Where should I make my forever home? I always thought it would be in the U.K. or Virginia. I could have moved to Mexico, Panama, or Portugal. My friends are enjoying inexpensive lives there. Some have retired and are living luxuriously for less than $1,000 a month! But no, I decided to move to Belgium.
After transferring here in 2016 for a job, I fell in love with this tiny European country and, throwing caution to the wind, decided to make it my forever home. My best friend and family may never forgive me!
Okay, it could have been much worse on the financial front. Housing prices in New York City, San Francisco, London, and Paris make Brussels look like a discount destination.
What I Love about Belgium
People often ask me why I love Belgium. Well, the diversity and international atmosphere of the country are two of the top attractions. Quality of life is great here, too. It’s a beautiful country that is rich in history. Education and health care are inexpensive, food quality is better than in the U.S., and Brussels is a great starting point for trips across Europe and beyond. But it isn’t cheap.
The biggest disadvantages of living here are administrative issues – everything takes so long to get done – and taxes. Just plan to add 21% of the price to everything you buy! It’s no surprise that many people opt to shop for groceries across the border in France or for shoes, clothes, and electronics in Germany, where things are cheaper.
Cost of Living
Expatisan estimates the cost of living in Belgium for a family of four at 4372 euros ($4,610) per month. A single person can expect to pay 2,191 euros ($2,310) per month. Now, look at the average salary in Belgium. Statbel, a Belgian statistics agency, reports that the average gross monthly income in Belgium was €3,832 ($4,043) in 2022. After taxes, you’d bring home a net salary of €2,463 ($2,599). I wish I spoke Spanish! Mexico would have been a much cheaper alternative.
Belgium ranks 8th out of 17 in cost of living in Western Europe. However, it is more expensive than 77% of countries around the world, ranking 17 out of 69.
Housing Costs
Rents vary widely, and traveling outside of Brussels, you can find nice apartments and homes at reasonable prices. If you are thinking about moving to Belgium and want to buy a house, that can be taxing, literally. I had to take a deep breath when I started looking at house prices and the ancillary expenses.
In the first quarter of 2023, the average price of a house in Belgium was $340,500 (EUR 323,031). In Brussels, it now stands at $610,048 (EUR 578,753). And that’s just the house! You are taxed on the acquisition price, or market value if that is higher. Fees range from 6% in Flanders to 12.5% in Wallonia and Brussels. As a first-time homebuyer in Belgium, I hope to benefit from a special 3% rate for Flanders. Fingers crossed!
Property Taxes
Then there’s that little issue of property tax, which is 1.25 to 2.5% of the property’s value. And if you want to rent it out as an investment property, you have to pay taxes on the income generated. That rate varies between 25 and 30%.
And let’s not forget about those gnarly utility costs that wreak havoc with your monthly budget.
Illuminating Surprises
Keeping the lights on, the house warm, and the garden watered comes at a cost. Electricity, oil, and water are all necessary, and costs are on the rise, except for oil, which is cheaper than a year ago. Whew! At least there is a little bit of good news.
Utility bills can be a surprise, especially if you don’t have a contract with a monthly set rate. The International Energy Agency (IEA) reported that Belgium has the third highest electricity rates in the world. Yes, the world! The data is from 2021, the most recent year for global data.
Only German and Danish households were hit with higher bills. Of all the countries in the world, Belgium was one of just five with households paying more than $300 per megawatt hour for electricity. Time to look into solar panels! Luckily, I have a meter with a night rate. That means I get cheaper rates from 10 p.m. to 7 a.m. on weekdays, and all day on weekends and legal holidays. So, the dishwasher, washer, and dryer have daytime vacations and get to work at night.
Biggest Bargains
Not everything is financial doom and gloom. Fresh, regional fruits and vegetables are reasonably priced, and you’ll probably pay much less for wine than you’d pay in the U.S. Try the local, open-air markets for the best prices and freshest finds.
The biggest deal is the SNCB train. Choose Belgium as a retirement destination and you’re in luck. Travel ANYWHERE in Belgium for just €7.80 per trip. Round trip! That’s $8.23 USD in October 2023. The rate is available after 9 a.m. and on weekends for people over 65. And don’t forget that as the capital of Europe, the country’s central location makes it easy to travel throughout Europe, although at higher prices.
