Cost of Living Calculator
Knowing your cost of living is the foundation of a budget. Enter your main monthly costs to see exactly what life costs you each month and each year.
The categories cover the big five — housing, bills, food, transport and everything else.
How the calculation works
We believe numbers should be transparent. Here is the formula behind this calculator.
Worked example
Worked example: a typical single household
Important assumptions
- Costs are monthly totals you enter yourself — the accuracy depends on the figures you use.
- Housing should include rent or mortgage, but not home contents insurance if you put that in "other".
- One-off purchases (holidays, gifts) are not included — add an average monthly amount to "other" if you want them in.
Rates & official sources
Every calculation is based on the official rates and rules published by GOV.UK and HMRC.
Frequently asked questions
What is the average cost of living in the UK?
For a single person renting, £1,500–£2,000 a month is typical, with housing the biggest single item. London is significantly higher. Use this calculator with your own figures for a personal answer.
What should my cost of living be compared to my income?
A common rule is the 50/30/20 split: 50% of take-home pay on needs, 30% on wants and 20% on savings or debt repayment. If your essentials exceed 50%, review the categories.
How can I reduce my cost of living?
Start with the biggest line items: renegotiate or switch energy and broadband, shop around for insurance, and plan food shops to cut waste. Small savings across categories add up fast.
Related calculators
Budget Calculator
A simple 50/30/20 budget: needs, wants and savings from your take-home pay.
View calculatorEmergency Fund Calculator
See how much you need for an emergency fund and how long it will take to build it.
View calculatorInflation Calculator
See how much a price rises with inflation and what your money will be worth in real terms.
View calculatorRelated guides
New to the topic? Read a plain-English guide on cost of living, with worked examples and tips.
These calculations are estimates for guidance only and are not professional financial, tax or legal advice. UK rates and rules change, so always verify important figures with official GOV.UK / HMRC information or speak to a qualified professional. See our full disclaimer.