Cost Of Living in Rawalpindi 2024

Average monthly spending for singles, couples, students, and families in Rawalpindi

Whether you're living in Rawalpindi or planning to move there, it is very important to know the cost of living and the prices of things. Here we list the average spending for the four main population groups.

Singles

The average monthly expense for a single person living in Rawalpindi is 290,000 PKR. Expenses can range from 95,000 PKR at the minimum level to 1.9M PKR at the highest end.

Couples

The average monthly spending of couples in Rawalpindi is 480,000 PKR. Expenditure can range from 160,000 PKR to 2.5M PKR per month.

Families

The average cost of living for families in Rawalpindi is 640,000 PKR per month. Families spend anywhere from 220,000 PKR to 3.5M PKR.

Students

The average monthly expenditure for students in Rawalpindi is 180,000 PKR. Students spend from 74,000 PKR to 330,000 PKR per month.

Expenditure to Income Ratio in Rawalpindi

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.

Expense to income distribution levels

Interpretation and Analysis

The average spending-to-salary ratio in Rawalpindi is 96% This means that on average, people spend around 96% of their income for living. According to the distribution table, 15% of the population spend approximately 60% to 70% of their income every month.

Individual
87%
Spending-Income-Ratio

---

81%

95%

Couple
92%
Spending-Income-Ratio

---

85%

100%

Family
100%
Spending-Income-Ratio

---

94%

110%

How do people spend their money in Rawalpindi?

We asked thousands of people about their spending habits and expenditure breaks. Below are their answers.

People living in Rawalpindi typically spend from 12% to 31% of their total monthly expenditure on housing with 23% being the average. The average spend on housing is 120,000 PKR with expenditure ranging from 9,500 PKR to 1.2M PKR. This cost mainly goes for rent but it also includes other accommodation-related expenses. Housing costs are highest for families and lowest for students as expected.

Utility expenditure like electricity, water, and gas in Rawalpindi ranges from 5% to 12% of total expenses with 8% being the average. The average monthly cost of utilities is 21,000 PKR with 1,600 PKR and 210,000 PKR being the upper and lower limits.

Fuel consumption and cost of transport depend heavily on whether you live near your work or school, but roughly speaking you would expect to spend from 3,200 PKR to 410,000 PKR on commuting with 41,000 PKR being the norm for most people in one month. This means that money spent on transport constitutes about 7% of total spending on average but can go as low as 3% or as high as 11%.

The average outlay on groceries in a month in Rawalpindi is 100,000 PKR. The cost of groceries can range between 8,000 PKR to 1M PKR. People spend on average about 28% on food and groceries with upper and lower bounds of 20% and 34% respectively.

People in Rawalpindi allocate 5% to 13% of their total monthly expenditure to healthcare including health insurance and out-of-pocket medical expenses. The average spending is around 10%. The range of medical expenses range from 2,200 PKR to 290,000 PKR with 29,000 PKR being the norm.

This category mostly contains discretionary or non-essential expenses but also some non-discretionary spending like furniture for example. The monthly expenses range from 1,300 PKR to 170,000 PKR with 17,000 PKR being the average. Speaking of percentages, that equates to 2% to 8% of total expenses with an average of 4% for most residents.

Spending on education can vary drastically between different people. While working singles can spend 0% on education, families and students' expenditure can reach up to 22%. On average, education constitutes 5% of the monthly expenditure with 3% and 11% being the lower and upper bounds respectively. The average reported education cost is 25,000 PKR per month with 1,900 PKR being the minimum spent amount and 250,000 PKR being the maximum.

How much money can you save in Rawalpindi every month?

We asked thousands of people what percentage of their income can they save in a month. Below are the answers.

What percentage of people in Rawalpindi manage to save money from their income every month?

Almost 52% of the surveyed people in Rawalpindi said that they can save some money at the end of each month while 49% said that aren't saving anything.

Percentage of people saving money by population group in Rawalpindi

Saving to Income Ratio

Average Monthly Saved Amount

For most people, 7.7% to 30% of their monthly income is what they can allocate to their savings, with 14% being the average. The amount of money that people can save is approximately 120,000 PKR on average with savings ranging from 9,200 PKR to 1.2M PKR.

62% of surveyed singles reported some of their income going to savings while 57% of couples said the same. 51% of families confirmed their ability to save money.

How much money do people actually save in Rawalpindi?

Singles

Saving to Income Ratio

Average Monthly Saved Amount

Savings to income distribution levels for singles

Interpretation and Analysis

Singles who can afford to save reported that they allocate from 11% to 32% of their monthly income to savings, with 19% being the average for most singles. The average amount of money that singles are able to save is 83,000 PKR with 28,000 PKR and 550,000 PKR being the minimum and maximum respectively.

Couples

Saving to Income Ratio

Average Monthly Saved Amount

Savings to income distribution levels for couples

Interpretation and Analysis

Couples who confirmed their ability to save reported saving equivalent to 8.8% to 31% of their monthly income, with 16% being the average for most couples. The average amount of money that couples can save is 140,000 PKR with 46,000 PKR and 740,000 PKR being the minimum and maximum respectively.

Families

Saving to Income Ratio

Average Monthly Saved Amount

Savings to income distribution levels for families

Interpretation and Analysis

Families in Rawalpindi can save anywhere between 7.7% to 29% of their monthly income, with 14% being the average for most families. The average amount of money that families can put aside is 180,000 PKR with 65,000 PKR and 1M PKR being the minimum and maximum respectively.

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 Rawalpindi

Income and cost of living compatibility

We asked residents one simple question and recorded their answers.

Is it affordable or economical to live in Rawalpindi?

Around 47% of surveyed residents think that living in Rawalpindi is affordable with proper budgeting while 53% reported that it is just too expensive and not affordable even with frugality and thriftness.

Low-cost alternatives in Rawalpindi

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 residents how easily cost-cutting is and the answers were distributed as follows:

Plenty of low-cost options56%

Few low-cost options44%

Based on the survey, 56% of the people living in Rawalpindi have no problem finding low-cost alternatives to support a frugal lifestyle while 44% think that thriftness is difficult due to scarcity in discount markets and secondhand outlets.

Emergency Funds

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 residents of Rawalpindi whether they have an emergency fund and the answers were as follows.

Yes42%

No58%

Based on the survey, 58% of the people living in Rawalpindi said that they don't have an emergency fund while 42% said that they do.

Financial Literacy in Pakistan

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 Leteracy38%

We asked residents of Pakistan whether they acquired any adequate personal financial training in their lives. Approximately 62% 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 38% 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 residents of Pakistan have problems or difficulties in managing their expenditures and savings so asked the people one simple question: do you struggle with your personal finances? 67% of the participants reported that they indeed struggle in creating budgets and in organizing their finances while 33% said that they have everything under control.

Struggles with finance67%

Easily manages finances33%

Financial goals of people in Rawalpindi

In an attempt to understand the economic situation in Rawalpindi, 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 8% of those who participated in the survey said that their main goal is to establish an emergency fund to cover unexpected expenses while 43% said their number one priority is to pay off high-interest debt or loans and improve credit. 10% of surveyed people confirmed that saving for retirement to ensure a comfortable lifestyle in the final years is their main target. Around 7% reported that their priority is saving for the tuition fees and education costs of their children while 18% choose to buy a home or pay off existing mortgage before other things. 6% of the population would like to build wealth through investments such as stocks, bonds, mutual funds, or real estate. For 6% of people, saving for vacations or upgrading their lifestyle is the number one concern. Approximately 14% of the residents said that saving for healthcare expenses including insurance premiums is their main goal.

Saving Challenges in Rawalpindi

Reasons that make it difficult for people to save money

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

Around 5% of the people said that their salary is too low to accommodate a portion for savings while 8% said that the high cost of living leaves little room for savings. 13% of the residents said that they are burdened with debt and find it challenging to save money. 12% 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. 12% blamed impulsive spending as the reason for saving inability. Around 7% said that unexpected expenses like medical bills or car repairs are derailing their savings goals. 5% bluntly said that they don't see the purpose of it and prefer to live each day to the fullest. 21% 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. 13% blamed inflation, saying that every time they save some money they end up using it immediately. A surprising 3% said that social pressure and keeping up with peers or societal expectations makes them overspend. Lastly, 2% blamed market instability and price fluctuations.

Typical saving choices for people in Rawalpindi

Where do people choose to put their savings?

Retirement, pension plans, and life after work in Rawalpindi

What does the retirement lifestyle look like in Rawalpindi and how much retirement savings are required?

Retirement age

The retirement age for most employees in Pakistan is 65 years. Specific retirement ages can vary based on factors like occupation, gender, years of contribution, and location. It is not entirely unlikely for people to retire either before or after this age.

Retirement planning and savings

There are many retirement saving options, some are personally initiated and others are government-sponsered. Regardless of the source of savings, the minimum amount of money that needs to be put aside to ensure a peaceful and comfortable retirement at each age can be found in the table below. This data is largely approximated and can vary drastically based on individual needs and situations. Treat these figures as a general guideline.

Retirement Income Distribution

We asked residents of Rawalpindi about their retirement income sources and below are the results.

Retirement Monthly Expenses in Rawalpindi

Debt, loans, and mortgages in Rawalpindi

Percentage of people who are in debt

According to the survey, 41% of the people in Rawalpindi have some kind of debt, loan, mortgage, or credit card payments while 60% reported that they don't have financial obligations to banks.

Debt-to-income ratio in Rawalpindi

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 36% of the people's monthly income in Rawalpindi goes to debt settlement.

Debt levels

Monthly debt settlement payment as percentage of monthly income

According to our data, 3% of the debtors in Rawalpindi pay 60%+ of their income as debt settlement while 19% of the people pay 50% to 60% of their income for the same, which is quite an alarming financial situation for those individuals. 15% of people in debt dedicate 40% to 50% of their income to loan and mortgage payments while 17% dedicated 30% to 40% of income for same. Things are looking brighter for 10% of individuals as they only pay 20% to 30% of their income for loan and credit card repayment.

Distribution by type of debt in Rawalpindi

8% of debtors in Rawalpindi confirm that real estate mortgages constitutes the main part of their outstanding debt while 30% say that credit card payments are the reason they are in debt. Auto loans were the main type of debt for 14% of people and personal loans rose at 44%. Lastly, student loans are the main source of debt for 4% of debtors in Rawalpindi.

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 Rawalpindi

Besides measuring the loan-to-income ratio, we asked residents of Rawalpindi 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 Rawalpindi

Rent Cost in Rawalpindi

Monthly Rent Prices

Studio apartment

34,000 PKR

51,000 PKR

140,000 PKR

MINIMUM

AVERAGE

MAXIMUM

$120

$180

$490

1-bedroom apartment

51,000 PKR

82,000 PKR

210,000 PKR

MINIMUM

AVERAGE

MAXIMUM

$180

$290

$730

2-bedroom apartment

68,000 PKR

100,000 PKR

270,000 PKR

MINIMUM

AVERAGE

MAXIMUM

$240

$370

$980

3-bedroom apartment

82,000 PKR

140,000 PKR

370,000 PKR

MINIMUM

AVERAGE

MAXIMUM

$290

$490

$1,300

Furnished apartment

160,000 PKR

410,000 PKR

820,000 PKR

MINIMUM

AVERAGE

MAXIMUM

$590

$1,500

$2,900

Townhouse

140,000 PKR

210,000 PKR

590,000 PKR

MINIMUM

AVERAGE

MAXIMUM

$490

$730

$2,100

House

160,000 PKR

410,000 PKR

820,000 PKR

MINIMUM

AVERAGE

MAXIMUM

$590

$1,500

$2,900

Villa

210,000 PKR

510,000 PKR

820,000 PKR

MINIMUM

AVERAGE

MAXIMUM

$730

$1,800

$2,900

The monthly rental cost of a studio apartment in Rawalpindi ranges between 34,000 PKR and 140,000 PKR, meanwhile the cost of monthly rental of a one-bedroom apartment can be anywhere from 51,000 PKR to 210,000 PKR. Two-bedroom rentals rate ranges between 68,000 PKR and 270,000 PKR per month. The monthly rental for a three-bedroom apartment ranges from 82,000 PKR to 370,000 PKR. The average rent of a townhouse in Rawalpindi is around 210,000 PKR while house rental costs can be as high as 410,000 PKR per month. Finally, if you want to rent a villa, expect to pay anywhere from 210,000 PKR to 820,000 PKR per month.

Apartment and house prices in Rawalpindi

Cost of buying a property

Studio apartment

6.8M PKR

10M PKR

21M PKR

MINIMUM

AVERAGE

MAXIMUM

$24,000

$37,000

$73,000

1-bedroom apartment

8.2M PKR

14M PKR

51M PKR

MINIMUM

AVERAGE

MAXIMUM

$29,000

$49,000

$180,000

2-bedroom apartment

14M PKR

41M PKR

82M PKR

MINIMUM

AVERAGE

MAXIMUM

$49,000

$150,000

$290,000

3-bedroom apartment

46M PKR

68M PKR

210M PKR

MINIMUM

AVERAGE

MAXIMUM

$160,000

$240,000

$730,000

Townhouse

59M PKR

140M PKR

510M PKR

MINIMUM

AVERAGE

MAXIMUM

$210,000

$490,000

$1.8M

House

68M PKR

410M PKR

590M PKR

MINIMUM

AVERAGE

MAXIMUM

$240,000

$1.5M

$2.1M

Villa

82M PKR

460M PKR

680M PKR

MINIMUM

AVERAGE

MAXIMUM

$290,000

$1.6M

$2.4M

The average price of a studio apartment in Rawalpindi can range from 6.8M PKR to 21M PKR depending on location. One bedroom cost can be anywhere from 8.2M PKR to 51M PKR. A villa can cost you 460M PKR on average with prices ranging from 82M PKR to 680M PKR.

House / apartment prices to income ratio

Property prices in Rawalpindi can be x84 to x204 multiples of the monthly income depending on the property and the income of the person. On average, property prices are approximately x84 multiples of the average monthly salary in Rawalpindi.

Rent to income ratio

The average rent-to-income ratio in Rawalpindi is around 31%. This means that people pay 31% of their income for rent. Those figures can range from 20% to 42% 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.

SingleSpending habits, consumption analysis, and expenditure patterns for a single person living in Rawalpindi

CoupleAverage monthly living expenditure breaks and spending patterns for couples in Rawalpindi

FamilyAverage monthly expenses and break out of spending for families living in Rawalpindi

StudentCost of living and expenses break down for students living in Rawalpindi