Low daily living costs remain inviting for expatriate families

July 24, 2024 | 10:46

(0) user say

Low living costs, combined with satisfaction with financial capability and a friendly environment, have made Vietnam an ideal place for single and family expatriates to live.

Low daily living costs remain inviting for expatriate families

Some non-nationals come to Vietnam to live because of lower healthcare costs, cheaper rent, and an appealing work-life balance

According to the Expat Insider 2024 report released in mid-July, Vietnam is the most affordable country in the world for expatriates, topping the list of 53 destinations in terms of personal finance. This marks the fourth consecutive year Vietnam has led in this category.

The report, conducted by InterNations, a community for expatriates with over 5.3 million members from 420 cities worldwide, highlights Vietnam’s top ranking in overall cost of living, satisfaction with financial situation, and whether household disposable income is sufficient for a comfortable life.

Among expatriates living in Vietnam who participated in the survey, 86 per cent rated the cost of living as good, significantly higher than the global average of 40 per cent.

Quinn Ryan Mattingly, a freelance photographer, has lived and worked in Vietnam for 16 years. “Not only is the cost of living low, but expatriates in Vietnam are also paid higher than the average expatriates living in other countries. Therefore, my family and I can have a comfortable and even prosperous life with benefits and amenities comparable to those elsewhere,” he said.

Notably, 68 per cent reported that their disposable income was more than enough to provide a comfortable life, significantly higher than the average of 41 per cent in other surveyed countries.

Additionally, expatriates are satisfied with the work-life balance in Vietnam, with 73 per cent giving positive feedback, compared to the global average of 60 per cent.

“In 2006 when I visited Vietnam from South Korea, the Vietnamese people, the leisurely life, and the incredibly low costs were things I had never seen in other countries. I decided to return to South Korea to finish my work and then moved to Ho Chi Minh City a few months later,” Mattingly added.

Besides ranking first in personal finance, Vietnam stands at 29th in essential services for expatriates, such as digital life, housing, and language, and 40th in quality of life among the 53 destinations.

Vietnam ranks eighth globally as the best place to work for expatriates according to InterNations, and 13th position in ease of settling in, with diverse entertainment options and relatively high security scores above the global average.

Sandy Yong Aaron, owner of Dreamers and Seekers restaurant in Hanoi’s Old Quarter, moved from Taiwan four years ago because of the extremely reasonable living costs relative to income. “The Vietnamese people are very friendly, and I always feel the support from my neighbours,” Aaron said. “The pandemic period showed the government’s care for expatriates living in Vietnam through vaccination and medication policies, and I was very grateful. When I was in Taiwan, I had thought about moving to Singapore, but life there is extremely expensive and now Vietnam is my second home, and I won’t move anywhere else.”

However, Vietnam’s ranking in terms of quality of life is still relatively low at 40th, despite some improvements. The environment and climate category is among the worst, stranded at 50th position. Public and personal transportation also receive low ratings, ranked 37th and 47th, respectively.

Loz Foster, an IELTS teacher, has spent five years teaching in Hanoi and Ho Chi Minh City, and acknowledges that central residential areas are still heavily polluted. “The environment needs to be cleaned up compared to European countries. Hanoi has few parks, few extended natural areas, and the traffic density is too high, resulting in high levels of pollution and fine dust. However, when I travel to quieter provinces like Cao Bang, Ha Giang, and Hue, it is a completely different story as the air there is wonderful,” Foster said.

Nevertheless, Foster added that living and travel costs are very cheap compared to her hometown of Bristol in the United Kingdom. “My friends and I have been to other destinations in Asia, but life in those places can be full of pressure, with high salaries but also high healthcare costs. So, I must admit that Vietnam is an ideal place for expatriates,” Foster said.

Ashley Heil, teacher, Vinschool

I’m a 39-year-old American who has been living in Vietnam for almost eight years. I’m a Cambridge teacher and the head of primary Cambridge English at Vinschool. I just got married in January and my husband is here with me in Vietnam. I moved to Vietnam with my now-husband after seven years in Istanbul and before that, over two years in Seoul.

We had some friends who moved to Hanoi and really loved it, so we decided to follow in their footsteps.

After some research, it seemed like you could make decent money here teaching and that living costs were relatively low compared to many other cities. I have just always wanted to make enough money to have a decent place, enjoy life, and also save a good amount of money, and Hanoi has for sure provided this. I have enough money to live comfortably, save, and spend money for whatever else I might want.

Compared to other countries, I think salaries are definitely better so long as you have the proper qualifications, and the cost of living is low, so I can save a bunch of money. Salaries might be higher in the United States but the cost of living there is much higher.

I really love living in Vietnam. The people are friendly, the food is great, and it’s not lacking in foreign goods. However, I do struggle with the pollution and traffic in Hanoi. I wish there was a better and more efficient public transport system.

Jenny Nguyen, operation manager Segular Technologies

Coming from Singapore, where the cost of living is high, I anticipated that the income in Vietnam might be lower, but I also hoped that the overall expenses would be more manageable.

Upon relocating here and starting my career, I found that the income level was indeed lower than what I was used to in Singapore. However, the lower cost of living in Vietnam has allowed me to maintain a comfortable lifestyle and even save some money.

In terms of daily expenses, I’ve found that my income meets my basic needs and allows for some discretionary spending. Balancing income and expenditure has been relatively straightforward, although I’ve had to adjust to the differences in prices and living costs compared to Singapore. Rent and utilities, in particular, are more affordable here, which has been a welcome change.

Moving to Vietnam has required me to adapt my lifestyle and let go of certain habits. In Singapore, I was accustomed to a fast-paced urban lifestyle, dining out frequently, and enjoying the convenience of modern amenities. Here in Vietnam, I’ve embraced a more relaxed pace of life, exploring local cuisine and engaging more in outdoor activities like hiking and exploring cultural sites. This adjustment period was initially challenging, but it has been rewarding to immerse myself in Vietnamese culture and lifestyle.

Adapting to life in Vietnam as a single woman from Singapore has been an enriching experience. While there are cultural differences and language barriers to navigate, I’ve found the Vietnamese people to be warm and welcoming. Connecting with expatriate communities and participating in local events has helped me build a sense of belonging and make friends. The vibrant cultural scene and the affordability of living here have made Vietnam a fulfilling place to live.

Looking ahead, I see myself continuing to live and work in Vietnam for the foreseeable future. The quality of life, career opportunities, and the overall experience of living in a culturally diverse environment are factors that weigh heavily in my decision. Vietnam has offered me a new perspective and growth opportunities personally and professionally, and I look forward to further exploring what this beautiful country has to offer.

Choong Chin Hoi, managing director Vietswan Poultry Production

When I decided to move to Vietnam, I anticipated that my income here would be lower compared to Malaysia. However, I also hoped that the cost of living would be more affordable, allowing me to balance my life effectively. Upon arriving in Vietnam, my actual income matched my initial expectations. Although my salary was indeed lower than in Malaysia, the cost of living in Vietnam was significantly cheaper, especially when it came to food and housing.

In terms of daily expenses, I found that my income was sufficient to cover the cost of living and even allowed for some savings. Initially, I faced some difficulties in balancing income and expenditure due to the unfamiliar pricing, but over time, I adapted and found it easier to manage my finances. Daily living costs in Vietnam were considerably lower than in Malaysia, particularly in terms of food and rent.

Relocating to Vietnam required me to alter and abandon certain habits. In Malaysia, I was accustomed to eating Malaysian cuisine regularly and engaging in leisure activities such as going to the cinema or visiting large shopping malls. In Vietnam, I learned to enjoy Vietnamese cuisine and changed my leisure activities, opting more for outdoor activities and park visits. These changes were challenging at first, but gradually, I became comfortable and satisfied with my new lifestyle.

Adapting to life in Vietnam was relatively easy for me, thanks to the support from my wife’s family and the Vietnamese community. While there are significant differences between the lifestyle in Vietnam and Malaysia, there are also many similarities, making it easier for me to integrate. I am satisfied with my life in Vietnam due to the low cost of living, friendly people, and healthy living environment. However, there are times when I miss the modern amenities and services available in Malaysia.

I have engaged with several expatriate communities in Vietnam, which has greatly assisted me in adjusting to the new environment. Social and cultural activities in Vietnam, such as traditional festivals, are always interesting, and I frequently participate in them. In the future, I plan to continue living and working in Vietnam. The most crucial factor influencing my decision is the stability and quality of life that my family and I have here. Vietnam has become my second home, and I am happy living here.

Vicente Ortuno, co-founder Vivi Media Communication and Entertainment

When I decided to come to Vietnam three years ago, I had moderate expectations regarding the income level, considering the cost of living here. My expectations have been met, and in some aspects, they have even been exceeded. The lower cost of living compared to Western countries allows for a comfortable lifestyle.

Currently, my income allows me to comfortably cover all daily expenses and still have a good amount left for savings and investments. The cost of living in Vietnam, especially compared to Western countries, is relatively low. Housing costs, food, transportation, and healthcare are all significantly more affordable.

My income covers not only the essentials like rent, utilities, and groceries but also allows for dining out, travel, and other leisure activities. I am able to enjoy a high quality of life without financial stress. Additionally, this lower cost of living enables me to allocate funds towards expanding my business and exploring new ventures.

I chose Vietnam because of its dynamic market and the opportunities for growth in the media industry. Additionally, Vietnam offers a vibrant culture and a welcoming community. Working and living in Vietnam has been a great experience. I am particularly satisfied with the entrepreneurial spirit and the rapid development in the business sector.

If you have the skills and qualifications, I strongly encourage you to come and work in Vietnam. The country offers a dynamic and growing job market with numerous opportunities across various industries. You’ll find that Vietnam is a vibrant place to live and work, and it will not disappoint you.

Cyan Michel, director, Naco Taco Corporation

I am Mexican and I live in Vietnam with my son. When I moved to Vietnam, my primary motivation was the freedom of trade and movement that this country offers, which is quite attractive for an entrepreneur like myself. The cost of living in Vietnam is significantly lower compared to many other countries, which is a major advantage. This affordability means that the income one earns here can go a long way in providing a comfortable lifestyle.

The income that each person earns is largely dependent on their productivity and capacity. In my case, as an entrepreneur, I have been able to generate a higher income in Vietnam compared to my country of origin. This is partly due to the dynamic business environment and the numerous opportunities for growth and innovation.

My overall experience in Vietnam has been very satisfactory. Of course, like any place, there are ups and downs, and one must navigate both the positive and negative aspects. The key to success here, as anywhere else, lies in one’s ability to adapt to the local culture and system. Understanding and respecting the personality and character of the Vietnamese culture has been crucial for me in establishing and growing my business.

Vietnam has provided a conducive environment for both personal and professional growth. The support from the local community and the favourable business policies have played a significant role in my success. Despite the challenges, the rewards have been substantial, and I am optimistic about my future here in Vietnam.

By Hazy Tran

What the stars mean:

★ Poor ★ ★ Promising ★★★ Good ★★★★ Very good ★★★★★ Exceptional