Is New York City An Expensive Place to Live? In-Depth Answer and Guide

Living in New York City is not quite like living in any other city. It may be the most populated city in the United States, but it’s also an iconic landmark known all around the world, home to one of the most amazing skylines seen since the days of the Old World. As a result of its unparalleled beauty, as well as its further fame as the home to some of the richest and most powerful people on the planet and its unique status as a world leader in fashion, finance, and more, it makes sense that people would naturally assume that New York City is an expensive place to live.

But the question is, just how expensive is it? And is there any way that it can be done affordably? The fact of the matter is that there are many varied answers to this question which depend on a multitude of factors, and in this article, we’re going to explore all of them in-depth. We’ll be looking at the costs of typical household bills, essential items and services, other expenses people tend to incur while living in New York City, comparison costs when you take into account other cities in the US and around the world, as well as ways to potentially save money while living in New York City. The aim here is to paint as accurate yet holistic picture as possible of the theoretical financial burden that living in New York City entails. So, if you’re curious about whether living in The Big Apple really is as expensive as many people claim it is and how you could achieve it on a budget – keep reading.

Household Bills in New York City

As a general rule, household bills cost more in New York City compared to other parts of the country which are less densely populated. This means that a lot of people often find themselves spending more than they planned or budgeted when they take up residence in The Big Apple. Let’s take a look at what residents should expect in terms of utilities:

Electricity

The cost of electricity in the US varies greatly depending on location – and even then there can be a lot of variation depending on time of year, time of day etc and that is before taking into account any special tariffs which could be applicable to certain situations (like if someone qualifies for Low-Income Subsidy and so forth).

In New York City specifically, electricity tends to cost more than in most other places due to consumption being higher on average as well as prices rising due to higher demand. On average electricity bills for NYC residents fall anywhere between $75 (for shared plans) and $200 (for separate plans). Of course, if consumption is significantly lower then those bills will cost even less.

Gas

Gas bills are generally slightly lower than what residents will pay for electricity. On average, people in New York City can expect to spend somewhere around $50 to $100 per month depending on their individual consumption.

Internet

Internet bills tend to cost slightly more than electricity and gas combined. The average monthly internet bill in New York City is usually somewhere between $60 and $80 per month. That being said, there are options which are both cheaper (for example shared plans which can cost as little as $30 per month) as well as more expensive (if you opt for higher speeds then those bills can be higher).

Overall, if you choose shared plans for gas, electricity and internet then you can expect to pay about $160 per month for these basic utilities depending on consumption. While this amount does vary between people and specific buildings, this is still quite a bit more than what someone living outside NYC would be expected to pay for similar utilities.

Costs For Essential Items & Services

Essential items and services can make up a good chunk of most people’s monthly expenses and so it’s important to get an accurate understanding of what they cost. Let’s take a look at some common items & services which are necessary for day-to-day living:

Food

There are two key types of food expenses which people should consider when calculating the cost of living in New York City – grocery shopping & restaurant meals out.

For grocery shopping, prices tend to be slightly (but not dramatically) higher than the national average – this means that an average person who shops consciously should expect to pay anywhere between $77 and $103 per week for groceries. Of course this amount can easily be reduced if someone is more conscious about their grocery shopping habits (like avoiding purchasing name brand products or preservative-laden items) or makes use of discount stores on a regular basis.

In terms of dining out – restaurants meals can be relatively expensive too. Cheap meals from wall grills or basic fast food restaurants will cost around $10 per meal. Higher-end places (even plain pub grub) can cost anywhere from $15 – $25 per person for a single meal depending on drinks, sides and other ingredients included in the dish.

Transport

When it comes to the subway system, there are several rate packages available – individual fares range from $2 – 4 per ride (depending on which system is being used) while weekly passes cost around $31 while monthly passes cost around $116 per month. This is one area where NYC definitely differs from other parts of the country as rides cost significantly less than what you’d expect elsewhere.

As far as buses go, there are free “express buses” available which don’t have an entrance fee, but due to traffic congestion etc often take ages to get places meaning that if you need to be somewhere quickly then this isn’t an ideal way to travel – which is why often people prefer to take cabs instead. Cab fares tend to start at around $5 and then increase with distance and time spent in transit and they generally cost far less than what you would expect elsewhere in the world and far less than what they would cost elsewhere in the States too.

Healthcare & Insurance

As with any other city in America – healthcare & insurance costs vary depending on individual circumstances such as age, wellbeing, income etc. On average, health insurance costs range from about $30 for basic plans for individuals to about $200 for high-end plans for families – these amounts don’t take into account any potential health services or treatments which someone may incur.
As far as healthcare costs go – many services are covered by insurance but generally speaking doctor visits average around $150 without insurance while specialist visits can often cost more depending on the situation.

Other Costs To Factor In

In addition to all of these expected expenses – there are lots of other factors which can contribute to how much living in New York City costs too – here are some popular examples:

Rent/Living Space

Rent can be one of the biggest contributors when it comes to monthly expenses – based on recent surveys, an average two-bedroom apartment should typically cost around $3000 per month (although this amount can vary drastically depending on location). Again this amount can vary drastically between boroughs – while it tends to be vastly cheaper in Staten Island or along outer boroughs like Queens or Brooklyn – many people opt for Manhattan which tends to be significantly pricier than anywhere else.

Television & Entertainment

Television & entertainment costs can vary widely depending on individual preferences – streaming packages like Netflix or Hulu tend to start at about $8 each per month – and if someone opts for multiple services then those costs rise accordingly. Not only that but people often need other items like urban cable subscriptions etc which could add up if not managed wisely..

Clothing

New York City is famously known for its fashion industry and so consequently clothing tends to cost more compared with other parts of the States or other countries. Of course clothing costs depend highly on individual preferences but an average cotton shirt might typically cost around $20 while high-end designer items tend to be significantly more costly.

Fitness

Gyms & fitness classes are also relatively expensive options in New York City – memberships usually range from around $50 at cheap gyms while class cards at boutique fitness studios typically start at around $100.

Comparison with Other Cities

As far as comparison costs with other cities goes – typical costs for everyday items & services tend to differ significantly largely due to location and/or availability of certain items (like different food stuffs etc).
For example – monthly rent for an introductory apartment tends to be at least double Or triple what someone would pay anywhere else in the US or elsewhereworld (except from some places like San Francisco, London etc). Groceries also tend to cost far more than anywhere else in America with basic essentials costing several times more than elsewhere – food & entertainment costs tend towards European levels too with restaurant meals often hitting those aforementioned price points rather than what has become standard across most parts of America today.
Transportation too varies greatly – bus & train rides are far cheaper than almost any other part of America yet taxi rides tend towards pricier compared with other states (especially when taking into account wait times due to traffic).