Cost Of Living For a Couple in Armenia 2024

Average monthly spending for couples in Armenia

How much money does a couple need in a month to survive in Armenia?

Couples in Armenia spend around 1.6M AMD per month on average. Depending on the lifestyle, a couple can survive with a monthly budget as low as 550,000 AMD or as high as 8.8M AMD. Location and income are very important factors and have a huge influence on expenditure and budget.

Couple expenditure to income ratio in Armenia

Analysing the how affordable it is for couples to live in Armenia

One of the most definite ways to determine how affordable a place is measuring the ratio of expenses to salary. A high expense-to-income to ratio indicates a high cost-of-living index while a low expenditure-to-salary ratio means the place is affordable to live in. Couples usually spend a larger chunk of their income than other population groups. A typical and healthy expenditure percentage for a couple of four ranges between 70% to 80%.

Couples in Armenia spend around 79% of their monthly income. Some couples spend as low as 70% of their income while some as high as 87%.

How do couples spend their money in Armenia?

We asked thousands of couples about their spending habits and expenditure break down.

Housing and accomodation expenditure for couples

Couples in Armenia typically spend from 24% to 41% of their total monthly expenditure on housing with 31% being the average. The average monthly spend on housing is 560,000 AMD with expenditure ranging from 190,000 AMD to 3M AMD. This cost mainly goes for rent but it also includes other accommodation-related expenses.

Electricity, utilities, energy, water, internet, and mobile expenditure for couples

Utility expenditure like electricity, water, and gas in Armenia ranges from 4% to 10% of total expenses with 6% being the average for most couples. The average monthly cost of utilities is 74,000 AMD with 22,000 AMD and 480,000 AMD being the upper and lower limits for a couple of four.

Transport, fuel, and commute expenditure for couples

Fuel consumption and cost of transport depend heavily on whether a couple resides near school and work, but roughly speaking a couple would expect to spend from 66,000 AMD to 1.1M AMD in a month on commuting with 200,000 AMD being the norm for most couples. This means that money spent on transport constitutes about 11% of total spending on average but can go as low as 5% or as high as 16%.

Food, groceries, and basic shopping expenditure for couples

The average outlay on groceries and basic houshold items for a typical couple in a month in Armenia is 230,000 AMD. The cost of groceries can range between 77,000 AMD to 1.2M AMD. Couples spend on average about 15% on food and groceries with upper and lower bounds of 10% and 20% respectively.

Healthcare and medical services expenditure for couples

Couples in Armenia allocate 6% to 16% of their total monthly expenditure to healthcare including health insurance and out-of-pocket medical expenses. The average spending on medical services and clinic visits is around 12%. The range of medical expenses range from 60,000 AMD to 960,000 AMD with 180,000 AMD being the norm for most couples.

Leisure and shopping expenditure for couples

This category mostly contains discretionary or non-essential expenses but also some non-discretionary spending like furniture for example. The monthly expenses range from 33,000 AMD to 530,000 AMD with 98,000 AMD being the average. Speaking of percentages, that equates to 2% to 8% of total expenses with an average of 5% for most couples.

Education and schooling expenditure for couples

Spending on education can vary drastically between different couples. On average, education constitutes 2% of the monthly expenditure of couples with 1% and 4% being the lower and upper bounds respectively. The average reported education cost is 33,000 AMD per month with 11,000 AMD being the minimum spent amount and 180,000 AMD being the maximum.

What percentage of couples in Armenia are able to save money and how much can they save?

Percentage of couples that reported their ability to save money

Almost 63% of surveyed couples in Armenia said that they can save some money at the end of each month while 37% reported that they have to utilize their whole income to survive.

How much money do couples manage to add to their savings?

Saving to Income Ratio

Average Monthly Saved Amount

Savings to income distribution levels for couples

Interpretation and Analysis

Couples that are able to save money can put anywhere from 14% to 34% of their monthly income to their savings, with 24% being the average for most couples. The average monthly amount of money that couples can put aside is 610,000 AMD with 200,000 AMD and 3.2M AMD being the minimum and maximum respectively.

Saving Challenges in Armenia

Reasons that make it difficult for couples to save money

We wanted to understand what is stopping couples from maximizing their savings in Armenia. Listed below are the answers given by the survey participants.

Around 7% of the couples said that their salary is too low to accommodate a portion for savings while 10% said that the high cost of living leaves little room for savings. 19% of the residents said that they are burdened with debt and find it challenging to save money. 10% reported that they just don't have the knowledge or discipline to create and stick to a budget, leading to overspending and an inability to save. 9% of couples blamed impulsive spending as the reason for saving inability. Around 6% said that unexpected expenses like medical bills or car repairs are derailing their savings goals. 7% bluntly said that they don't see the purpose of it and prefer to live each day to the fullest. 16% reported that they understand the value of saving but are putting off saving for the future, thinking they have plenty of time to start later. 10% blamed inflation, saying that every time they save some money they end up using it immediately. A surprising 4% said that social pressure and keeping up with peers or social expectations makes them overspend. Lastly, 3% blamed market instability and price fluctuations.

Typical saving choices for couples in Armenia

Where do people choose to put their savings?

A typical and healthy budgeting structure

The 50/30/20 rule

Spending among different people can vary significantly based on factors such as their income, lifestyle, location, and personal preferences. A commonly used guideline for budgeting is the 50/30/20 rule, which suggests allocating your income into three main categories in the following percentages.

• 50% for needs and financial obligations

  This category includes essential expenses like housing, utilities, groceries, transportation, and healthcare.

• 30% for wants and discretionary spending

  This category covers discretionary spending on non-essential items, such as dining out, entertainment, travel, and other lifestyle choices.

• 20% for savings and emergency fund

  This is the percentage that must be allocated to savings, emergency funds, and retirement accounts.

About financial planning, money management, and household budgeting

Affordable living in Armenia

Income and cost of living compatibility

We asked couples one simple question and recorded their answers.

Is it affordable or economical to live in Armenia?

Around 69% of surveyed couples think that living in Armenia is affordable with proper budgeting while 31% reported that it is just too expensive and not affordable even with frugality and thriftness.

Low-cost alternatives in Armenia

People are always looking for ways to cut down expenses and reduce expenditures. The hallmark of any affordable place is the availability of discount stores, bargain deals, smart or secondhand shopping, refurbished items, and couponing. We asked couples how easily cost-cutting is and the answers were distributed as follows:

Plenty of low-cost options60%

Few low-cost options40%

Based on the survey, 60% of the couples living in Armenia have no problem finding low-cost alternatives to support a frugal lifestyle while 40% think that thriftness is difficult due to scarcity in discount markets and secondhand outlets.

Emergency Funds For Couples

An emergency fund is a financial safety net comprised of easily accessible savings set aside to cover unexpected expenses or financial emergencies, typically amounting to three to six months' worth of living expenses. We asked couples of Armenia whether they have an emergency fund and the answers were as follows.

Yes68%

No32%

Based on the survey, 32% of the couples living in Armenia said that they don't have an emergency fund while 68% said that they do.

Financial Literacy in Armenia

Financial literacy is the knowledge of concepts and principles related to personal finance that allow individuals to make informed decisions regarding their money such as budgeting, saving, investing, borrowing, managing debt, financial risk management, and planning.

Financial Leteracy64%

We asked couple guardians and parents in Armenia whether they acquired any adequate personal financial training in their lives. Approximately 36% of the people who participated in the survey said that they are not well informed about the topics of budgeting, saving, etc., and just manage things based on their own experience, while 64% said that they know about the general principles of personal finance from sources other than their own experience.

Difficulty in Budgeting and Financial Planning

We wanted to understand whether couples of Armenia have problems or difficulties in managing their expenditures and savings so we asked people one simple question: do you struggle with your personal finances? 29% of the participants reported that they indeed struggle in creating budgets and in organizing their finances while 71% said that they have everything under control.

Struggles with finance29%

Easily manages finances71%

Financial goals of couples in Armenia

In an attempt to understand the economic situation in Armenia, we asked participants about their financial targets. By knowing what the population in general is trying to achieve, we can shed light on the economic outlook, cost of living, and quality of life in general.

Around 6% of couples said that their main goal is to establish an emergency fund to cover unexpected expenses while 30% said their number one priority is to pay off high-interest debt or loans and improve credit. 7% of surveyed people confirmed that saving for retirement to ensure a comfortable lifestyle in the final years is their main target. Around 9% reported that their priority is saving for the tuition fees and education costs of their children while 16% choose to buy a home or pay off existing mortgage before other things. 9% of the population would like to build wealth through investments such as stocks, bonds, mutual funds, or real estate. For 12% of people, saving for vacations or upgrading their lifestyle is the number one concern. Approximately 8% of the residents said that saving for healthcare expenses including insurance premiums is their main goal.

Debt, loans, and mortgages in Armenia

Percentage of couples who are in debt

According to the survey, 25% of the couples in Armenia have some kind of debt, loan, mortgage, or credit card payments while 75% reported that they don't have financial obligations to banks.

Debt-to-income ratio in Armenia

Interpretation

The debt-to-income ratio measures the percentage of income being paid as debt settlement across the population. It is calculated by dividing the monthly debt settlement payment of an individual by their monthly income. Based on collected data, approximately 28% of a couple's monthly income in Armenia goes to debt settlement.

Debt levels

Monthly debt settlement payment as percentage of monthly income

According to our data, 2% of the debtors in Armenia pay 60%+ of their income as debt settlement while 10% of the people pay 50% to 60% of their income for the same, which is quite an alarming financial situation for those individuals. 10% of people in debt dedicate 40% to 50% of their income to loan and mortgage payments while 12% dedicated 30% to 40% of income for same. Things are looking brighter for 16% of individuals as they only pay 20% to 30% of their income for loan and credit card repayment.

Distribution by type of debt in Armenia

14% of debtors in Armenia confirm that real estate mortgages constitutes the main part of their outstanding debt while 24% say that credit card payments are the reason they are in debt. Auto loans were the main type of debt for 24% of people and personal loans rose at 35%. Lastly, student loans are the main source of debt for 3% of debtors in Armenia.

Good debt vs. Bad debt

Not all debt is bad. Good debt typically refers to borrowing money for investments that can increase in value or generate income over time like purchasing a home or acquiring student loans. On the other hand, bad debt involves borrowing for things that fail to generate lasting value like high-interest credit card debt used for non-essential expenses like luxury items or vacations.

Loan Affordability Index in Armenia

Besides measuring the loan-to-income ratio, we asked couples of Armenia how many times in a year they defaulted or were unable to pay their due credit card or loan payments on time. Understanding how often people default on their due payments is one of the indicators of the cost of living and economic situation.

Frequency and percentage of people who failed to pay their monthly credit card or loan payments on time last year.

Housing costs, accommodation, and housing affordability in Armenia

Rent Cost in Armenia

Monthly Rent Prices

Studio apartment monthly rent cost

130,000 AMD

190,000 AMD

500,000 AMD

MINIMUM

AVERAGE

MAXIMUM

$310

$470

$1,200

1-bedroom apartment monthly rent cost

190,000 AMD

300,000 AMD

750,000 AMD

MINIMUM

AVERAGE

MAXIMUM

$470

$750

$1,900

2-bedroom apartment monthly rent cost

250,000 AMD

380,000 AMD

1,000,000 AMD

MINIMUM

AVERAGE

MAXIMUM

$620

$930

$2,500

3-bedroom apartment monthly rent cost

300,000 AMD

500,000 AMD

1.4M AMD

MINIMUM

AVERAGE

MAXIMUM

$750

$1,200

$3,400

Furnished apartment monthly rent cost

600,000 AMD

1.5M AMD

3M AMD

MINIMUM

AVERAGE

MAXIMUM

$1,500

$3,700

$7,500

Townhouse monthly rent cost

500,000 AMD

750,000 AMD

2.1M AMD

MINIMUM

AVERAGE

MAXIMUM

$1,200

$1,900

$5,300

House monthly rent cost

600,000 AMD

1.5M AMD

3M AMD

MINIMUM

AVERAGE

MAXIMUM

$1,500

$3,700

$7,500

Villa monthly rent cost

750,000 AMD

1.9M AMD

3M AMD

MINIMUM

AVERAGE

MAXIMUM

$1,900

$4,700

$7,500

The monthly rental cost of a studio apartment in Armenia ranges between 130,000 AMD and 500,000 AMD, meanwhile the cost of monthly rental of a one-bedroom apartment can be anywhere from 190,000 AMD to 750,000 AMD. Two-bedroom rentals rate ranges between 250,000 AMD and 1,000,000 AMD per month. The monthly rental for a three-bedroom apartment ranges from 300,000 AMD to 1.4M AMD. The average rent of a townhouse in Armenia is around 750,000 AMD while house rental costs can be as high as 1.5M AMD per month. Finally, if you want to rent a villa, expect to pay anywhere from 750,000 AMD to 3M AMD per month.

Apartment and house prices in Armenia

Cost of buying a property

Studio apartment price

25M AMD

38M AMD

75M AMD

MINIMUM

AVERAGE

MAXIMUM

$62,000

$93,000

$190,000

1-bedroom apartment price

30M AMD

50M AMD

190M AMD

MINIMUM

AVERAGE

MAXIMUM

$75,000

$120,000

$470,000

2-bedroom apartment price

50M AMD

150M AMD

300M AMD

MINIMUM

AVERAGE

MAXIMUM

$120,000

$370,000

$750,000

3-bedroom apartment price

170M AMD

250M AMD

750M AMD

MINIMUM

AVERAGE

MAXIMUM

$410,000

$620,000

$1.9M

Townhouse price

210M AMD

500M AMD

1,900M AMD

MINIMUM

AVERAGE

MAXIMUM

$530,000

$1.2M

$4.7M

House price

250M AMD

1,500M AMD

2,100M AMD

MINIMUM

AVERAGE

MAXIMUM

$620,000

$3.7M

$5.3M

Villa price

300M AMD

1,700M AMD

2,500M AMD

MINIMUM

AVERAGE

MAXIMUM

$750,000

$4.1M

$6.2M

The average price of a studio apartment in Armenia can range from 25M AMD to 75M AMD depending on location. One bedroom cost can be anywhere from 30M AMD to 190M AMD. A villa can cost you 1,700M AMD on average with prices ranging from 300M AMD to 2,500M AMD.

House / apartment prices to income ratio

Property prices in Armenia can be x125 to x215 multiples of the monthly income depending on the property and the income of the person. On average, property prices are approximately x125 multiples of the average monthly salary in Armenia.

Rent to income ratio

The average rent-to-income ratio in Armenia is around 33%. This means that people pay 33% of their income for rent. Those figures can range from 23% to 43% depending on the salary, location, and type of property.

Housing affordability index

The housing affordability index measures how affordable accommodation is in a particular place. This can measured in multiple ways, the most common being housing expenditure to total expenditure ratio and the rent to income ratio. The housing expenditure ratio is a figure reported by individuals on the percentage they allocate for housing. Rent to income ratio is calculated by dividing the average monthly rent by the average income. Because these values are both percentages, we can find their average and get the best of the two worlds.

Property Taxes

Real estate owners pay property taxes to local tax authorities, which are determined by the assessed value of their property. Typically, these taxes are paid once a year. Property tax funds contribute to community development, financing infrastructure improvements, public services, and local education initiatives.

Home Maintenance Costs

Home maintenance costs encompass various expenses associated with the upkeep and repair of a residence. These expenditures include regular tasks such as lawn care, pest control, and HVAC system servicing, as well as occasional repairs and renovations like fixing leaks, painting, or replacing appliances.

Urban vs. rural living costs

Urban living typically entails higher housing and transportation costs due to demand and limited space, while rural areas generally offer lower housing expenses but may have higher prices for goods and services. The differnce in rental rates between urban areas and rural areas can be as high as 300% in some cases.

Monthly costs and expenses of energy and basic utilities in Armenia

Energy, electricity, water, gas, internet, and mobile cost in Armenia

Utility Bill Cost / Electricity + Water + Gas / Couple

22,000 AMD

74,000 AMD

480,000 AMD

MINIMUM

AVERAGE

MAXIMUM

$54

$180

$1,200

Internet and cable cost

7,500 AMD

15,000 AMD

20,000 AMD

MINIMUM

AVERAGE

MAXIMUM

$19

$37

$50

Mobile phone bill and charges

6,000 AMD

10,000 AMD

30,000 AMD

MINIMUM

AVERAGE

MAXIMUM

$15

$25

$75

The average monthly energy and water consumption of couples is around 74,000 AMD. The cost of internet and WiFi ranges from 7,500 AMD to 20,000 AMD with 15,000 AMD being the average internet bill. Finally, the average monthly mobile charges is around 10,000 AMD but can range between 6,000 AMD and 30,000 AMD depending on consumption. Mobile charges include both calling minutes as well as data packages.

Energy / Utility expense to income ratio

The average utility-to-income ratio in Armenia is around 5%. This means that people pay 5% of their income for energy, water, internet, and mobile charges. Those figures can range from 2% to 9% depending on salary and location.

Food Prices, Dining Expenses, and Grocery Costs in Armenia

Prices and cost of goods and services in Armenia

Dining out, food, and beverages costs. Price variations for common food items.

Fast food combo meal price

1,500 AMD

3,000 AMD

5,000 AMD

MINIMUM

AVERAGE

MAXIMUM

$3.7

$7.5

$12

The average price of a regular combo meal at a fast food outlet or chain like McDonald's, Pizzahut, or KFC in Armenia is approximatly 3,000 AMD with meal cost ranging from 1,500 AMD to 5,000 AMD. The typical combo meal consists of a burger, french fries, and a drink.

Restaurant meal for one price

5,000 AMD

7,500 AMD

15,000 AMD

MINIMUM

AVERAGE

MAXIMUM

$12

$19

$37

If you are planning to have a nice meal at a mid-range restaurant, expect to pay anywhere between 5,000 AMD and 15,000 AMD with 7,500 AMD being the average price of a plate for one person at a regular restaurant in Armenia.

Fine dining meal for one price

10,000 AMD

15,000 AMD

60,000 AMD

MINIMUM

AVERAGE

MAXIMUM

$25

$37

$150

The price range of a meal at fine-dining restaurant is 10,000 AMD to 60,000 AMD with the average cost being 15,000 AMD for one person. This is what you would expect to pay a top-tier diner in Armenia.

Beverage prices, cappuccino, latte etc..

1,300 AMD

2,000 AMD

3,000 AMD

MINIMUM

AVERAGE

MAXIMUM

$3.1

$5

$7.5

The average price of a regular beverage like cappuccino or latte at Starbucks, Costa, or similar coffee shops and cafes in Armenia is around 2,000 AMD. Price ranges between 1,300 AMD and 3,000 AMD depending on the type of beverage, the size, and optional add-ons.

Grocery and market costs

Large bottle of milk price

1,000 AMD

1,200 AMD

1,500 AMD

MINIMUM

AVERAGE

MAXIMUM

$2.5

$3

$3.7

The average price of a large bottle of milk in Armenia is 1,200 AMD. The maximum what you would pay for milk is 1,500 AMD and the minimum being 1,000 AMD depending on the brand of milk and other properties.

12 eggs price

750 AMD

1,000 AMD

1,500 AMD

MINIMUM

AVERAGE

MAXIMUM

$1.9

$2.5

$3.7

A dozen eggs costs around 1,000 AMD on average with 750 AMD and 1,500 AMD being the lower and upper limits respectively.

Fresh whole chicken price

1,700 AMD

2,200 AMD

3,100 AMD

MINIMUM

AVERAGE

MAXIMUM

$4.2

$5.5

$7.8

The price range of a fresh whole chicken in Armenia is between 1,700 AMD and 3,100 AMD depending on the size of the chicken and whether it is oraganic or not. The average price is approximatly 2,200 AMD.

Pack of beef price

2,000 AMD

3,000 AMD

6,000 AMD

MINIMUM

AVERAGE

MAXIMUM

$5

$7.5

$15

The price of a regular pack of beef or meat is around 3,000 AMD. A pack of beef contains around 1Kg or 1lb depending on packing.

Medium bag of rice price

810 AMD

1,100 AMD

1,600 AMD

MINIMUM

AVERAGE

MAXIMUM

$2

$2.7

$3.9

A bag of rice in Armenia costs around 1,100 AMD on average with prices rangeing between 810 AMD and 1,600 AMD depending on the brand and quality.

Bag of tomatos price

300 AMD

400 AMD

750 AMD

MINIMUM

AVERAGE

MAXIMUM

$0.75

$0.99

$1.9

A bag of tomatoes costs anywhere from 300 AMD to 750 AMD. A bag of tomatoes denotes 1Kg or 1lb depending on location.

Bag of apples price

540 AMD

700 AMD

1,200 AMD

MINIMUM

AVERAGE

MAXIMUM

$1.3

$1.7

$2.9

A bag of apples costs 700 AMD on average. A bag of apples denotes 1Kg or 1lb depending on location.

Grocery and food expenditure to income ratio

The average grocery-to-income ratio in Armenia is around 25%. This means that couples spend 25% of their income on grocery and basic household items. The expenditure can range from 17% to 31% depending on salary and location.

Expenditure on food and grocery for couples