CostLens
Home › Iceland

Cost of Living in Iceland

12 cities covered · Currency: ISK (kr) · Capital: Reykjavík

Single person, monthlykr175,018 ($1,268)
Couple, monthlykr317,351 ($2,300)
Family of four, monthlykr416,879 ($3,021)
Average net salarykr526,608 ($3,816)

Average Prices in Iceland

ExpenseEstimated costBasis
Meal at an inexpensive restaurantkr1,646 ($11.93)per meal
Three-course meal for two, mid-rangekr6,583 ($47.70)per meal
Cappuccinokr494 ($3.58)each
Monthly groceries (single person)kr37,301 ($270)per month
Monthly public transport passkr6,034 ($43.73)per month
Basic utilities for an 85m² apartmentkr15,908 ($115)per month
Internet (60 Mbps, unlimited)kr4,608 ($33.39)per month
Fitness club membershipkr4,608 ($33.39)per month
Cinema ticketkr1,207 ($8.75)each
One-bedroom apartment in city centrekr93,880 ($680)per month
One-bedroom apartment outside centrekr65,308 ($473)per month
Three-bedroom apartment in city centrekr195,923 ($1,420)per month

Major Cities in Iceland

Reykjavík

Reykjavík · pop. 138,772

Kópavogur

Kópavogur · pop. 40,040

Hafnarfjörður

Hafnarfjörður · pop. 31,525

Keflavík

Reykjanesbær · pop. 23,329

Garðabær

Garðabær · pop. 20,116

Akureyri

Akureyri · pop. 20,050

Selfoss

Sveitarfélagið Árborg · pop. 9,812

Ísafjörður

Ísafjarðarbær · pop. 2,620

Sauðárkrókur

Skagafjörður · pop. 2,574

Egilsstaðir

Múlaþing · pop. 2,572

Höfn

Sveitarfélagið Hornafjörður · pop. 2,389

Borgarnes

Borgarbyggð · pop. 2,181

Cheapest Cities in Iceland

KópavogurHafnarfjörðurKeflavíkGarðabærAkureyriSelfossÍsafjörðurSauðárkrókurEgilsstaðirHöfnFull ranking →

City Comparisons in Iceland

Reykjavík vs Kópavogur

Side-by-side cost of living comparison in Iceland

Reykjavík vs Hafnarfjörður

Side-by-side cost of living comparison in Iceland

Kópavogur vs Keflavík

Side-by-side cost of living comparison in Iceland

Hafnarfjörður vs Keflavík

Side-by-side cost of living comparison in Iceland

Cost of Living by City Size in Iceland

Living costs in Iceland vary significantly depending on city size. Large metropolitan areas with populations over one million typically see housing costs 15–30% above the national average, while smaller towns can be 10–20% below it. The national baseline of kr175,018 ($1,268) per month represents a mid-sized city estimate.

Capital cities and major economic hubs command the highest rents and overall expenses. For budget-conscious residents, mid-sized cities offer a balance of amenities and affordability. Rural and small-town living remains the most economical option, though transport and service access may be limited.

Frequently Asked Questions

What is the average cost of living in Iceland?
The estimated average monthly cost for a single person in Iceland is kr175,018 ($1,268), including rent outside the city centre. A family of four needs roughly kr416,879 ($3,021) per month.
Which city has the lowest cost of living in Iceland?
Kópavogur ranks among the most affordable cities in Iceland with a low cost-of-living multiplier.
What is the average salary in Iceland?
The estimated average net salary in Iceland is kr526,608 ($3,816) per month. Actual salaries vary significantly by profession, experience and city.
All figures are planning estimates for Iceland derived from national baselines. Individual city pages adjust these figures for city size. Methodology.