Cost of Living

Bruno Mars once said, “Cool jewelry shining so bright. Strawberry champagne on ice. Lucky for you, that's what I like, that's what I like.”

Some people live above their means. Others can afford what they like. The question is whether or not they can sustain their desired standard of living.

But their standards are different than many other peoples'. And jewelry and strawberry champagne certainly aren't on everyone's lists of necessities.

Which is where the term cost of living is relevant. The cost of living, as an economic term, typically doesn’t center on just one individual. It's usually an average measurement of the aggregate of people in a specific city, state, region, or country in the world.

On an individual levl, it's a measurement of how much it would cost a person for basic needs like food, housing, entertainment healthcare, and other key human needs.

If you live in Chicago and you're moving to Naples, Florida, you want to know if you can afford the change. So you might make a comparison of Chicago to Naples.

If you have a combined income of $100,000 in Chicago, you will find (in 2018 terms) that you only need $96,865 to have the same "cost of living" abroad. Besides, taxes are 22% lower in Naples, which should make you start packing all of your belongings immediately.