Cost of Living in Italy vs the United States (2025 Comparison)

Quick Summary

Key finding: Overall cost of living including rent in Italy is about 25–26% lower than in the United States (according to Numbeo, mid‑2025).

Rule of thumb: A couple can live comfortably in a mid-sized Italian city on about $2,600 to $3,200 per month depending on rent, utilities, transport, groceries, and optional private health insurance. Conversions use €1 ≈ $1.156 as of Nov 7, 2025 (ECB reference rate).

Cost Comparison Table

All figures in USD. Euro prices converted at €1 = $1.156 on Nov 7, 2025.

Category	Italy (typical)	United States (typical)
Rent, 1BR city center	Italy avg €724 → $837	Big-city range often $2,500–$4,100
Rent, 1BR outside center	Italy avg €562 → $650	National city-center avg around $1,700+; outside centers vary
Groceries	Generally lower basket than U.S.	Higher national basket on average
Dining out	Lower average restaurant prices	Higher average restaurant prices
Public transport pass	Rome monthly pass €35 → ~$40	Major metros ~$85–$133
Utilities, apt ~85 m²	Typical combined €120–€200 → ~$139–$231	Many cities ~ $200 or more
Home internet	Typical fiber €24.90 → ~$29	$55–$105
Healthcare	Private insurance ~€1,300–€2,500/yr per adult → ~$125–$240/mo; GP €50–€100 → ~$58–$116/visit	Employer family premium near $27,000/yr; individual plans often ~$500+/mo
Alcohol	Generally cheaper	Higher average

Deep Dive by Category

Housing

Buying and renting: Italy country averages show a 1BR city-center rent around €724 per month and €562 outside the center. Converting at €1 = $1.156 gives about $837 and $650 respectively. U.S. big cities routinely exceed $2,500 for a 1BR city center, with New York over $4,000.

Context: Milan and Rome sit at the top end for rents in Italy. Smaller and mid-sized cities (e.g., Bologna, Turin, Bari) and towns are markedly cheaper, especially outside historic centers.

Groceries & Food

Numbeo indicates the U.S. grocery and restaurant baskets are higher than Italy on average. Everyday staples such as bread, eggs, chicken, and fresh produce typically cost less in Italy compared with many U.S. cities.

Dining out & alcohol: Restaurant pricing is generally more moderate in Italy, which helps dining budgets stretch further.

Transportation

Public transport: Rome’s monthly pass is listed at about €35 (~$40). U.S. monthly passes range roughly $85–$133 in large metros.

Car costs: Gasoline and insurance vary widely by region. In Italy’s big cities, transit reduces the need for a car; in smaller towns a car may still be practical.

Utilities & Internet

Utilities: Typical combined household utilities for an apartment can range roughly €120–€200 monthly depending on season and usage, with electricity among the highest-priced in the Europe.

Internet: Consumer fiber offers commonly start near €24.90 per month (~$29). U.S. home internet plans are often $55–$105.

Healthcare

Italy: Residents access the public SSN system with low or no co-pays for many services. Many expats add private insurance primarily to shorten wait times. Private insurance commonly runs about €1,300–€2,500 per adult per year (~$125–$240/month).

Out-of-pocket visits in the private sector are often €50–€100 for a GP and €80–€150 for specialists, with regional variation.

United States: Employer family premiums average close to $27,000/year in 2025, with worker contributions near $6,800 on average; individual-market premiums often exceed $500 per month.

Education

Italy: Public schools are free. International schools charge tuition that varies by city and curriculum; families should request local quotes.

United States: Public schools are tax-funded. Private and international schools can be significant expenses.

Taxes & Mandatory Payments

Italy VAT (IVA) standard rate is 22%, with reduced rates of 10% and 5%, and a super-reduced rate of 4% for specific goods. U.S. sales tax varies by state and locality, with combined rates from 0% in some states to 10%+ in others.

Leisure & Lifestyle

Gym memberships and cinema tickets are generally below major U.S. city levels. Walkable historic centers and frequent public events add value without high cost.

Regional / City Variation

In Italy, Milan and Rome are the priciest. Cities such as Bologna, Turin, Bari, and many mid-sized towns are cheaper, especially outside historic cores. In the U.S., New York, San Francisco, Boston, and Los Angeles are among the most expensive, with mid-tier metros costing less.

What Budget Looks Like / Living Comfortably Estimate

Italy, mid-sized city, couple:

• Rent 1BR outside center $650–$950 (regional spread)

• Utilities $140–$230 (seasonal)

• Internet $29–$40

• Transport (2 passes) $70–$80

• Groceries and dining modestly $550–$750

• Private insurance (2 adults, optional) $250–$480

Total: roughly $2,600–$3,200 per month.

United States, comparable lifestyle: Many metros require $4,500–$6,500 per month for a similar standard once rent, transport, and insurance are included, with wide city variation.

Meaning: Italy offers sizable savings on housing, dining, transit, and routine healthcare. Savings potential rises outside Milan and Rome.

Pros & Cons / What to Consider

Pros of Italy: Lower day-to-day costs than many U.S. metros, strong public healthcare, extensive rail and urban transit, rich culture and food, large expat hubs.

Cons: Salaries are lower on average, Italian language is challenging to learn for English-speakers, regional bureaucracy, and high electricity prices can affect bills.

Key Takeaways

Italy’s overall cost of living including rent is about one-quarter lower than the U.S. in 2025. Biggest gaps are rent, groceries/dining, transit, and routine healthcare.

A couple can live comfortably in a mid-sized Italian city on $2,600–$3,200 per month. Do deeper research for your target city, salary, visa, and school needs.

FAQs

Can you live in Italy on $2,800 per month as a couple? Yes in many mid-sized cities if rent is outside the center and lifestyle is moderate.

Is healthcare free in Italy? Public SSN covers residents with low or no co-pays for many services. Many expats add private insurance to reduce wait times.

How much is rent in Milan vs smaller cities? Milan 1BR city center is among Italy’s highest. Country averages are much lower; mid-sized cities are cheaper, especially outside center.

Conclusion

Use this 2025 snapshot as a starting point. Prices vary by neighborhood, lifestyle, and visa needs. Convert local quotes to USD at the current rate and compare total monthly budgets, not single items. Plan a scouting trip and confirm housing, transport, and healthcare on the ground.