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Cost of Living in Melbourne 2026

Full breakdown of living costs in Melbourne, VIC — rent, groceries, utilities, transport, and property prices.

Quick Summary

Monthly cost (single, 1br)

$3,360

Annual cost

$40,320

Salary needed

$69,000

Cost index

89 (Syd = 100)

Full Cost Breakdown — Melbourne 2026

ExpenseWeeklyMonthlyAnnual
Rent (1br apartment)$520$2,253$27,040
Rent (2br apartment)$680$2,947$35,360
Groceries (single)$125$542$6,500
Utilities$60$260$3,120
Transport$45$195$2,340
Internet & Phone$25$110$1,320
Total (with 1br rent)$775$3,360$40,320

Salary Needed to Live Comfortably in Melbourne

Essential expenses (annual)$40,320
+ 20% discretionary buffer$8,064
After-tax income needed$48,000/year
Pre-tax salary needed (~30% tax rate)$69,000/year

Based on a single person renting a 1-bedroom apartment. Assumes ~30% effective tax rate at this income level. Use our take-home pay calculator for an exact after-tax breakdown.

Melbourne vs National Average

CategoryMelbourneNational AvgDifference
Rent (1br/week)$520$490+6.1%
Groceries/week$125$123+1.6%
Utilities/month$260$255+2.0%
Transport/month$195$182+7.1%
Petrol/litre$1.98$1.980.0%
Median house$1,050,000$880,000+19.3%

Property Prices in Melbourne 2026

Median House Price

$1,050,000

Median Unit Price

$620,000

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Frequently Asked Questions

How much does it cost to live in Melbourne in 2026?

The estimated cost of living in Melbourne for a single person renting a 1-bedroom apartment is approximately $3,360/month or $40,320/year, covering rent, groceries, utilities, transport, and internet/phone.

What salary do you need to live comfortably in Melbourne?

To live comfortably in Melbourne in 2026, you need a gross salary of approximately $69,000 per year. This covers essential expenses plus a 20% buffer for discretionary spending and accounts for income tax.

Is Melbourne expensive compared to other Australian cities?

Melbourne has a cost of living index of 89 (Sydney = 100). It is moderately priced compared to other major Australian cities.

How much is rent in Melbourne in 2026?

Average weekly rent in Melbourne is $520 for a 1-bedroom apartment and $680 for a 2-bedroom apartment (2026 estimates).

What is the median house price in Melbourne?

The median house price in Melbourne is approximately $1,050,000, while the median unit price is $620,000 (2026 estimates).

General information and estimates only — not financial, tax, or legal advice. Always verify with a licensed adviser or the ATO.