Cost of living in Malaysia: Your guide

Malaysia’s low cost of living and high quality of life means that many expats choose to relocate here. The Malaysian government has encouraged foreigners to retire in Malaysia, as a fixed income can go a long way here. The capital Kuala Lumpur also pulls in huge numbers of working expats looking for an adventure. In fact, you’ll find expat communities of retirees, digital nomads and people employed locally, in all of the larger cities.

If you’re retiring, temporarily relocating or moving to Malaysia for good, it’s helpful to have a picture of what life there will cost as an expat. Here’s a quick guide.

How expensive is Malaysia in comparison to the UK, the EU, the USA and Australia?

The official currency in Malaysia is the Malaysian Ringgit (MYR on currency exchanges).

You can find out the exact value of your money in MYR, using an online currency converter - but here’s a rough guide:

• 1000 USD = 4,290 MYR
• 1000 GBP = 5,469 MYR
• 1000 EUR = 4,832 MYR
• 1000 AUD = 3,262 MYR

One major factor that adds expense for expats in Malaysia, is the cost of converting cash to MYR from your home currency. Even if your bank says it offers fee-free money exchange, you can be sure that its cut is rolled up in the exchange rate it uses. To get the best deal, you should use an exchange service like Wise, which applies the same mid market rate you’ll find on Google or Reuters. With a quick service, and low flat fees to transfer your cash, this can be a much better deal than relying on your home bank.

What are the general living expenses for Malaysia? How much can you get by on?

Although the day to day costs of living in the capital city, Kuala Lumpur, are similar to other cities in Malaysia, rents are much higher here. You can live well for much less if you choose a home outside of the city centre, or in another city entirely.

What are the average salaries for Malaysia?

Average salaries in Malaysia are fairly low, in keeping with the low cost of living.

How expensive is housing and accommodation in Malaysia?

The amount you pay in rent is a big driver of your overall cost of living. Rent in Kuala Lumpur is much higher than elsewhere in the country, so if you’re planning on staying for a long time, you might decide that buying a property in Malaysia is a better option.

What about healthcare and dental costs in Malaysia?

Healthcare in Malaysia is available at both public and private institutions. Health infrastructure, especially in the large cities, is well developed, but having private health insurance can mean you get access to services quicker than you might through the public system.

How much is travel and transportation in Malaysia?

Kuala Lumpur is a notoriously congested city, so using public transportation is a good plan. See what it’ll cost you here:

How much does education cost?

Malaysia is rated as one of the best cities in the world for students, based on the costs of living and quality of education available. There are public and private universities, including Malaysian campuses of universities based elsewhere in the world.

It’s easy to see why so many expats have chosen Malaysia as their home. Some move to frenetic Kuala Lumpur to work in one of the large international businesses there, while others opt for a calmer pace of life in stately George Town. The real adventurers get off the beaten track entirely. Whatever you fancy, the low costs mean that you can have a really great life for less money, making Malaysia a fantastic destination for a permanent move, or just to spend a year or two exploring somewhere new.

Good luck with your new life in Malaysia!