Cost of Living in Malaysia: A Comprehensive Guide for Potential Residents in Kuala Lumpur and Selangor

Malaysia and its capital, with its vibrant culture, diverse landscapes, and economic opportunities, has become an attractive destination for people considering a move. This rings true not just for expats, but even for locals who live outside the main regions.

If you're contemplating relocating to Kuala Lumpur or Selangor (the former being encircled by the latter), two of the country's most prominent regions, it's crucial to understand the cost of living here. In this guide, we'll explore various aspects of living expenses, providing a comprehensive overview for potential residents.

Accommodation costs

Housing is a significant component of the cost of living. Let's consider a real-life example: Meet Ahmad, a young professional relocating to Kuala Lumpur for a job opportunity. He decides to rent a two-bedroom apartment in a strategic location in Petaling Jaya or Damansara within Selangor. Rental prices vary, but he manages to find a suitable place for RM2,000 per month. He could opt for the cheaper alternative of renting a room, but he prefers some privacy.

Comparison: In contrast, if Ahmad were to stay in his current city, Johor Bahru, he might find a similar apartment for around RM1,500 monthly. This initial increase is something he needs to consider in his budget planning.

Utilities and internet

Ahmad will also need to budget for utilities, including electricity, water and the internet. On average, these costs can amount to around RM350 per month, depending on usage and the internet plan he chooses.

Comparison: The utility costs in Kuala Lumpur and Ahmad's current location aren’t very different. Any variances might not be substantial for him to make serious adjustments to his budget.

Transportation expenses

Considering transportation, Ahmad decides to use public transport for his daily commute. He goes for the My50 unlimited travel pass that offers 30 days unlimited rides on Rapid KL LRT, MRT, Monorail, BRT, Rapid KL bus and MRT feeder bus services in the Klang Valley for only RM50. But he budgets another RM50 for other modes of transportation such as e-hailing, should the need arise. 

Comparison: If Ahmad were to own a car, fuel prices and maintenance costs could significantly increase his expenses by approximately RM600 a month, making public transport a more economical choice in and around the city.

Food and provisions

For provisions, Ahmad estimates spending around RM400 per month. This includes cooking ingredients as well as personal care items such as shampoo, showel gel, toothpaste and so on. Additionally, he enjoys eating out occasionally, allocating another RM300 for dining at local restaurants. He lumps his daily cost to eat during lunch hour at work into this total amount.

Comparison: Food prices in Kuala Lumpur might be slightly higher, but the availability of diverse economical cuisines could influence Ahmad's spending habits.

Healthcare and insurance

Healthcare is a crucial aspect of daily life. Ahmad needs to consider health insurance, which can range from RM150 to RM300 per month, depending on the scale of coverage.

Comparison: While healthcare costs in Kuala Lumpur may vary, it's essential for Ahmad to assess the accessibility and quality of medical services in comparison to his current location.

Miscellaneous and entertainment

Considering miscellaneous expenses, Ahmad allocates RM500 per month for items such as karaoke, bowling, quick getaways, and other unforeseen costs.

Comparison: Depending on the cost of entertainment and lifestyle in Kuala Lumpur, Ahmad may need to adjust this budget.

Calculating Ahmad's monthly budget

Let's sum up Ahmad's estimated monthly expenses should he make the decision to move to Kuala Lumpur or Selangor:

Ahmad now has a clear overview of his potential monthly expenses in Kuala Lumpur or Selangor. Based on this, he'll be able to devise a long-term savings plan too, and probably scale back on certain expenditures in the process.

It's crucial to note that these are estimated figures based on the writer’s personal experience in the past and present, and actual expenses may vary based on your choices and lifestyle.

Is the grass really greener?

Understanding the cost of living in Malaysia, particularly in regions like Kuala Lumpur and Selangor, is essential for anyone planning to move. Ahmad's example provides a practical insight into budgeting, allowing potential residents to make informed decisions.

While there may be some adjustments to his spending habits, the diverse opportunities and experiences in Malaysia’s bustling capital often outweigh the financial considerations for many individuals seeking a new chapter in their lives.

Planning to start saving ahead of your big move to Kuala Lumpur or Selangor? Check out savings account options to help get the ball rolling for you today!

💡 The information provided above is purely for educational purposes.