Cost of Living in South Korea

There’s no denying that the cost of living in South Korea is high. The capital, Seoul, is often considered one of the priciest cities in the world to live in, with housing and daily expenses significantly higher compared to other parts of the country.

That said, South Korea offers competitive salaries and a world-class quality of life. Employment contracts for English teachers, for example, typically include benefits such as accommodation and schooling. Other professionals may receive housing allowances, which can significantly reduce their costs. Thanks to these perks, many find the cost of living in South Korea manageable.

There are several ways to keep expenses down. Public transport is affordable, and Korean food is cheaper than Western alternatives. Shopping at markets and smaller shops is often more cost effective than purchasing goods from tourist areas or major department stores.

It is also worth noting that prices vary between cities and smaller towns. The cost of living in Seoul is higher than in other South Korean cities, with more affordable options available in regional areas.

Cost of accommodation in South Korea

Accommodation for English teachers in South Korea is typically organised and paid for by the employer. Other professionals may receive housing allowances and arrange their own accommodation. Accommodation in large cities such as Seoul or Busan will be pricier.

If you organise your own accommodation, you may encounter jeonse (key money), where instead of rent, you pay a substantial deposit – sometimes up to 80 percent of the property’s value – from which the landlord earns interest. This deposit is returned at the end of the lease.

The rental market is gradually moving away from this system, though, and most landlords now ask for monthly rent plus a deposit. While deposits are still pricey on an international scale, they're far smaller than the deposit in a jeonse agreement.

Basic utilities, including gas, electricity, and uncapped WiFi, are usually paid on top of rent. They tend to be affordable.

Renting Expat Accommodation in South Korea

Cost of transport in South Korea

South Korea boasts an advanced and extensive public transport system, making getting around the country a breeze. Major Korean cities like Seoul and Busan have integrated public transit systems that allow passengers to save money by purchasing rechargeable smart cards, such as the T-money card, to use on the subway, buses, and even some taxis.

You're not likely need a car in South Korea, and if you do opt to drive, you'll have to contend with regular traffic jams, particularly in larger cities. Other costs include car maintenance, petrol, and parking fees.

Transport and Driving in South Korea

Cost of groceries and goods in South Korea

Foodstuffs that are mostly taken for granted in Western countries, such as fresh produce and cheese, will generally cost significantly more in South Korea than you would have paid back home. South Korea has the second-highest food prices in the OECD after Switzerland. Most Korean shops also sell products in bulk, making groceries quite heavy on the wallet for a single person.

Dining out can be affordable when sticking to Korean food, particularly at local restaurants and street food vendors. This often makes eating out a better option than buying groceries, especially for single people. Naturally, dining out at Western restaurants comes with a higher price tag.

Electrical goods such as televisions, digital cameras, mobile phones, computers, and high-tech gadgets are competitively priced in South Korea, particularly those manufactured domestically. Conversely, foreign-made goods, which include everything from toiletries and English-language books to foreign cosmetics and Apple products, are more costly than locally made items.

Cost of entertainment and eating out in South Korea

Eating out in South Korea can range from quite affordable at local establishments to expensive at upscale restaurants. The quality of food is largely high, and there’s a strong focus on fresh ingredients and traditional dishes. Compared to many Western countries, dining out in South Korea is generally cheaper.

Entertainment in South Korea can be priced similarly to or cheaper than in your home country, depending on the specific activity and location. Some popular forms of entertainment are affordable or free, including visiting cultural sites, watching traditional performances, and attending local festivals. Other activities, such as going to clubs, seeing a film, or visiting amusement parks, may be more expensive.

Lifestyle in Seoul
Lifestyle in Busan

Cost of education in South Korea

Education in South Korea is expensive, particularly at international or private schools. Public schools cost little to attend but offer instruction in Korean. Many expats choose international schools because they offer a familiar language of instruction and a globally recognised curriculum. Private bilingual schools are also an option. They offer instruction in both Korean and English and tend to be cheaper than schools that teach a foreign curriculum.

Education and Schools in South Korea

Cost of healthcare in South Korea

Healthcare in South Korea is much more affordable than in Western countries such as the US. The National Health Insurance programme is compulsory for foreigners who stay in South Korea for more than six months. For employees, companies typically pay half the monthly premium, with the other half deducted from the employee's salary.

South Korea has become a medical tourism destination due to the affordability of healthcare. This is especially true for cosmetic procedures and LASIK eye surgery, which many take advantage of.

Healthcare and Health Insurance in South Korea