Life in Europe: A More Affordable Alternative to Living in the United States

While in the past, people marveled at how cheap goods and services were in the United States compared to the UK and other parts of Europe, the dynamic has changed significantly. These days, only a few countries like Monaco, Switzerland, and Luxembourg are pricier than the U.S. Even major European cities like London have become more expensive, with some places in the U.S. now offering better value for money.

According to data from Numbeo, it appears that London is more expensive than places like Hawaii and Los Angeles. However, in practical terms, London is still considerably cheaper than many large American cities. The top-end luxury in the U.S. may remain the same or even exceed European prices, but for everyday living, the situation is different.

I currently reside in Latvia during the warmer months and in the picturesque regions of Umbria and Tuscany, Italy, during the colder seasons. My cost of living in these European locales is far lower than it was in the U.S. Periodically, I assess what it would cost me to live in the U.S. now, and I realize that maintaining a comfortable standard of living would be virtually impossible without a substantial income increase.

The cost difference for housing, food, taxes, and other essential expenses is quite significant. My monthly expenses for an apartment or house in Latvia or Italy are considerably less than what it would cost in the U.S., even in rural or suburban areas. Additionally, food is generally cheaper in Europe. Taxes are lower, and fuel is slightly more expensive but does not limit my freedom to travel. Healthcare costs are far lower, and there is no additional cost for health insurance.

Comparison of Expenses

Apartments/Houses: In Latvia or Italy, one can afford a similar home to what you may find in a rural or suburban area of the U.S. at a fraction of the cost. Food: Even in Italy, food is cheaper compared to the U.S. When I speak to friends in the U.S. about their pet vet bills, the costs are significantly higher in the U.S. compared to where I live. Clothing and Electronics: Clothing is usually cheaper in the U.S. for most items. Electronics are typically more affordable in the U.S. Utility costs are about the same, but car insurance is far cheaper in Europe. Car Insurance and Health Care: In Europe, there is no health insurance cost, and car insurance is far less expensive, allowing for a more flexible and affordable lifestyle.

Another aspect I have noticed is the different economic mindset in the countries I live in or visit. These economies are not focused on excessive consumption. The concept of 'keeping up with the Joneses' or pushing people to buy and use credit is less prevalent. I no longer have a credit card, and there is minimal advertising for unnecessary products.

For example, in Italy, I live in a comfortable 3-bedroom, 4-bathroom home built at least 200 years ago, with one wall built in the 11th century. My house is on the edge of a medieval village. In Latvia, I inhabit a small, renovated apartment in the suburbs of Riga. This lifestyle would require at least $100,000 per year in the U.S.

Visuals of My Home and Area

Below are some pictures of my current town and surrounding area:

View out my kitchen window: View of my town: Sunrise from my terrace: Town across the valley from me and my view from the terrace: My home in winter after a snowfall: Down the street from me after a rare snowfall. Picture from my terrace:

In conclusion, for those seeking a more affordable lifestyle, living in Europe presents a compelling alternative to the high costs in the United States. The balance of expenses, combined with a more moderate consumption mindset, offers a higher quality of life at a lower financial burden.