City Comparison · Updated May 2026
Australia
COL index 82.4
Japan
COL index 72.4
Sydney vs Tokyo — Cost of Living, Salary & Tax Compared (2026)
The verdict
Living in Tokyo is 12.1% cheaper than Sydney for the same lifestyle.
Based on Q1 2026 COL index and median single-person expenditure.
Side-by-side stats
| Sydney | Metric | Tokyo | Δ |
|---|---|---|---|
| 82.4 | Cost of living index | 72.4 | -12.1% |
| €50,000 | Median gross salary | €50,000 | 0.0% |
| €43,283 | Net at €50,000 gross | €43,154 | -0.3% |
| €2,480 | Rent — 1BR centre | €1,780 | -28.2% |
| €3,421 | Monthly COL (single) | €2,595 | -24.1% |
| €52,528 | PPP — net / COL | €59,605 | +13.5% |
| 13.4% | Effective tax @ €50,000 | 13.7% | +1.9% |
Monthly expenses — paired
Salary equivalence
€50,000 gross in Australia = €3,607 net monthly.
To have the same purchasing power in Tokyo, you would need roughly €44,063 gross in Japan (≈ €3,169 net monthly, adjusted for cost-of-living index).
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Pros & cons
- −High cost of living (index 82)
- +Favourable tax rate (13.4%)
- −High rent-to-income ratio (68.8%)
- +Significantly cheaper rent (€1,780)
- +Favourable tax rate (13.7%)
- −High rent-to-income ratio (49.5%)
The verdict
Across the data, Sydney delivers a higher take-home on a €50,000 gross salary; Tokyo carries a lower cost-of-living index; Sydney has the lighter effective tax burden; Tokyo wins on purchasing power after costs are netted out. If purchasing power is your north star, Tokyo edges it.
Frequently asked
Is Sydney cheaper than Tokyo?+
Tokyo is cheaper. Cost-of-living index: Sydney 82.4, Tokyo 72.4 — a 12.1% difference (Q1 2026).
What is the cost of living difference between Sydney and Tokyo?+
Sydney sits at 82.4 on our COL index, Tokyo at 72.4. That works out to roughly 12.1% — Tokyo being the cheaper of the two.
Is Sydney a good place to live compared to Tokyo?+
It depends on priorities. Sydney delivers €43,283 net on a €50,000 gross salary at a 13.4% effective tax rate. Tokyo delivers €43,154 at 13.7%. Centre 1-bed rent: €2,480 vs €1,780.
How do salaries compare in Sydney vs Tokyo?+
On a €50,000 gross salary, take-home is €43,283/year (€3,607/month) in Sydney and €43,154/year (€3,596/month) in Tokyo.
Which city has lower taxes, Sydney or Tokyo?+
Australia has the lower effective rate at €50,000: Australia 13.4%, Japan 13.7%.