Published on and written by Cyril Jarnias
Moving to Mongolia is attracting more and more expats drawn by both wide open spaces, mining dynamism, and still relatively affordable daily expenses. But behind the “cheap” destination image, the reality is more nuanced: the gap between local salaries and expat budgets, the weight of housing in Ulaanbaatar, the high cost of international schools or health insurance can quickly drive up the bill.
The cost of living for expats in Mongolia is mainly based on consolidated data (Numbeo and other specialized databases) verified through 2025. The analysis focuses on Ulaanbaatar, where the vast majority of expats reside, and provides a detailed, quantified overview.
A generally affordable country, but far from “cheap”
To place Mongolia in the global landscape, the average cost of living index is around 33.9 (New York = 100). In other words, living in Mongolia costs about 1.31 times less than the world average, and significantly less than most major Western cities.
The country ranks 117th out of 197 by cost of living, with its capital Ulaanbaatar among the third cheapest cities in the world.
For an expat, the following benchmarks give a first idea:
– Average expat budget: about 893 USD per month
– Digital nomad budget: around 1,881 USD per month
– Local resident budget: approximately 494 USD per month
– Overall budget for a “typical” expat in Ulaanbaatar: 870 to 1,200 USD per month all-inclusive for a single person, depending on comfort level.
These figures are averages. As soon as you add a family, a high-end international school, or a very central, modern home, the budget can double or even triple.
How much to budget per month? Single, couple, family
Estimates vary depending on the source and the level of comfort considered, but several broad ranges overlap.
Monthly spending profile
For all Mongolian cities, the following ranges can be noted (in dollars, including and excluding rent):
| Profile | Average monthly expenses with rent | Average monthly expenses without rent |
|---|---|---|
| Single person (all cities) | 1,315 USD | 790 USD |
| Couple | 1,799 USD | 1,274 USD |
| Family of 4 | 2,480 USD | 1,797.5 USD |
For a more frugal lifestyle, still at the country level:
| Profile | Tight budget / month with rent | Tight budget / month without rent |
|---|---|---|
| Single person | 601.5 USD | 301.5 USD |
| Couple | 793.6 USD | 493.6 USD |
| Family of 4 | 1,096.1 USD | 706.1 USD |
In Ulaanbaatar, which concentrates most expats, specific estimates are lower than these high national averages:
| Profile | Total / month with rent | Total / month without rent |
|---|---|---|
| 1 person | 870 USD | 439 USD |
| Family of 4 | 2,090 USD | 1,326–1,327 USD |
We can see a significant gap between an “expat comfort” lifestyle (1,300 USD for a single person nationwide) and a more local or optimized style (870 USD in Ulaanbaatar).
Yearly view: how much does a year in Mongolia cost?
Extrapolating over 12 months gives: 12 months.
| Profile | Average annual expenses (all cities, with rent) |
|---|---|
| Single person | 15,780 USD |
| Couple | 21,588 USD |
| Family of 4 | 29,760 USD |
These amounts remain significantly lower than those of most Western capitals, but compared to local wages, they are high, which explains why the Mongolian population lives on budgets much lower than those of expats.
Local income vs expat budget: a gap not to be underestimated
This is one of the key points to understand the cost of living: Mongolia is cheap for a well-paid expat… but very expensive for an average local worker.
Salary data shows:
Overview of average net monthly income in the country, with a focus on the capital Ulaanbaatar, illustrating variability by source and region.
The average net monthly salary nationwide is about 1.64 million MNT, equivalent to 500–600 USD depending on exchange rate.
In the capital, the average net monthly salary after tax is about 1.86 million MNT, roughly 500–520 USD.
Another source indicates an average net salary of 314.84 USD, highlighting significant gaps by sector.
Related to cost of living:
– The median net salary covers about 0.6 months of expat-level expenses in Ulaanbaatar, according to Numbeo.
– In other words, the “expatriate” lifestyle (restaurants, cafes, modern housing, international school) is not at all aligned with the average local income.
For posted expats (salaries often in foreign currency) or digital nomads paid by foreign clients, Mongolia remains attractive. For freelancers paid in MNT, caution is needed.
Housing: moderate cost, but key in the budget
Housing represents, as everywhere, the largest share of expenses. The good news is that rents are still very lower than in most major Western cities, even if Ulaanbaatar is much more expensive than other Mongolian cities like Darkhan or Erdenet.
Rental levels in Ulaanbaatar
The main trends are as follows:
| Type of housing | Average monthly rent | Common range (MNT) |
|---|---|---|
| Studio/1 bedroom city center | ~400–600 USD | 1.8 to 2.5 M MNT |
| Studio/1 bedroom outside center | ~200–400 USD | 1.2 to 1.6 M MNT |
| 3 bedrooms city center | ~770–1,030 USD | 3.5 to 6 M MNT |
| 3 bedrooms outside center | ~650–735 USD | 2.5 to 3.6 M MNT |
| Furnished studio 45 m² (normal area) | ~320 USD | ~1.1 M MNT |
| Furnished 85 m² in “expensive” area | 3.45 M MNT | |
| Furnished 85 m² in “normal” area | 2.25 M MNT |
Converted to dollars, official Numbeo figures show, for example:
– 1 bedroom city center: approximately 417–482 USD depending on source
– 1 bedroom outside center: approximately 352 USD
– 3 bedrooms center (80 m²): approximately 769–1,396 USD (the “cheap” end is around 716 USD)
– 3 bedrooms outside center: 656–735 USD
For a family of four, the typical monthly cost of rent and utilities is about 764 USD.
Utilities and services: reasonable amounts
Monthly utility bills depend heavily on the size and insulation of the apartment, but the orders of magnitude are as follows:
| Item | Average monthly cost | Remarks |
|---|---|---|
| Electricity, heating, water, garbage (85 m²) | ~248,000–273,000 MNT | About 45–75 USD |
| Electricity, heating, water (915 sq ft) | ~230,000–280,000 MNT | 200,000 to 380,000 MNT depending on season |
| High-speed internet (60 Mbps+) | 40,000–60,000 MNT | 15–30 USD |
| Mobile plan (calls + 10 GB data) | ~25,000 MNT | 7–10 USD |
Overall, a utilities bill for a single person runs around 46 USD and around 70–75 USD for a family, well below North American or European costs.
Property purchase and rental yield
For those considering investing, purchase prices per square meter remain moderate:
| Location | Average price / ft² (MNT) |
|---|---|
| City center | ~465,000–645,000 MNT |
| Outside center | ~288,000–320,000 MNT |
Real estate data indicates an average gross rental yield of about 10.75% in Ulaanbaatar, with peaks over 13% for some studios in neighborhoods like Sükhbaatar or Songinokhairkhan. Even after deducting 1.5 to 2 points for expenses and vacancy, net returns remain well above those seen in many large Western cities.
Food: affordable in local mode, more expensive in “expat” version
On paper, food is one of the strong points of the cost of living in Mongolia: a grocery basket that costs 1,000 USD in New York would come to about 530 USD in the Mongolian capital. But the bill rises as soon as you shift to imported products or very “Western” consumption.
Monthly food budget
Consolidated estimates give:
| Profile | Food budget / month |
|---|---|
| 1 person | ~300–306 USD |
| Family of 4 | ~820 USD |
For a basic calculation: an expat living alone can count on a realistic budget of 300 USD per month to eat properly, excluding high-end restaurants.
“Kcal” basket simulations (2,200–2,400 kcal/day) result in:
– Cheapest products: 5.61–8.49 USD per day (19,063 to 28,849 MNT)
– Mid-range products: 7.52–12.86 USD per day (25,553 to 43,698 MNT)
Typical supermarket prices
Some benchmarks for staple products (averages in MNT):
| Product (approx. 1 kg or 1 L) | Average price (MNT) |
|---|---|
| Milk (1 L) | ~4,500–5,000 MNT |
| White bread (500 g) | ~3,000 MNT |
| White rice (1 kg) | ~6,000 MNT |
| Eggs (12) | ~7,000–8,000 MNT |
| Local cheese (1 kg) | ~40,000–45,000 MNT |
| Chicken fillet (1 kg) | ~11,000–13,000 MNT |
| Beef (1 kg, round) | ~17,000–19,000 MNT |
| Apples (1 kg) | ~10,000 MNT |
| Bananas (1 kg) | ~8,500 MNT |
| Tomatoes (1 kg) | ~13,800 MNT |
| Potatoes (1 kg) | ~2,100 MNT |
| Water (bottle 1.5 L) | ~2,200–2,500 MNT |
| Local beer (0.5 L supermarket) | ~4,500–4,700 MNT |
| Decent red wine (bottle) | ~30,000–55,000 MNT |
| Marlboro (20 units) | ~6,000–10,000 MNT |
Basic food thus remains very accessible, especially if you favor local markets and products (meat, potatoes, dairy, grains). Imported fruits or more “premium” products drive up the bill, but without reaching Western European levels.
Restaurants, cafes, and outings
Eating out in Ulaanbaatar is significantly cheaper than in most European capitals, even in expat-favored neighborhoods.
| Type of meal / drink | Average price (MNT) |
|---|---|
| Inexpensive meal (local canteen) | 15,000–19,000 MNT |
| “Business” lunch menu | ~25,000 MNT |
| McDonald’s / equivalent fast food combo | 14,700–18,000 MNT |
| Dinner for 2 at a mid-range restaurant (3 courses) | ~100,000 MNT (50,000–200,000) |
| Dinner for 2 at a neighborhood pub | ~65,600 MNT |
| Full Italian dinner for 2 (expat area) | ~136,000 MNT |
| Standard cappuccino | 8,000–8,500 MNT |
| Cappuccino in expat area | ~11,000 MNT |
| Local draft beer (1 pint) | ~5,500–8,500 MNT |
| Cocktail at a downtown club | ~29,800 MNT |
For an expat who goes out regularly (city lunches, coffees, some restaurant dinners), it’s easy to add 150 to 250 USD per month to the budget, or even more if you mostly frequent the priciest expat spots.
Transport: very cheap for daily use
On this item, Mongolia is very competitive, especially for urban transport.
Public transport and taxis
In Ulaanbaatar:
– Local bus/tram ticket: 500–1,000 MNT (0.15–0.30 USD)
– Monthly transport pass: 24,000–30,000 MNT (7–12 USD)
– Observed pass: about 8.29 USD per month for a local pass, according to some sources
– Taxi – base fare: ~2,000 MNT
– Taxi – 1 mile: 3,200–4,000 MNT
– Taxi – 1 hour waiting: average 9,000–13,500 MNT, with extreme cases up to 50,000 MNT
For an expat who mainly uses public transport + some taxi trips, the monthly transport cost remains very contained:
| Profile | Transport expenses / month (Ulaanbaatar) |
|---|---|
| 1 person | ~43–45 USD |
| Family of 4 | ~120–125 USD |
The bulk of mobility spending actually comes from personal car or rental, especially when leaving the capital.
Fuel, car, and rental
– Gasoline: about 3,400–4,500 MNT / L (1–1.3 USD)
– 1 gallon: about 13,300 MNT (3.8 USD)
– New Volkswagen Golf: 80–135 M MNT (28,000–35,000 USD)
– New Toyota Corolla: 60–125 M MNT depending on source (rather 35,000–40,000 USD for high-end models)
Renting a car to travel in Mongolia can represent a very significant cost in the travel budget.
– Basic rental: 30–50 USD / day (without fuel)
– With international agencies (like Sixt): rather 200 USD / day, with a security deposit of 1,500–2,000 USD
– Driver + vehicle (UAZ van or Toyota type): ~200,000 MNT / day (≈ 58 USD), excluding fuel, meals, and driver accommodation
In practice, many expats in Ulaanbaatar do without a car daily, but any plan for regular exploration of the steppe or remote regions results in quickly high transport costs.
Healthcare: very limited public, private and international insurance essential
The Mongolian healthcare system is mixed, with a large public sector of uneven quality and a developing private sector, mainly in Ulaanbaatar.
Quality of care and access
– Mongolia has over 4,000 health facilities, including about 91 public hospitals and more than 240 private hospitals.
– Most quality establishments are concentrated in Ulaanbaatar (Intermed, Songdo, SOS Medica Mongolia, Grandmed…).
– Standards generally remain below Western levels, especially outside the capital: aging equipment, lack of high-tech gear, shortage of staff in rural areas.
– Many Mongolians go to China or South Korea for major treatments; an estimated 80,000 patients spend 140 million USD per year abroad.
For an expat, it is recommended to favor the private sector for routine care in Ulaanbaatar. It is essential to take out international health insurance that includes a medical evacuation clause to a neighboring country in case of a serious health problem.
Cost of care and insurance
Sample rates:
| Medical service | Indicative cost (MNT) |
|---|---|
| Private doctor consultation | 50,000–100,000 MNT |
| Short visit to private doctor | ~100,000 MNT |
| Night in private room (private hospital) | 200,000–500,000 MNT |
| Standard surgery (appendicitis, etc.) | 2–5 M MNT (excluding evacuation) |
Medications, largely imported, can also represent a significant expense, without guarantee of availability of “Western” specialties.
Insurance side:
– For an individual, a solid international health insurance often costs 1,000 to 3,000 USD per year.
– For a family of four, annual premiums are more like 7,000 to 10,000 EUR.
– These policies generally cover private hospitalization in Mongolia, consultations, medications, as well as evacuation and repatriation.
In practice, health insurance becomes a major cost item in the expat budget, on par with housing or schooling.
Education: international schools, the heaviest item for families
For expats with children, this is probably the item that changes everything in the budget. International schools in Ulaanbaatar charge fees comparable to those in many developed countries, even though the surrounding cost of living is much lower.
Major international schools and tuition fees
Some examples of annual fees:
| School / level | Annual fees (USD or MNT) |
|---|---|
| International School of Ulaanbaatar (ISU) – pre-kindergarten | ~18,200–24,190 USD |
| ISU – elementary (K–5) | ~25,700–34,000 USD |
| ISU – middle school (6–10) | ~31,210–41,300 USD |
| ISU – high school (11–12, IB) | ~33,300–44,060 USD |
| American School of Ulaanbaatar (ASU) | 8.5–18.1 M MNT / year (~2,400–5,200 USD) |
| English School of Mongolia (ESM) – IB | up to 30 M MNT / year |
| Other British / bilingual schools | 22.5–72.2 M MNT depending on grade |
In addition to tuition fees, other costs must be considered:
Beyond tuition, plan for other significant expenses: registration and development fees (e.g., 4,500 USD at ISU), library or textbook deposits (120–800 MNT), school transportation (about 1,000 USD/year), cafeteria (about 10,000–12,000 MNT per day), as well as uniforms and extracurricular activities.
For a couple with two children in a high-end international school, the education item can therefore exceed 50,000 USD per year, several times the cost of the rest of living.
Leisure, sports, daily life: moderate, but varies with lifestyle
For leisure, Mongolia remains generally accessible, but some expat-oriented services are priced well above the local average.
Sports and wellness
| Service | Average cost (MNT) |
|---|---|
| Gym membership / month | 150,000–250,000 MNT |
| Fitness club in business district | ~150,700 MNT |
| Average club (Numbeo) | ~180,000–230,000 MNT |
| Tennis court rental (1 hr weekend) | 43,000–48,000 MNT |
A sporty expat can easily spend 50 to 80 USD per month on a gym, or even more in high-end complexes.
Culture and outings
| Activity / service | Average price (MNT) |
|---|---|
| Movie ticket (international release) | 15,000–16,500 MNT |
| 2 movie tickets | ~34,000 MNT |
| 2 theater tickets (best seats) | ~184,000 MNT |
| Standard men’s haircut (expat area) | ~35,000 MNT |
| “Neighborhood pub” evening for 2 | ~65,500 MNT |
Ulaanbaatar’s nightlife remains significantly cheaper than that of Western metropolises, but the accumulation of cocktails (nearly 30,000 MNT each in some clubs) can quickly weigh on the budget.
Everyday products
Some reference prices (in MNT):
| Product / service | Average price (MNT) |
|---|---|
| Detergent (3 L) | ~26,500 MNT |
| Four rolls of toilet paper | ~8,980 MNT |
| Toothpaste | ~6,400 MNT |
| Roll-on deodorant | ~16,250 MNT |
| 2-in-1 shampoo (400 ml) | ~13,100 MNT |
| Housekeeper (1 hr) | ~23,000 MNT |
| iPad Wi-Fi 128 GB | ~4 M MNT |
| 40-inch flat-screen TV | ~1.14 M MNT |
These prices are often lower than those in Western Europe, but some international brand-name products are aligned with global prices.
Even though the tax question goes beyond simple “cost of living”, it directly impacts the net budget of expats who work locally.
Income tax
The Mongolian tax system applies:
– for tax residents: a progressive scale on employment income
– up to 120 M MNT/year: 10%
– 120–180 M MNT: 12 M MNT + 15% of the portion above
– above 180 M MNT: 21 M MNT + 20% of the excess portion
– for non-residents: a flat rate of 20% on Mongolian-source income.
Tax credits exist, for example: the energy transition tax credit (ETTC) for renovation work, or the research tax credit (RTC) for innovative companies. These schemes directly reduce the amount of tax due.
– a standard degressive deduction on salary up to 36 M MNT/year,
– a credit up to 6 M MNT for the purchase or construction of a first residence in Mongolia,
– regional discounts (50% tax credit beyond 500 km from Ulaanbaatar, 90% beyond 1,000 km).
Social contributions
Every employee (Mongolian or foreigner under local contract) contributes to social security:
| Employee contributions | Total rate | Monthly cap (MNT) |
|---|---|---|
| Pension, health, unemployment, benefits | ~11.5% | 910,800 MNT |
The employer pays in parallel: the compensatory allowance for paid leave.
| Employer contributions | Approximate total rate |
|---|---|
| Pension, health, unemployment, accidents | 12.5–14.5% |
For an expat under a Mongolian contract, these contributions reduce the net available, but grant basic rights to the public system.
International comparison: Ulaanbaatar vs major world cities
Direct comparisons highlight the country’s attractiveness for budgets from elsewhere.
Rents in Ulaanbaatar are on average 63.4% lower than those in Austin, Texas.
Compared to the United States for example:
– grocery basket: about 34% cheaper,
– housing costs (rent): often more than 50% cheaper,
– internet, mobile, utilities: between 70% and 80% cheaper.
Concretely, an expat replacing a life in Austin, Auckland, or Helsinki with a post in Ulaanbaatar, paid in hard currency, gains enormously in purchasing power… provided they do not reinvest all that gain into very expensive international schooling or an ultra-luxurious lifestyle.
Budget scenarios: from solo nomad to family with children
Finally, we can summarize several typical profiles.
Digital nomad / solo
– “Improved local” budget: about 870–1,000 USD / month (1-bedroom outside center, groceries, modest restaurants, public transport, some leisure).
– More comfortable budget (city center, regular restaurants, frequent outings): 1,200–1,500 USD / month.
With an online income of 2,000–2,500 USD, the standard of living is already very comfortable.
Couple without children
– Living in a 1-2 room outside center, cooking often and going out moderately, the couple can live on between 1,300 and 1,800 USD / month, depending on comfort level.
– In a recent 2-3 room in the city center and multiplying restaurants and leisure, you get closer to 2,000–2,500 USD / month.
Family of 4 with local or “average” international schooling
– Without a high-end international school, but choosing a more affordable private structure or hybrid programs, the base budget (3-bedroom outside center, food, transport, basic private healthcare, leisure) runs around 2,000–2,500 USD / month.
– Adding a mid-range international school (American School, ESM) for two children: you can easily go up to 3,500–4,500 USD / month, including tuition.
Family of 4 in high-end international school
– Comfortable rent (modern 3-bedroom city center): 900–1,200 USD
– Food: ~800–900 USD
– Transport, leisure, utilities, routine healthcare: 500–800 USD
– Premium international schools (ISU or equivalent) for 2 children: 40,000–60,000 USD / year, or 3,300–5,000 USD / month.
In the high-end scenario, a family can exceed 7,000 USD in monthly expenses in Mongolia.
In summary: a “low” cost of living that can quickly become high
For a solo expat or a couple without children, Mongolia, and specifically Ulaanbaatar, offers a very interesting compromise: moderate rents, affordable food, cheap transport, and a living environment mixing modernity and nomadic culture.
Key takeaways:
Daily cost of living (housing, transport, groceries) is significantly lower than in the West. However, local salaries are low, and quality services (private healthcare, international education) represent a significant cost. An expat’s budget can vary considerably depending on lifestyle. A controlled budget is about 1,000–1,500 USD/month for a single person, and 2,000–2,500 USD/month for a couple or small family without a high-end international school. Including international schooling and comprehensive health insurance for a family can make the total cost rival that of reputedly more expensive destinations.
Preparing an expatriation project to Mongolia therefore involves less asking “is it a cheap country?” than precisely defining your lifestyle, type of housing, needs in healthcare and education, and then building a realistic budget based on these parameters. With these elements well calibrated, Mongolia can offer interesting purchasing power and a unique living experience, without financial surprises.
Disclaimer: The information provided on this website is for informational purposes only and does not constitute financial, legal, or professional advice. We encourage you to consult qualified experts before making any investment, real estate, or expatriation decisions. Although we strive to maintain up-to-date and accurate information, we do not guarantee the completeness, accuracy, or timeliness of the proposed content. As investment and expatriation involve risks, we disclaim any liability for potential losses or damages arising from the use of this site. Your use of this site confirms your acceptance of these terms and your understanding of the associated risks.
Cyril Jarnias is an independent expert in international wealth management with over 20 years of experience. As an expatriate himself, he is dedicated to helping individuals and business leaders build, protect, and pass on their wealth with complete peace of mind.
On his website, cyriljarnias.com, he shares his expertise on international real estate, offshore company formation, and expatriation.
Thanks to his expertise, he offers sound advice to optimize his clients' wealth management. Cyril Jarnias is also recognized for his appearances in many prestigious media outlets such as BFM Business, les Français de l’étranger, Le Figaro, Les Echos, and Mieux vivre votre argent, where he shares his knowledge and know-how in wealth management.
