Cost of Living Guide

City comparison

Cost of living in Lisbon vs Madrid

One person needs about €1,874 a month in Lisbon and €1,909 in Madrid, rent included — Lisbon is 2% cheaper overall.

🇵🇹
Lisbon
Portugal · 545K pop
vs
🇪🇸
Madrid
Spain · 3.3M pop
Monthly rent (1BR)
€1,300€1,300
0% pricier
Groceries / mo
€290€310
7% pricier
Eating out (meal)
€13€13
0% pricier
Internet (100mbps)
€35€35
0% pricier
Avg salary (tech)
€2,400€3,000
25% higher
Coworking / mo
€180€190
6% pricier
LisbonMadrid
Rent€1,300€1,300
Groceries€290€310
Transport€40€55
Utilities€105€105

Salary you'd need to keep the same lifestyle

Enter your current net monthly pay. We scale it by the full cost basket — rent, groceries, transport, utilities, eating out and internet.

To live in Madrid the way you live in Lisbon on €3,000, you need

€3,056/ month net

2% more than today (+€56)

Lisbon today
Basket €1,874 · left over €1,126 (38%)
Madrid at the matched salary
Basket €1,909 · left over €1,147 (38%)

Local pay context: average tech net pay covers the basket 157% over in Madrid (adequate) vs 128% in Lisbon. Purchasing power index · How we calculate this

🇵🇹 Lisbon

Visa-friendly and well connected, but local salaries lag far behind expat-driven rents.

Monthly budget: €1,874

Sources: Statistics Portugal (INE) + Eurostat, HICP & house-rent statistics (2025) · 331 community reports

🇪🇸 Madrid

Spain's highest local salaries and endless nightlife, with rents climbing fast in the centre.

Monthly budget: €1,909

Sources: Eurostat, Harmonised price indices (2025) · 0 community reports

Should you move to Lisbon or Madrid?

On salary, Madrid pays more for tech roles (€3,000 versus €2,400 a month), so the money left over after costs is €1,091 in Madrid at the top end.

Rent drives most of the gap: €1,300 in Lisbon against €1,300 in Madrid. Groceries, transport and utilities move far less between the two.

For remote workers, the nomad index scores Lisbon at 83 and Madrid at 80 — see the full nomad index and our data methodology.

More Lisbon comparisons

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