How we calculate our indices
Click hereFull transparency on our data sources, formulas, and update schedules. We believe you should know exactly where every number comes from.
Last reviewed: July 1, 2026
Data Sources
Government Statistical Agencies
~40%National statistics offices (ONS, Destatis, INSEE, BLS etc.)
Contributor Submissions
~35%Verified prices submitted by our community of local contributors
Institutional Data
~15%World Bank, IMF, WHO, OECD public datasets
Commercial Partners
~10%Rental platforms, grocery chains, utility providers
Weightings are approximate targets and are reviewed quarterly; actual mix varies by city depending on data availability.
Our Process
Data Collection
Raw prices are collected from government sources, contributor submissions, and institutional databases on a rolling basis.
Verification
Each price point is cross-referenced against at least 2 independent sources. Outliers are flagged for manual review.
Normalization
All prices are converted to USD at current exchange rates and normalized to our NYC = 100 baseline.
Index Calculation
Weighted formulas are applied to calculate each index. Weights are reviewed and updated quarterly.
Publication
Verified, calculated data is published on the platform. All changes are logged with timestamps.
Index Definitions
Cost of Living Index
Updated MonthlyWeighted average of restaurant, grocery, transport, utility, and miscellaneous prices. New York City = 100 baseline.
Rent Index
Updated MonthlyBased on median rent for 1BR and 3BR apartments in city centre and outside. New York City = 100 baseline.
Quality of Life Index
Updated QuarterlyComposite of 9 sub-indices: purchasing power, safety, healthcare, cost of living, traffic, pollution, climate, and housing affordability.
Safety Index
Updated QuarterlyBased on crime statistics, contributor safety perception surveys, and police data. Higher = safer.
Healthcare Index
Updated Bi-annuallyComposite of healthcare infrastructure quality, staff competence, cost, availability of modern equipment, and contributor ratings.
Purchasing Power Index
Updated QuarterlyRelative purchasing power of net salary vs. cost of living in the city. Higher = your salary goes further.
Known Limitations
Geographic Coverage
Smaller cities may have fewer contributor data points, leading to wider confidence intervals. We indicate data confidence on each city page.
Exchange Rate Fluctuation
All prices are converted to USD at the time of the last update. Rapid currency movements may temporarily affect index accuracy.
Neighbourhood Variance
City-level averages mask significant neighbourhood-to-neighbourhood variance, particularly for rent. Use our data as a starting point, not a final answer.
Frequently Asked Questions
What is the Worldlivingcost Cost of Living Index?
The Worldlivingcost Cost of Living Index is a weighted average of restaurant prices, grocery costs, transportation fares, utility bills, and miscellaneous expenses in a city. New York City is used as the baseline (index = 100). A city with a score of 50 is approximately 50% cheaper than New York City. The index is updated monthly.
What is the Worldlivingcost Rent Index?
The Rent Index is based on median monthly rent prices for 1-bedroom and 3-bedroom apartments both in the city centre and outside of it. New York City = 100 baseline. Updated monthly from contributor submissions, rental platforms, and housing market data.
How is the Quality of Life Index calculated?
The Quality of Life Index is a composite of 9 sub-indices: purchasing power, safety, healthcare quality, cost of living, traffic and commute, pollution levels, climate, housing affordability, and property price-to-income ratio. It is updated quarterly.
How is the Safety Index calculated?
The Safety Index is based on crime statistics from official police and government sources, contributor safety perception surveys, and analysis of reported crime rates. A higher score means a safer city. Updated quarterly.
What data sources does Worldlivingcost use?
Worldlivingcost data is compiled from contributor submissions, public government statistical sources, institutional datasets (World Bank, IMF, WHO, OECD), and commercial reference providers such as rental platforms, grocery chains, and utility companies.
How often is Worldlivingcost data updated?
Update frequency varies by index: Cost of Living and Rent indices are updated monthly. Quality of Life, Safety, and Purchasing Power indices are updated quarterly. The Healthcare Index is updated bi-annually. All updates are timestamped and logged on the platform.
What is the Purchasing Power Index?
The Purchasing Power Index measures the relative purchasing power of a net salary in a given city compared to the cost of living in that city. A higher score means your salary stretches further. It is updated quarterly and accounts for local wage levels, taxes, and living costs.
Found an error in our data?
We take data accuracy seriously. Report any issues and our team will investigate within 48 hours.