What Is the Cost of Living in Saudi Arabia?

The cost of living in Saudi Arabia presents a diverse financial landscape, heavily influenced by factors such as location, lifestyle choices, and the type of accommodation. While the absence of personal income tax offers a distinct financial advantage for individuals, certain expenditure categories, particularly for those relocating, can be substantial. The Kingdom’s ongoing economic diversification and modernization efforts continue to shape prices across various sectors. Understanding these dynamics is essential for effectively managing finances within this evolving economy.

Housing Accommodation Costs

Housing typically represents one of the most significant expenditures for residents in Saudi Arabia. Rental costs vary considerably depending on the city, the type of dwelling, and its specific location within that city. For instance, in Riyadh, a one-bedroom apartment in the city center might range from 2,500 to 5,000 Saudi Riyals (SAR) per month, while a three-bedroom apartment suitable for families could cost between 4,000 and 5,000 SAR monthly. Moving to suburban areas within Riyadh can reduce the cost of a one-bedroom apartment to approximately 1,500 to 3,000 SAR.

Jeddah and Dammam/Khobar also present varied housing prices, with a one-bedroom apartment in Dammam or Al Khobar generally falling within the 2,000 to 3,500 SAR per month range. Smaller cities across the Kingdom typically offer more affordable options, with one-bedroom apartments starting from around 800 to 3,000 SAR monthly. Villas and accommodations within residential compounds, which often provide additional amenities like gyms and pools, are generally more expensive than standard apartments.

The cost of housing is further influenced by whether the property is furnished or unfurnished, with furnished options typically commanding higher rental fees. Common payment structures for housing in Saudi Arabia often involve annual payments, which may be paid in one or two installments, requiring a significant upfront financial commitment.

Transportation Expenses

Navigating Saudi Arabia often involves private transportation due to the extensive distances and developing public transport infrastructure. The cost of owning and operating a private vehicle includes the initial purchase, fuel, insurance, and maintenance. New car prices vary significantly, with options starting around 66,900 SAR, while used cars can be acquired from as low as 10,000 SAR.

Fuel costs remain comparatively low, benefiting from government subsidies. As of August 2025, Gasoline 91 is approximately 2.18 SAR per liter, and Gasoline 95 is about 2.33 SAR per liter. Car insurance is a mandatory expense, with third-party liability coverage starting from around 650 to 800 SAR annually. Comprehensive insurance, offering broader protection, typically begins at approximately 2,500 SAR per year, with premiums influenced by factors such as the driver’s age, vehicle model, and driving history. Routine vehicle maintenance, such as a mechanic’s fix, averages around 93.83 SAR per unit.

Public transportation options are expanding, particularly in major cities. Riyadh’s metro system, along with its integrated bus network, offers various ticket options, including a 2-hour pass for 4 SAR, a 3-day pass for 20 SAR, and a 30-day pass for 140 SAR, all covering unlimited rides within their validity period. In Jeddah, local bus services are available at an affordable fare of approximately 5.00 SAR per ride.

For convenient, on-demand travel, ride-sharing services like Uber and Careem are widely used. Fares are dynamic, based on distance, time, and demand. A typical 5-10 kilometer ride in Riyadh using these services can range from 20 to 40 SAR.

Daily Living Expenses

The recurring costs associated with daily living in Saudi Arabia encompass groceries, utilities, and dining out. These expenses can vary based on individual habits and whether local or imported goods are preferred. For groceries, a single person might anticipate spending between 800 and 1,200 SAR per month, while a family of four could see monthly costs ranging from 2,500 to 3,500 SAR. Shopping at local markets for fresh produce and staples can lead to savings compared to purchasing imported items from larger supermarkets.

Specific grocery item costs provide further insight into typical expenses. A liter of milk generally costs around 6.40 SAR, a kilogram of popular yellow cheese approximately 29-30 SAR, and a kilogram of sausage or cold cuts can be around 60-67 SAR. A loaf of fresh white bread typically costs about 3.37 SAR, and a dozen eggs average 9.57 SAR.

Utility costs, while partially subsidized by the government, contribute to monthly expenses. The combined average for electricity, water, and gas for an apartment can range from 250 to 900 SAR per month. Electricity tariffs are tiered; for residential use, rates can be around 0.207 SAR per kilowatt-hour (kWh) for consumption up to 6,000 kWh, increasing to approximately 0.345 SAR per kWh for usage above this threshold. Water bills also follow a tiered structure, with lower rates for initial consumption and increasing as usage rises; a 50% surcharge applies for sewage services in areas with municipal systems.

Internet and mobile phone services are widely available with competitive pricing. High-speed home internet packages typically range from 200 to 350 SAR per month, with fiber optic plans offering various speeds. Mobile phone postpaid plans vary widely, from basic packages around 50 SAR to comprehensive plans offering unlimited data and calls for up to 499 SAR per month.

Dining out is a common activity, with costs reflecting the type of establishment. A meal at an inexpensive local restaurant might cost around 25 SAR, while a fast-food combo meal averages 30 SAR. A mid-range restaurant meal for one person typically falls within the 50-100 SAR range. More budget-friendly options, such as shawarma or falafel, are widely available for under 20 SAR.

Healthcare and Education Costs

Healthcare is a significant consideration for residents in Saudi Arabia, particularly for those who are not Saudi citizens. While public healthcare services are provided free of charge to Saudi nationals and public sector employees, foreign nationals residing in the country are mandated by the Cooperative Health Insurance Law of 1999 to have private health insurance. Employers are typically responsible for providing this coverage for their expatriate workers.

The cost of private health insurance for an individual can range from approximately 3,000 to 5,000 SAR annually for basic plans, while more comprehensive coverage may start from 7,500 SAR upwards. For a family of four, annual premiums can be around 18,637 SAR. Without insurance, medical services can be costly; a general physician consultation might range from 100 to 150 SAR, and a specialist visit typically costs between 200 and 300 SAR. Some highly specialized consultations can be as high as 400 to 800 SAR.

Education expenses, particularly for families with children, represent another substantial cost due to the prevalence of international schools catering to various curricula. Tuition fees for American curriculum international schools generally range from 30,000 to 90,000 SAR per year. Similarly, British curriculum schools have annual fees that can fall within the 20,000 to 90,000 SAR range.

International Baccalaureate (IB) curriculum schools typically have yearly fees between 15,000 and 70,000 SAR. Schools offering an Indian curriculum may have lower fees, with kindergarten starting around 8,625 SAR annually. Beyond tuition, families should anticipate additional charges such as application fees, assessment fees, and one-time capital development fees which can be as high as 11,500 SAR. Tuition payments are often structured in installments, such as three terms per academic year.

Leisure and Personal Expenses

Discretionary spending on leisure and personal care contributes to the overall cost of living. Entertainment options are expanding, with cinema tickets available for around 35 SAR. General access to events has seen fees ranging from 50 to 100 SAR.

For personal grooming, a standard men’s haircut in Jeddah can cost approximately 39 SAR, with some salons offering packages that include a haircut and beard shave starting from 40 SAR. Women’s haircuts in Jeddah average around 115 SAR. Fitness enthusiasts can expect gym memberships in Riyadh to cost approximately 439 SAR per month in business districts, though prices can vary, with some monthly options ranging from 280 to 400 SAR.