in Santiago and other major cities, but private clinics and hospitals are expensive for expatriates. Air pollution in Santiago during winter is significant. Cases of meningitis have been reported.

Chile covers all areas within the country other than Santiago.

Cost Of Living

What is the cost of living in Chile?

The cost of living for expatriates in Chile as at October 2023 is low in comparison to other places in the world, with an overall Cost of Living Index (COLI), for all 13 basket groups, of 50.71 (New York =100). We have collected prices for the same items, world wide, based on Expat spending norms, in or closest to the location, and converted them to $USD so that we can compare the cost of 13 different baskets in 780 global locations. For each basket, compared to New York, the equivalent cost in Chile is as follows:

1) Alcohol and/or Tobacco: Cost is low for items such as beer, spirits, wine and tobacco related products such as cigarettes. A basket costing USD$1,000 in New York costs USD$530. Average price in a store for a midrange bottle of wine is USD$7.37, domestic/local beer (500ml) USD$4.91, imported/international beer (330ml) USD$3.19 and a pack of 20 cigarettes is USD$7.37.

2) Clothing: Cost is average for items such as business, casual and children's clothing and footwear. A basket costing USD$1,000 in New York costs USD$790. Average price for an international brand of mens jeans is USD$54, a quality international brand of running shoes USD$69, mens leather shoes suitable for office wear USD$81 while a medium size international summer dress from a global chain store is USD$29.

3) Communication: Cost is low for various communication costs such as home telephone rental, internet subscription, mobile service provider tariff and data costs. A basket costing USD$200 in New York costs USD$98. Average price for a monthly standard plan internet subscription is USD$28, while the benchmark mobile tariff is USD$13.85 per minute.

4) Education: Cost is low for items such as creche / pre-school fees, primary school fees, high school fees and tertiary study fees. A basket costing USD$30,000 in New York costs USD$17700. Average annual private international school fee (excluding extras) USD$11,438 for Primary School, and USD$12,728 for High School.

5) Furniture & Appliances: Cost is average for items such as dining table and chairs, home entertainment, kitchen appliances, and sofas. A basket costing USD$2,500 in New York costs USD$2025. Average price for a 6kg front loader Washing Machine is USD$692, and USD$594 for a 46+'' LED UHD TV.

6) Groceries: Cost is average for items such as consumables, cleaning products, dairy, fresh fruit & vegetables, general food products, snacks, soft drinks. A basket costing USD$1,000 in New York costs USD$630. Average grocery prices in a major international retail store for 1 kg apples is USD$1.17, 1 kg oranges USD$1.11, 1 head lettuce USD$1.60, 1 kg potatos USD$0.78, 1 kg boneless, skinless, chicken breast USD$4.03, 1 kg cheddar cheese USD$6.60, 1 dozen large eggs USD$4.39, 500g loaf white bread USD$1.81, 1 L full cream milk USD$6.28, and 1.5 L water USD$1.76.

7) Healthcare: Cost is average for general heath care, doctor visits, hospital stays, non-prescription medicine, and medical insurance. A basket costing USD$1,000 in New York costs USD$590. Average healthcare cost for a private practice Doctor visit for an uninsured patient is USD$48, and a private hospital stay per day including nursing care, medications, diagnostic tests, food, and related costs is USD$1,472.

8) Household Accommodation: Cost is low for items such as apartment rent, house rent, property purchase, mortgage rate, and utilities. A basket costing USD$5,000 in New York costs USD$1450. Average expatriate house / apartment rent for a secure upmarket unfurnished apartment (3 bedrooms) is USD$2,122 in a central location, and USD$1,337 in a suburban location, per month, excluding utilities.

9) Miscellaneous: Cost is average for items such as dry cleaning, linen, magazines, newspapers, office supplies, and postage stamps. A basket costing USD$500 in New York costs USD$310. Average price for dry cleaning (1 mens 2 pc suit) is USD$6.00, while an international newspaper is USD$1.85.

10) Personal Care: Cost is low for items such as cosmetics, hair care, and toiletries. A basket costing USD$500 in New York costs USD$245. Average cost for a mens haircut and blow dry is USD$19, while a womens hair colour, cut and blow dry - medium length is USD$97.

11) Recreation & Culture: Cost is average for items such as books, cinema, sport and theatre tickets. A basket costing USD$500 in New York costs USD$300. Average price for a latest release international cinema ticket (average of on and off peak where applicable) for one adult is USD$8.19, and an international fitness, recreation or sports club membership cost for one adult is USD$53 per month.

12) Restaurants Meals Out and Hotels: Cost is average for items such as hotel daily room rates, meals and beverages in a restaurant, and take away food and beverages. A basket costing USD$1,000 in New York costs USD$510. Average cappuccino price (regular, medium) is USD$3.99, coke/pepsi (330ml) USD$1.89, burger meal (international franchise or similar) USD$10.65, and a mid-range international restaurant meal for 2 USD$65.52.

13) Transport: Cost is low for items such as fuel (petrol/gasoline), car hire, public transport, vehicle purchase and maintenance. A basket costing USD$1,000 in New York costs USD$530. Average average price over the last year for highest available octane petrol / gasoline (1L) is USD$5.97, while the benchmark car sedan purchase price including taxes/duties for a compact / small / economy vehicle (1.4 L) is USD$17,824.

How does the cost of living in Chile compare?

Chile is -20.5% cheaper than USA for groceries, -50.1% cheaper for household costs than UK, and 4.7% more expensive for transport costs than India.

What is the quality of life / hardship in Chile?

Chile is ranked as a high degree of hardship location.The hardship premium for Chile for an expat from Australia, is for example 20%, i.e. host location (Chile) premium of 30% minus home (Australia) location premium of 10%.

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