Costs of Living in the Philippines?

[newlife]

What is the Philippines like? Cost of living, etc?

I've never been there but I've lived in Thailand for years.

Is it similar?

[newlife]

Sorry. I didn't see the stick posts above. Please delete.

[Winston]

Filipina Pea claims it's very hard to live in the Philippines on 500 dollars a month. But I disagree. See below. What do you think @marcoszeitola and @publicduende?



Here's what I posted under her video:

Pea, I lived on 400 to 500 dollars a month in Angeles City from 2006 to 2011. It was not that hard. My apartment rent with two bedrooms and two bathrooms was only 5000p, and my meals were around 200p each for a moderate sized meal, even at SM mall. If you add that up times 30 you will see that it's within the 400 dollar range. Plus jeepneys, trikes, visa extensions, beer, shopping, snacks, cinema tickets, etc which aren't really that much. If one does the math, you will see that one can live under 500 dollars a month there. But this was back in 2006 to 2011 when prices were lower in the PH. It may be harder today since prices are higher than before. What do you think? If you want, I am willing to do an interview with you about this. Thanks, Winston.

Pea, I want to correct something you said. A good meal at SM mall with side dishes and drinks is around 300 to 400p. But in America a typical meal is now between 10 and 15 dollars. So it's not true that the cost of a good meal is the same in both countries. I eat out a lot so I know this for sure. And I ate at SM mall everyday before too. So I know from experience.

[publicduende]

Filipina Pea claims it's very hard to live in the Philippines on 500 dollars a month. But I disagree. See below. What do you think @marcoszeitola and @publicduende?



Here's what I posted under her video:

Pea, I lived on 400 to 500 dollars a month in Angeles City from 2006 to 2011. It was not that hard. My apartment rent with two bedrooms and two bathrooms was only 5000p, and my meals were around 200p each for a moderate sized meal, even at SM mall. If you add that up times 30 you will see that it's within the 400 dollar range. Plus jeepneys, trikes, visa extensions, beer, shopping, snacks, cinema tickets, etc which aren't really that much. If one does the math, you will see that one can live under 500 dollars a month there. But this was back in 2006 to 2011 when prices were lower in the PH. It may be harder today since prices are higher than before. What do you think? If you want, I am willing to do an interview with you about this. Thanks, Winston.

Pea, I want to correct something you said. A good meal at SM mall with side dishes and drinks is around 300 to 400p. But in America a typical meal is now between 10 and 15 dollars. So it's not true that the cost of a good meal is the same in both countries. I eat out a lot so I know this for sure. And I ate at SM mall everyday before too. So I know from experience.

@Winston you can't compare the Philippines of 2011 with the Philippines of 2024. A lot has changed. Inflation has been rampant for the entire decade. From supermarkets to restaurants, rentals to estate prices, prices have gone up a lot around here.

The other problem is the typical expat's lifestyle choices. You're in a nice city with a beautiful tropical climate, you can sip your coffee at the local Starbucks, you can treat different girls to meals, you can pop to a bar or disco in the evening, etc. When it comes to food, you may go for the cheaper stuff you can buy at the local palengke, or you can buy imported products (double price in the original country!) from Rustan's or S&R.

Like everywhere else, it's all about expectations. Of late, I see most foreigners living here in Ortigas having a decent life with at least P100,000, which is about $1,600, a month. Not surprising, when you realise that just renting a decent 1-bedroom condo unit in a non-remote part of Metro Manila is at least P35,000.

[Yohan]

Filipina Pea claims it's very hard to live in the Philippines on 500 dollars a month. But I disagree. See below. What do you think @marcoszeitola and @publicduende?
-----
Here's what I posted under her video:
Pea, I lived on 400 to 500 dollars a month in Angeles City from 2006 to 2011....

2006 and 2024 = 18 years difference, and I can only comment on what my fosterdaughter + husband are earning in Cebu in 2024, she gets about php 40.000,- monthly from officework in a foreign company (Australia related), he is working in a small bank and gets about 60.000,-, all together about PHP 100.000,- which is about USD 1.700,- together. Both of them were looking around for years to find a regular job with reasonable salary, often with breaks between being jobless for a few months.

His parents have a house in Mactan, and they can also use the house in Mandaue, which I helped to construct in 2007 for my fosterdaughter and her sister.

There is therefore no rent to pay, no loans. Nobody has any debits to repay now. His parents have a car and motorcycle and they have some income too, and all family members can use the car and motorcycle, they are just sharing one car and one motorcycle (and all costs to keep them running) with the husband of my fosterdaughter and also he has a sister using the car sometimes.

Their income of PHP 100.000 approx. USD 1700,- is just OK for average life for them as a couple, as they have no children.

Howver there are bills to pay like income tax and not to forget paying for medical care insurance - Philippines has no good health care system for everybody (not like here in Japan or in Europe) and not to talk about retirement if you are getting old. Pay or die early is the slogan and such bills - some of them quite high and unexpected - are coming in every month. Last taifun ripped a part of the roof away, and again you pay...also one time damages from earthquake...

Now all of them are not poor, but this income is merely enough for an average life, sometimes paying all those bills coming in and a significant part of their income is already gone.

-----

PHP 100.000,- (USD 1700,-) is far away from what an expat like I myself 70+ might spend in the Philippines if he is renting a home and takes an merely average looking and not so young Filipina living-in as his girlfriend who owns nothing... minimum I would say is PHP 150.000,- monthly (USD 2600,- minimum) AND if you prefer a comfortable and troublefree life-style like I myself which but is still far away from being luxurious.

I visited Cebu last year (like almost every year) and spent about 14 days there with my Filipina fosterdaughter and other family members, so I have an idea about the life there (rich - medium - poor) - you are facing payments as a foreigner like for private medical bills, for taxi as the public transport is a joke, many places are not clean and not safe for a foreigner, garbage everywhere around and bad streets, so you cannot walk just to everywhere, better stay within safe areas like shopping malls etc., water supply and electricity often fail, keep a generator and water tank in your home - or better live in a large condominium unit where the administration take care of everything, but this is not cheap at all, if you want to stay there permanently and buy your own condo unit.

-----

Of course as a foreign man you can survive in Philippines with much less money than I spend during my visits, but what a life is that with a beer bottle in your hand sitting in front of a sari-sari store all day in your dirty clothes, smoking and talking BS with drug junkies and other homeless guys, unable even to pay for shower and laundry and sleeping under a fan in a wooden building with the cockroaches and mosquitos...

[publicduende]

2006 and 2024 = 18 years difference, and I can only comment on what my fosterdaughter + husband are earning in Cebu in 2024, she gets about php 40.000,- monthly from officework in a foreign company (Australia related), he is working in a small bank and gets about 60.000,-, all together about PHP 100.000,- which is about USD 1.700,- together. Both of them were looking around for years to find a regular job with reasonable salary, often with breaks between being jobless for a few months.

His parents have a house in Mactan, and they can also use the house in Mandaue, which I helped to construct in 2007 for my fosterdaughter and her sister.

There is therefore no rent to pay, no loans. Nobody has any debits to repay now. His parents have a car and motorcycle and they have some income too, and all family members can use the car and motorcycle, they are just sharing one car and one motorcycle (and all costs to keep them running) with the husband of my fosterdaughter and also he has a sister using the car sometimes.

Their income of PHP 100.000 approx. USD 1700,- is just OK for average life for them as a couple, as they have no children.

Howver there are bills to pay like income tax and not to forget paying for medical care insurance - Philippines has no good health care system for everybody (not like here in Japan or in Europe) and not to talk about retirement if you are getting old. Pay or die early is the slogan and such bills - some of them quite high and unexpected - are coming in every month. Last taifun ripped a part of the roof away, and again you pay...also one time damages from earthquake...

Now all of them are not poor, but this income is merely enough for an average life, sometimes paying all those bills coming in and a significant part of their income is already gone.

That's quite a bleak picture, you're painting, Maybe your fosterdaughter's family has not been totally honest. In or around Cebu, a combined income of P100,000 for a household with rent paid and no kids, is pretty comfortable!

Not to offend anyone, but last time I heard these kinds of complaints, it was from the typical couples who lived beyond their means and then complained, mainly to foreigners, perhaps to elicit sympathy or pity.

There's only one thing worse than not having any money, and that's not knowing how to spend wisely. Lots of Filipinos like to eat out more than they can afford. They like to throw parties for family and friends for any coinceivable occasion, often with venue rental, catering, decorations etc. Some of them love to fly to the few destinations where getting a visa is not a problem: Singapore, Hong Kong, Malaysia, Thailand, etc.

Then there's the worst thing of all, which most Filipinos do and will never confess to: pouring money on get rich quick schemes, "unmissable opportunities", Ponzi castles, and more. So many people I know squandered entire years worth of savings for the simple reason that they got convinced that "their money could go further" than a basic money market or mutual fund investment. In 101% of the cases, they saw one or two "payments" (coming from their principal) and never saw the rest of the principal, let alone any real profit, again.

PHP 100.000,- (USD 1700,-) is far away from what an expat like I myself 70+ might spend in the Philippines if he is renting a home and takes an merely average looking and not so young Filipina living-in as his girlfriend who owns nothing... minimum I would say is PHP 150.000,- monthly (USD 2600,- minimum) AND if you prefer a comfortable and troublefree life-style like I myself which but is still far away from being luxurious.

I visited Cebu last year (like almost every year) and spent about 14 days there with my Filipina fosterdaughter and other family members, so I have an idea about the life there (rich - medium - poor) - you are facing payments as a foreigner like for private medical bills, for taxi as the public transport is a joke, many places are not clean and not safe for a foreigner, garbage everywhere around and bad streets, so you cannot walk just to everywhere, better stay within safe areas like shopping malls etc., water supply and electricity often fail, keep a generator and water tank in your home - or better live in a large condominium unit where the administration take care of everything, but this is not cheap at all, if you want to stay there permanently and buy your own condo unit.

-----

Of course as a foreign man you can survive in Philippines with much less money than I spend during my visits, but what a life is that with a beer bottle in your hand sitting in front of a sari-sari store all day in your dirty clothes, smoking and talking BS with drug junkies and other homeless guys, unable even to pay for shower and laundry and sleeping under a fan in a wooden building with the cockroaches and mosquitos...

Once again, it depends on what expectation a foreigner has. $1,700 a month, perhaps from a foreign pension or passive income, is plenty for a single foreigner, at least one without family, in good health (so not exposed to unpredictable "health events" that need to be paid at private clinics), and with no expectations of a luxury urban lifestyle.

I don't know about Cebu but in Davao, P30,000 a month pays for a 2 or 3-bedroom bungalow or 2-floor home, with patio or garden. Condo units are usually tourist traps, as no condo administration will guarantee you better electrical and water supply that any housing estate nearby.

[Yohan]

@publicduende

That's quite a bleak picture, you're painting, Maybe your fosterdaughter's family has not been totally honest. In or around Cebu, a combined income of P100,000 for a household with rent paid and no kids, is pretty comfortable!

Not to offend anyone, but last time I heard these kinds of complaints, it was from the typical couples who lived beyond their means and then complained, mainly to foreigners, perhaps to elicit sympathy or pity.

There's only one thing worse than not having any money, and that's not knowing how to spend wisely. Lots of Filipinos like to eat out more than they can afford. They like to throw parties for family and friends for any coinceivable occasion....

-----

Once again, it depends on what expectation a foreigner has. $1,700 a month, perhaps from a foreign pension or passive income, is plenty for a single foreigner, at least one without family, in good health (so not exposed to unpredictable "health events" that need to be paid at private clinics), and with no expectations of a luxury urban lifestyle.

I don't know about Cebu but in Davao, P30,000 a month pays for a 2 or 3-bedroom bungalow or 2-floor home, with patio or garden. Condo units are usually tourist traps, as no condo administration will guarantee you better electrical and water supply that any housing estate nearby.

Nobody of the people I know personally who are next with my Filipina fosterdaughter is complaining about being poor, but an income of php 100.000,- for two is also surely not what I and they would consider to be rich.

PHP 100.000 is on the pay roll for him and her, but there are deductions of income tax, social security, Philcare and they receive nett about for him PHP 50.000,- and for her PHP 34.000 = totally about USD 1.480,- and divided :2 person and :30 days = about php 1400,- per person per day.

Pay something for the last repairing, taifun and earthquake damage, and pay something additionally for healthcare/, and give some money for using the car, pay for water, electricity, internet/phone etc. - so about USD 20,- or so (approx. php 1200,-) per person per day are left for using for herself and for him.


And yes, true, Filipinos always have their family/relatives meetings (in this case in Cebu and Davao) for any reason, like birthdays, somebody died, somebody died 1 year ago, weddings, neighbour - former classmate - gives birth to a child, the list is endless and add gifts for Christmas and Easter...and for sure I missed other so-called party-events

However I can say, nobody I know personally is drinking alcohol, non-smoker, no gambling....Luckily no rent to pay.

-----------------------------------------------

About myself, when I am in Cebu I look around for real estate, to buy how much - not interested really, but I always want to know, what would be my dream-solution retiring in Cebu - for me as a foreigner I want a condominium near a shopping center, hospital, restaurants etc. about 70 to 80 m2, with garage and swimmingpool. (about same what I bought about 20 years ago in Thailand)

Offers I received asking around various real estate brokers were between PHP 11 million and 14 million. Not such a small amount.
Many condo units are of course cheaper but they are very small, not even 25 m2 and this is too small for me and wife.

About own houses, attached or alone, for my Filipina fosterdaughter and husband, what they would like to buy if they had the money, about landsize 120 m2 and 80 m2 house, I have seen myself, it is sold for around PHP 7 million, relatively centrally located. How to save this amount even with an income of PHP 100.000,- and unclear employment contracts? Loans? Where to go if you cannot pay the mortgage? You might be kicked out of your job anytime, foreign company is closing down, banks are reducing staff etc.

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About monthly expenses, I know this depends on the individual, just my opinion. For me and wife USD 1.700,- are not enough in Cebu, as owner of the condo-unit, no rent. How much would be enough? Maybe USD 3000,- or so, about PHP 5000,- to 6000,- per day for both of us totally, approx. PHP 170.000.

Condo units are usually tourist traps, as no condo administration will guarantee you better electrical and water supply that any housing estate nearby.

We always prefer condo units. We are also living in a condominium building in Japan. Much safer if you are not living there all the time - usually no burglary, unlike if you live in a house, which is empty during your absence.

The condominium building in Thailand has a generator, waterpumps and tanks on the roof - and sometimes if electricity or water supply fail, the emergency system will start to work within a few minutes. Also any repairing like roof damage, lights broken, water pipes leaking etc. will be repaired by the administration, also safe parking lot, large swimmingpool, shops and ATM inside the building. Very comfortable.

[publicduende]

Nobody of the people I know personally who are next with my Filipina fosterdaughter is complaining about being poor, but an income of php 100.000,- for two is also surely not what I and they would consider to be rich.

PHP 100.000 is on the pay roll for him and her, but there are deductions of income tax, social security, Philcare and they receive nett about for him PHP 50.000,- and for her PHP 34.000 = totally about USD 1.480,- and divided :2 person and :30 days = about php 1400,- per person per day.

Pay something for the last repairing, taifun and earthquake damage, and pay something additionally for healthcare/, and give some money for using the car, pay for water, electricity, internet/phone etc. - so about USD 20,- or so (approx. php 1200,-) per person per day are left for using for herself and for him.

I don't get it @Yohan. A family of two with rent paid would be able to live comfortably in Italy (albeit not Rome or Milan) with $1,500. Why not the Philippines?

Earthquake and typhoon damage is where home insurance is useful. Unfortunately this is another one of the big limitations of the Filipino mindset: sub-zero risk assessment and management. Most Filipino families think that paying P5,000 a month on a comprehensive insurance plan that could pay out millions in case of a major climate event or accident, is a total waste of cash. Then when disaster strikes, they will have to go through incredible hardship to cough up the sum needed for fixing their homes.

In the end, poverty is not in the absolute amounts of money received, or lack thereof. It's more about ignoring basic economic literacy, where "economy" is intended in the Greek literal sense of oikonomia, household management. Many Filipinos are creative, hard working, ambitious, all qualities that should let make them fly high. Then you see how many of them are held back and drop in the gutter for choices dictated by ignorance, gullibility, and greed. It's not a nice display.

And yes, true, Filipinos always have their family/relatives meetings (in this case in Cebu and Davao) for any reason, like birthdays, somebody died, somebody died 1 year ago, weddings, neighbour - former classmate - gives birth to a child, the list is endless and add gifts for Christmas and Easter...and for sure I missed other so-called party-events

However I can say, nobody I know personally is drinking alcohol, non-smoker, no gambling....Luckily no rent to pay.

These families you know may be virtuous in the sense that they don't drink, smoke or gamble. As I said, sometimes it's more about actively making good financial choices, rather than avoiding bad financial choices.

Filipino society could really do with a massive, MASSIVE does of financial literacy.

About myself, when I am in Cebu I look around for real estate, to buy how much - not interested really, but I always want to know, what would be my dream-solution retiring in Cebu - for me as a foreigner I want a condominium near a shopping center, hospital, restaurants etc. about 70 to 80 m2, with garage and swimmingpool. (about same what I bought about 20 years ago in Thailand)

Offers I received asking around various real estate brokers were between PHP 11 million and 14 million. Not such a small amount.
Many condo units are of course cheaper but they are very small, not even 25 m2 and this is too small for me and wife.

About own houses, attached or alone, for my Filipina fosterdaughter and husband, what they would like to buy if they had the money, about landsize 120 m2 and 80 m2 house, I have seen myself, it is sold for around PHP 7 million, relatively centrally located. How to save this amount even with an income of PHP 100.000,- and unclear employment contracts? Loans? Where to go if you cannot pay the mortgage? You might be kicked out of your job anytime, foreign company is closing down, banks are reducing staff etc.

Yep, P10-15M is the going market rate for a 70-90 sqm in a semi-central estate of Metro Cebu. Most of these condos are pretty basic, they may have amenities like a concierge, a communal function room and a swimming pool. The actual units, though, are rarely built with quality in mind. One thing still baffles me is that several mid and even hi-end condo developments are built with provision for wall-mounted air conditioners. You know, the small ones which are "smashed" into a wall, half in, half out. They might be cheaper than split type air conditioners but they're bloody noisy and less efficient.

At some point an engineer told me why this happens: to have split air conditioner, the building outer walls have to be of a specific thickness and developers prefer to save on those. From then on, I consider lack of split-type aircon as a red flag when assessing the quality of a condo.

About monthly expenses, I know this depends on the individual, just my opinion. For me and wife USD 1.700,- are not enough in Cebu, as owner of the condo-unit, no rent. How much would be enough? Maybe USD 3000,- or so, about PHP 5000,- to 6000,- per day for both of us totally, approx. PHP 170.000.

It all depends on your lifestyle. If you shop at the malls rather than at local markets and supermarkets, your budget will increase. If you or your wife don't like to cook and like to eat out, you will need more. If you want to go for decent meals in restaurants that look cleaner than average and have an ambience to match, you will need even more. If you like imported delicacies from Austria instead of local products, the weight on your budget is much higher than if you bought the same products in Austria.

Many foreigners who come to the Philippines leverage the simple fact that they can extract happiness from things that won't cost them a fortune: picture yourself as ther average American or European 50-yo, begging for pu**y from a 40-something divorced woman, with multiple kids, all of her flappy bits going south. They are still burdened by their work routine, their mortgages, their car payment. Plus they have to treat said 40-something Mrs Saggyjugs to $150 sushi and $100 wine a few times, for the hope of having some sex.

The typical foreigner who lives in the Philippines is happy to live frugally, in a rural house 50 Km from a major town, with a cute and submissive 20-yo who will have sex with them 3 times a day, in exchange of the kind of simple life they can, and will, afford.

[Yohan]

I don't get it @Yohan. A family of two with rent paid would be able to live comfortably in Italy (albeit not Rome or Milan) with $1,500. Why not the Philippines?

Yes, EXCEPT Milano and Rome...

But this is exactly the point I mentioned, also here in Japan the same, in my place where I am living now, retired, you can survive with much less money than in Tokyo or Osaka. However in the area I am living now in Japan there are no jobs for me, luckily I do not depend on income from a job now as I enjoy a good retirement allowance and better to live in a green area with little population than in the crowded expensive Japanese major cities.

If you are a young Filipino and have a reasonable educational background and still have to work for a living and looking for a regular job with good salary in the Philippines you will not move to an island like Camiguin or Catanduanes or to a city in a nowhere area like Nabunturan in Mindanao or Cadiz in Negros.

You will try to move into Manila or Cebu. Of course a good living within these cities it is more expensive there.

The typical foreigner who lives in the Philippines is happy to live frugally, in a rural house 50 Km from a major town, with a cute and submissive 20-yo who will have sex with them 3 times a day, in exchange of the kind of simple life they can, and will, afford.

Such foreigners are not so young anymore, often living out of a minimum retirement allowance, have no idea how to pay their medical bills and are smoking the cheapest cigarettes they can find - however they need not to work for a living, therefore they can afford to live somewhere in a cheap nobody place - but to be honest, this is not my life-style. I am also sceptical if this really works out for every Western male foreigner in Philippines.

I have seen such Western foreigners with my own eyes in Cebu and around. The really reasonable foreigners I met in Cebu were staying in the hotels, they rent a room for one month with their Filipina wife (usually not a 20 y/o submissive beauty) and clearly say they will go back to their own country and continue there to work, return flight already fix booked. Holidays OK, but to stay in Philippines and look for a job - no way.

[yick]

It depends on your lifestyle habits, if you're drinking and smoking, not eating healthily, losing money to girlfriends and loaning out cash to people and getting involved in 'get rich quick' schemes, you have to be careful but if you are then your money should last. Unfortunately, the difference between rural western world and rural Philippines (I should imagine...) is that there you are seen as the golden f***ing goose! I suppose if you live in a condo in a reasonably big city then you're just going to slink into the furniture. I doubt anyone would bother you if you keep yourself to yourself.

I always fancied the Philippines if I didn't have citizenship already of a Latin American country but if I didn't then I would take extra care with what I ate, drank, exercise and keeping as healthy as possible - a lot of expat old timers don't do that - in fact they do the opposite - you see them in Thailand - every day is beer o'clock - a pint in the sun sounds good to a lot of retired Brits and especially at those prices but you're going to see your maker sooner than you might want to.

[Yohan]

@publicduende

I don't get it @Yohan. A family of two with rent paid would be able to live comfortably in Italy (albeit not Rome or Milan) with $1,500. Why not the Philippines?

Maybe interesting to look a bit more into Italy and USD 1.500,-

I have not been in Italy since very long time, 50 years or so, I cannot comment about Italy, the neighbour of my native Austria.
I also have not been in Austria or elsewhere in Europe since more than 30 years.

I was surprised to see in some international homepages/statistics, Italy is considered to be the no. 4 cheapest country in EU.

I have still some contacts with Austria and some friends there and I cannot say the same about Austria... Cheap, no way!
After Switzerland, Norway, Iceland and Denmark, the next one on the list of the most expensive European countries is Austria.
BTW, prices are mentioned below in Euro, not in USD.

I can confirm that the below figure of Euro 2.700 (approx. USD 2.900.-) for a couple is very realistic in Austria, a bit lower in Eastern Austria (except Vienna the capital), a bit higher in Western Austria (Salzburg, Innsbruck).

https://housinganywhere.com/Austria/cos ... ng-austria

Average monthly cost of living in Austria

The average monthly living cost for one person in Austria is roughly €1,584, but it varies depending on location, lifestyle, and type of housing. Couples can anticipate monthly expenses of approximately €2,700, while a family of 4 would typically have total monthly living costs of around €4,400.

Austria is not a cheap place to live in. The cost of living in Austria is higher than the global average, with expenses like housing and utilities contributing to this higher cost.

[publicduende]

But this is exactly the point I mentioned, also here in Japan the same, in my place where I am living now, retired, you can survive with much less money than in Tokyo or Osaka. However in the area I am living now in Japan there are no jobs for me, luckily I do not depend on income from a job now as I enjoy a good retirement allowance and better to live in a green area with little population than in the crowded expensive Japanese major cities.

If you are a young Filipino and have a reasonable educational background and still have to work for a living and looking for a regular job with good salary in the Philippines you will not move to an island like Camiguin or Catanduanes or to a city in a nowhere area like Nabunturan in Mindanao or Cadiz in Negros.

You will try to move into Manila or Cebu. Of course a good living within these cities it is more expensive there.

Well, I agree with you. I was referring specifically to Cebu, when I said P100,000 a month without having to pay the rent, is stil a pretty good budget for a childless couple.

To reiterate, the target of my criticism was the typical Filipino mentality, which leads them to live beyond their means. Kind of like what happens in the US, with the difference that US have credit card debt to fall back on, while Filipinos need to resort to "asking for loans" from family and friends.

That's why I have become utterly cynical and deaf at the lament of "borrowing". If someone is asking P5,000 to pay for his Granddad's hospital expenses, it's because they weren't able to save that money. Why? Yes, sometimes it's because their modest paychecks only allows them to live month by month (like many Westerners, nowadays!). More often than not, it's because they "forgot" to save for such rainy days, and they couldn't be bothered to pay for an insurance plan.

Such foreigners are not so young anymore, often living out of a minimum retirement allowance, have no idea how to pay their medical bills and are smoking the cheapest cigarettes they can find - however they need not to work for a living, therefore they can afford to live somewhere in a cheap nobody place - but to be honest, this is not my life-style. I am also sceptical if this really works out for every Western male foreigner in Philippines.

I have seen such Western foreigners with my own eyes in Cebu and around. The really reasonable foreigners I met in Cebu were staying in the hotels, they rent a room for one month with their Filipina wife (usually not a 20 y/o submissive beauty) and clearly say they will go back to their own country and continue there to work, return flight already fix booked. Holidays OK, but to stay in Philippines and look for a job - no way.

There are quite a few of these retirees on a cheap lifestyle living around Davao, where by "around" I mean 1 hour's drive from the city proper. I think some of them might be on some healthier pensions, like US firemen (probably around $5,000/month). Some others have European state pensions, which are a lot lower, around $1,000 to $2,000. Judging from what they say, they don't seem to complain that much. They even havbe enough saved for the occasional medical emergency.

And yes, I was exaggerating when I said they have 20-yo girls with them. Some of the ones I met had their gfs of wives with them and many were in their 30s or even 40s. Yet, they all seemed to be settled in their new rural routine.

I agree with you, that not everyone is blessed with a perpetual passive income (like a pension or a disability payment). It's also true that it's not easy, for a foreigner without signficant capital to invest, to make money here in the Philippines. We foreigners are barred from virtually all public service jobs. Building a company from scratch requires a lot of thought, high capital and low expectation. The BPO industry still works well, as it's arbitraging on FIlipinos paid less thamn $1,000 a month to provide services to first world countries. Yet, to build a BPO you need to sign up with clients beforehand and for multiple years, so a bank may be convinced to give you a credit line to build the business.

Some foreigners married to a FIlipina go for much smaller endeavours: a restaurant usually, or a small specialty shop (e.g. diving and surfing equipment), a small resort if they have a bit more capital. Filipinos are not rich, the only way to create a sustainable business is to cater for the masa (mass), so food and beverages, grocery and cheap entertainment.

[publicduende]

Maybe interesting to look a bit more into Italy and USD 1.500,-

I have not been in Italy since very long time, 50 years or so, I cannot comment about Italy, the neighbour of my native Austria.
I also have not been in Austria or elsewhere in Europe since more than 30 years.

I was surprised to see in some international homepages/statistics, Italy is considered to be the no. 4 cheapest country in EU.

I guess one of the good things about Italy is how decentralised businesses are. Areas completely devoid of large manufacturing plants, or a network of small yet profitable SMEs, are really rare. Even the territory around Bari, my hometown, which is definitely not expensive to live in, has a lively manufacturing district, initially mechanical and chemical, then automotive, aerospace, etc.

Highly qualified Italians, like mechanical engineers and computer scientists, used to migrate to Milan, Rome or even go abroad in the hope of a decent living. Recently, skyrocketing cost of living in Milan and other foreign capital is compelling quite a few of them to be back to Italy. Some of these people realise that 3,000 EUR net per month (with 30 days paid holidays and 13th, sometimes 14th salary) goes quite a bit further than 5,000 GBP in London, where they need to pay 30,000 GBP a year to send one kid to a private school where they can actually learn something.

I have still some contacts with Austria and some friends there and I cannot say the same about Austria... Cheap, no way!
After Switzerland, Norway, Iceland and Denmark, the next one on the list of the most expensive European countries is Austria.
BTW, prices are mentioned below in Euro, not in USD.

I can confirm that the below figure of Euro 2.700 (approx. USD 2.900.-) for a couple is very realistic in Austria, a bit lower in Eastern Austria (except Vienna the capital), a bit higher in Western Austria (Salzburg, Innsbruck).

2,700 EUR for a couple without kids and a mortgage is very comfortable anywhere in Italy. Mortgage payments can be a nightmare. Fortunately, in Italy parents tend to help their kids with a house deposit, to they have it (comparably) easier when it comes to buying their first home.

I am in touch with plenty of my friend and former colleagues who have already left, or thinking of leaving the UK, because the cost of living is too high and what they make, even with very qualified jobs, isn't enough to offset the misery of living in a place with constant bad weather, with no sense of community and solidarity, where even tweeting basic biological facts can get you a criminal record.

And that, of course, is even before we begin talking about the ladies