My Real-World Cost of Living in the Philippines (2025): A Long-Term Expat Perspective

The Philippines is my home. I live in Panglao, Bohol, and over the time I’ve spent here as a retired expat I’ve seen things change dramatically—from more restaurants and shops opening to services that simply didn’t exist a few years ago. With that growth has come a steady rise in costs. Rent, utilities, and even basic groceries have all crept upward as the island develops and demand increases. This isn’t just happening in Panglao—it’s a pattern you’ll see all across the Philippines as towns and cities grow, develop, and modernize.

---

The Philippines has not lost its appeal as a place to retire or settle long term. Even with prices rising, the overall cost of living remains far lower than in most Western countries. What’s important is having a realistic view of life here now. That’s why I’m sharing my own expenses from 2024 and 2025—to give you a clear picture of what it really costs to live well and comfortably in the Philippines today.

---

Fact or Fiction: Can You Live in the Philippines on $1,000?

If you’ve ever wondered whether it’s really possible to live in the Philippines on just $1,000 a month, take a look at my cost of living companion guide. It shows what’s actually achievable on a tight budget in 2025.

---

Monthly Newsletter

Our monthly newsletter is the easiest way to stay in touch with what’s happening here. Each edition brings regional highlights, seasonal weather notes, and updates on new articles — whether that’s diving, travel, or everyday life in the Philippines. For those considering a move, I also share practical resources such as cost-of-living spreadsheets designed to make planning your future here simpler and more realistic.

Basis for My Costing

We all carry certain expectations when we picture life in the Philippines—what kind of home we’ll live in, how we’ll get around, and the lifestyle we hope to enjoy. To put my own expenses in context, I’ve set out the assumptions that shape this budget. They reflect life in the provinces under the SRRV, with a moderate and realistic lifestyle. Think of this as the baseline: it keeps the numbers consistent, and gives you a framework to compare against your own plans and priorities.

Startup & Relocation Costs for Moving to the Philippines Long-Term

Startup costs are one of the most overlooked parts of planning a move to the Philippines. Whether you’re retiring or settling in for an extended stay, it’s essential to factor in the upfront expenses that come with relocation. Visa fees, document processing, and temporary accommodation while searching for a permanent home can all add up quickly. In this section, I’ll walk through the main costs you’re likely to face early on, so you can plan realistically and avoid unexpected surprises.

Startup & Relocation Costs (Breakdown)

The table below outlines the key expenses you should expect when first relocating to the Philippines, from visa processing and deposits to housing and transport.

Start-Up Costs: Key Points (August 2025)

While day-to-day life in the Philippines can be highly affordable, the initial move involves several significant one-time expenses. Visa applications, health coverage, short-term housing, and transport all add up, forming the foundation of your relocation budget. By planning for these costs in advance, you’ll give yourself a smoother transition and reduce the risk of unexpected financial setbacks.

Estimated Start-Up Costs:

$25,576 – United States Dollar (PHP 56 = USD 1)

$41,384 – Australian Dollar (PHP 34.6 = AUD 1)

£19,616 – Pound Sterling (PHP 73 = GBP 1)

€25,122 – Euro (PHP 57 = EUR 1)

Note - The above estimated start-up costs include the SRRVisa deposite of USD15,000, which is refunded when the visa is surrendered. If you decide to take another visa route these total fugures should be adjusted accordingly

Real World Cost of Living (2025)

This section is based on my actual monthly expenses in the Philippines for 2025. It covers the full scope of day-to-day life—rent, groceries, utilities, healthcare, transport, plus activities, short breaks, and other living costs. These are my real outgoings, shaped by my lifestyle and choices, but they still give a clear picture of what long-term living here can look like in practice.

---

SRRVisa – Annual Fee

Holding an SRRV comes with a yearly cost of US$360, payable to the Philippine Retirement Authority. This is a straightforward annual fee to keep the visa active.

---

Accommodation

Alongside groceries, accommodation is usually the biggest part of any budget. To get long-term living right in the Philippines, having the right home is essential. You need to be able to cook, wash clothes, have reliable utilities, and—most importantly—feel comfortable in your space. A place that meets these needs will not only keep daily life manageable but also make the transition into local life far more enjoyable. Housing may be one of your larger expenses, but it’s worth prioritizing, because the comfort of your home often determines whether a long-term stay feels sustainable or becomes a struggle.

My Housing Costs in 2025

The table below shows my real monthly housing expenses in the Philippines for 2025. It includes rent, utilities, and essential household services—an on-the-ground view of what long-term living can look like in practice. While costs vary by location and lifestyle, these figures reflect an actual monthly budget.

---

Groceries & Dining Out

I am always amazed at how much I spend on groceries, but the truth is my choice of food drives up the cost. Items like cheese, butter, European breads, and decent cuts of meat are all more expensive here because most of them are imported. And if you add in some comfort foods—like snacks, sauces and the occasional bottle of wine—your costs will quickly rise.

Dining out in the Philippines is generally inexpensive compared to Western countries. A typical bar meal costs around ₱300–₱600, a takeaway such as a pizza is usually ₱300–₱600, and a sit-down dinner for two in a higher-end restaurant typically ranges from ₱1,200 to ₱1,800. With prices like these, it’s easy to eat out regularly without straining your budget, though the total still depends on how often you go.

---

Transportation

A motorbike is my main way of getting around, and it’s one of the most affordable options in provincial areas and smaller cities. It keeps day-to-day travel flexible and inexpensive, with only modest fuel and maintenance costs. I also use jeepneys, tricycles, or ride-hailing apps from time to time, which adds a bit more to the monthly budget. The table below shows my typical monthly spending based on this mix.

---

Leisure & Lifestyle

Leisure and lifestyle costs are an important part of my monthly budget, because enjoying life here is about more than just covering the basics. Diving is my main recreation, and I set aside a regular amount for it since I go out almost every week. I also budget for occasional regional trips within the Philippines, which are a great way to explore new places and break up the routine. On top of that, I keep a small allowance for streaming services and a mobile phone plan. These expenses aren’t essential in the strictest sense, but they’re what make day-to-day life here enjoyable and sustainable over the long term.

---

In-Pocket Expenses

Not every expense fits neatly into rent, utilities, or set monthly bills. A big part of day-to-day life in the Philippines comes down to smaller, flexible spending—cash in your pocket or quick GCash transfers. These cover things like snacks, market produce, street food, and casual meals out, as well as small household items picked up along the way. Because these purchases are frequent and often unplanned, they don’t always show up in formal budgeting, yet over the course of a month they add up to a significant part of my living costs. This section reflects what I actually keep on hand for those everyday spends.

---

My Costs: Final Thoughts (2025)

Looking across all categories—housing, food, transport, lifestyle, and those everyday pocket expenses—my average cost of living in Panglao comes to about ₱124,500 per month, or roughly ₱1.5 million per year. Converted, that’s around USD $26,670 annually at current exchange rates. Month to month the actual spend shifts, but this figure gives a realistic yearly average.

These are the costs it takes me to live a reasonable, comfortable life in the Philippines—not scraping by, and not chasing luxury either. Some expats spend less, some spend more, but this is my reality in 2025. If you’re planning a move, it should give you a clear picture of what day-to-day life might really cost.

---

Total Monthly & Yearly Costs (2025) – Currency Conversion

Frequently Asked Questions – Cost of Living in the Philippines

How much do I really need per month to retire in the Philippines in 2025?

Based on my own budget as a retiree, a monthly spend of around ₱125,000 (roughly $2,178 USD) covers a comfortable lifestyle in a provincial area. That includes rent, utilities, food, hobbies, and basic healthcare. You can live for less, but this figure offers a grounded and realistic baseline for long-term planning.

What are the real startup costs for retiring or relocating to the Philippines?

My actual relocation costs totaled about ₱1.4 million (around $25,500 USD). This includes the SRRV visa fees, refundable pension deposit ($15,000 as from Sept 2025), airfare, 30 days of temporary housing, a motorbike, health insurance, and basic furnishings. Being prepared for these one-time costs will help you avoid financial pressure during your move.

Why are provincial areas like Bohol and Dumaguete more affordable than Manila?

Living in places like Bohol or Dumaguete is noticeably cheaper than Manila or Cebu. Rent is lower, food is more affordable, and utilities tend to cost less. For many retirees, these locations strike a better balance between cost and quality of life—offering comfort, convenience, and community without big-city prices.

What kind of lifestyle can ₱125,000 a month support in the Philippines?

With that budget, I maintain a 3-bedroom rental, eat out regularly, dive weekly, and still cover health insurance and short local getaways. It’s not luxury, but it’s stress-free and comfortable—ideal for retirees who want independence and leisure without overspending.

How much cash should I carry for monthly expenses in the Philippines?

I typically spend ₱20,000 to ₱25,000 per month in cash or GCash for small daily purchases—like market items, snacks, local food, and street vendors. Many small businesses don’t accept cards, so having accessible funds for in-pocket expenses is essential to everyday life here.

Exploring the next steps — Whether you're still shaping your future plans or already considering a life change, the Philippines is a rewarding place to live. Beyond the Living in the Philippines Hub, we also explore Filipino Society—a great way to get to know the people and culture. And if you're a scuba diver, or have ever considered diving, the reefs here are among the best in the world.