Cost of Living in Bangalore in 2024 | How much Salary is Enough? Most Expensive City?

The Code Skool

30 Mar 202411:36

Summary

TLDRThe video script discusses the rising cost of living in Bangalore, India, over the past five years, especially for software engineers. It explores various expenses, including housing, food, transportation, and miscellaneous costs, to calculate the minimum and average monthly salary required for survival. The narrator shares personal experiences and provides insights into saving money while maintaining a comfortable lifestyle in Bangalore.

Takeaways

💸 The speaker's monthly expenses in Bangalore have increased by at least 30% over the past year due to inflation.
🏙️ Bangalore is considered one of the most expensive cities in India, especially due to its large population of well-paid software engineers.
🏠 Rent is a major component of monthly expenses, with the speaker's current rent being ₹25,000 for a fully furnished 3BHK flat.
🔑 Security deposits in Bangalore are generally high, often 5 to 6 months of rent, making housing expensive upfront.
🍲 Hiring a cook costs around ₹2,500 per month, covering breakfast, lunch, and dinner.
🍽️ On Sundays, the cook typically takes the day off, so many people order food through services like Swiggy, costing an additional ₹1,000-2,000 per month.
🥘 Monthly grocery expenses for home-cooked meals range around ₹2,000, depending on dietary preferences.
🚗 Commuting to work can cost approximately ₹3,000 to ₹3,500 monthly, depending on transportation mode (auto, cab, or personal vehicle).
💡 Basic utilities like Wi-Fi and electricity add another ₹1,200-1,500 monthly to expenses.
🛍️ Miscellaneous expenses like gym, haircuts, phone recharge, and shopping can range from ₹1,500 to ₹2,000 monthly.

Q & A

What has been the increase in the speaker's monthly expenses in Bangalore over the past 5 years?
-The speaker's monthly expenses have increased from 17,000 to 25,000, indicating a significant rise in living costs.
What is the average rent for a fully furnished room in Bangalore, according to the speaker?
-The average rent for a fully furnished room in Bangalore is around 15,000 to 25,000, depending on the location and facilities.
What is the speaker's current monthly rent for their room in Bangalore?
-The speaker is currently paying 25,000 per month for their room, which is a 3 BHK flat.
What is the minimum and average security deposit typically required when renting in Bangalore?
-The minimum security deposit for renting in Bangalore can be as low as 5,000 to 6,000, while the average is around 75,000, which is five times the monthly rent.
How much does the speaker spend on food per month, including cooking at home and eating out?
-The speaker spends around 2,500 for home-cooked meals and an additional 500 for eating out on Sundays, totaling approximately 3,000 per month.
What is the estimated monthly expense for groceries and cooking supplies for the speaker's household?
-The speaker estimates that the monthly expense for groceries and cooking supplies is around 2,000 for an average household.
What is the speaker's monthly expense on transportation to and from work?
-The speaker's monthly transportation expense is around 3,000, assuming a daily commute cost of 150 for 20 working days.
What additional costs are associated with living in a PG (Paying Guest) accommodation in Bangalore, according to the speaker?
-In addition to rent, living in a PG in Bangalore may involve additional costs such as food, utilities, and sometimes a security deposit.
How does the speaker manage to balance work and leisure activities in Bangalore?
-The speaker balances work and leisure by occasionally going out with friends, exploring the city, and managing their expenses wisely.
What is the speaker's advice for someone looking to save money while living in Bangalore?
-The speaker suggests saving money by inviting friends over for meals, ordering food, and enjoying entertainment at home rather than going out frequently.
What is the estimated minimum annual expense for a single person living in Bangalore, as per the speaker's calculations?
-The estimated minimum annual expense for a single person living in Bangalore is around 2 lakhs, based on the speaker's calculations.

Outlines

00:00

🏙️ Rising Cost of Living in Bangalore

The speaker discusses the rising expenses in Bangalore since moving there five years ago. The city’s inflation has outpaced other Indian cities due to its perception as a hub for high-earning software engineers. Rent prices, one of the major components of monthly expenses, have significantly increased. For example, the rent of the speaker's 3BHK fully furnished flat rose from ₹17,000 to ₹25,000 in just a year. Rent in Bangalore can range from ₹5,000 in shared accommodations like PGs to ₹25,000 for single rooms, with security deposits often being 5 to 6 months' rent, unlike other cities where only one or two months' rent is required.

05:00

🍽️ Food and Grocery Costs in Bangalore

The speaker details the cost of food, including hiring a cook, who charges around ₹2,500 per person for three meals a day. However, most cooks in Bangalore take Sundays off, which requires ordering food through delivery apps like Swiggy or dining out, adding an additional ₹1,000 to ₹1,200 monthly. Groceries cost around ₹2,000 per month, and the speaker also notes incidental expenses for snacks or tea during work breaks, which amount to ₹1,500. Additionally, the cost of cooking gas is around ₹400-500 per person monthly.

10:02

🏠 Household Maintenance and Transportation Costs

Household cleaning costs around ₹3,000 for a maid to clean the house and wash dishes, split among roommates. Transportation to work can cost around ₹150 daily via auto or cab, amounting to ₹3,000 monthly for 20 workdays. Owning a scooter can reduce commuting costs. Weekend outings, including casual activities or dates, add another ₹2,000 monthly. Renting furniture is also an optional expense depending on the apartment’s furnishing level.

💻 Utility Bills and Miscellaneous Expenses

Internet costs around ₹1,000 to ₹1,200 monthly, shared among housemates, while electricity bills typically cost around ₹500-600 per person due to the limited need for air conditioning. Miscellaneous expenses like haircuts, gym memberships, medicine, and phone recharges add about ₹1,500 monthly. The speaker summarizes that surviving in Bangalore depends on lifestyle choices, with monthly expenses varying between ₹17,000 and ₹40,000 or more, depending on personal spending habits.

Mindmap

Keywords

💡Bangalore

Bangalore, officially known as Bengaluru, is a city in India and the video's main setting. It is often referred to as the 'Silicon Valley of India' due to its technology industry. In the script, Bangalore is discussed as a place where software engineers live and work, and the video explores the cost of living and expenses one might incur while residing there.

💡Inflation

Inflation refers to the rate at which the general level of prices for goods and services is rising, and subsequently, the purchasing power of currency is falling. In the context of the video, the speaker mentions that their expenses in Bangalore have increased over the past five years, illustrating the impact of inflation on daily life.

💡Software Engineers

Software Engineers are professionals who apply the principles of software engineering to design, develop, maintain, test, and evaluate software systems. The video script implies that Bangalore is a hub for software engineers, suggesting that the city offers ample job opportunities in the tech industry and that the cost of living is partly influenced by the presence of this workforce.

💡Rent

Rent is the money paid periodically for the use of a property or land. The video script discusses rent as a significant component of monthly expenses in Bangalore, with the speaker sharing their personal rent increase over time and providing a range of rent prices for different types of accommodations.

💡Security Deposit

A security deposit is an amount of money required by a landlord from a tenant to cover the cost of any potential damages to the rental property. In the script, the speaker mentions having to pay a security deposit of 1 lakh for their room, highlighting it as a substantial upfront cost in addition to the monthly rent.

💡Food Expenses

Food expenses refer to the costs associated with obtaining food, either by purchasing ingredients to cook at home or by eating out. The video script delves into the various food expenses one might face in Bangalore, including cooking at home, eating out on weekends, and the cultural practice of cooks taking a day off on Sundays.

💡Salary

Salary refers to the fixed regular payment made by an employer to an employee. The video discusses the salaries of software engineers in Bangalore, suggesting that high salaries in the tech industry can influence the overall cost of living and affordability in the city.

💡Survival Costs

Survival costs are the minimum expenses required to live in a certain area. The video aims to calculate the minimum amount needed to survive in Bangalore, taking into account rent, food, transportation, and other basic necessities.

💡Transportation

Transportation refers to the movement of people or goods from one place to another. In the script, transportation costs are considered as part of the expenses for living in Bangalore, with the speaker discussing the costs of commuting to work via auto-rickshaws or personal vehicles.

💡Utilities

Utilities refer to the essential services such as water, electricity, and gas that are provided to households. The video script includes utilities as part of the monthly expenses, with the speaker estimating costs for electricity bills and mentioning the need for gas cylinders for cooking.

💡Miscellaneous Expenses

Miscellaneous expenses are minor or incidental expenses that do not fit into the major categories of spending. In the video, the speaker accounts for miscellaneous expenses such as haircuts, gym memberships, laundry, and phone recharges, which, although small individually, contribute to the overall cost of living.

Highlights

The speaker moved to Bangalore five years ago and has observed a significant increase in living expenses, particularly in rent, which has risen to 30% at Atalith 30.

Bangalore is becoming increasingly expensive, with the cost of living surpassing many other Indian cities, due to the perception that software engineers earn high salaries.

Some people argue that they cannot afford to move out because their companies do not offer remote work options.

The speaker discusses the necessity of understanding the minimum annual salary required to survive in Bangalore, considering various expenses.

The average cost of a fully furnished room in Bangalore has increased, with the speaker's rent rising from 17,000 to 25,000 per month.

For a furnished flat, one can expect to pay around 15,000, but the speaker's room is more expensive due to its proximity to tech parks and offices.

The speaker mentions that the security deposit for a room or flat in Bangalore is typically high, often ranging from five to six months' rent.

Cooking at home is a cost-effective option, with the speaker's cook charging 2,500 per person for three meals a day.

Eating out on Sundays can be expensive, with the speaker estimating a minimum of 1,000 to 1,200 per month for weekend meals.

Groceries for cooking at home can cost around 2,000 per month on average, with the speaker suggesting this as a minimum.

The speaker discusses the additional costs of gas cylinders, which are necessary for cooking and can range from 1,300 to 1,400 per cylinder.

Hiring a maid for cleaning can cost around 3,000 per month, which the speaker considers an average expense.

Transportation to work is another expense, with the speaker suggesting a minimum of 70 to 80 per day if using a cab or auto.

The speaker calculates that the average weekly cost for weekend outings, including food and entertainment, is around 500.

To survive in Bangalore on a software engineer's salary, the speaker estimates that one could need around 17,000 per month, which amounts to approximately 2 lakhs per year.

The speaker emphasizes that the actual expenses can vary greatly depending on an individual's lifestyle choices and preferences.

The video concludes with the speaker encouraging viewers to share their monthly expenses in the comments for a more accurate understanding of living costs in Bangalore.