Perhaps you’re familiar with the Oscar Wilde quote that “a cynic is a man who knows the price of everything and the value of nothing.” A witticism, yes, but prices are an important part of expat life, just as they are for any retiree or those still working. How many friends and family do you know who are furiously running on the career hamster-wheel, trying to make enough to pay-off college loans, provide quality daycare, and save for retirement, while simultaneously maintaining a standard of life driven by society’s dictates?
Those costs show up in real terms as prices. So I decided to list some of the prices we face as expats today at lakeside, using an approximation of the dollar-peso exchange rate (actually 19.4 MXP per 1 USD, but we’ll round to 20 to simplify the math). Some of these costs are a little higher, based on our personal preferences: for example, I could get a haircut at a local barber for 100 pesos ($5 USD), but I choose to go to a salon. I won’t add tips, as that is a whole ‘nother story.
Here goes:
Weekly newspaper in English: 20 MXP, 1 USD.
Haircut at a salon, with wash and scalp massage: 200 MXP, 10 USD
Basket of fresh fruit/vegetables at market: 140 MXP, 7 USD
Mexican landline (w/internet), monthly: 390 MXP, 19 USD
Electric bill, monthly average: 1000 MXP, 50 USD
Lunch for two, Italian restaurant, with wine: 300 MXP, 15 USD
Repair concrete and stone work on driveway: 400 MXP, 20 USD
Two movie tickets (first run, English): 100 MXP, 5 USD
Dinner for two, Thai: 600 MXP, 30 USD
Property tax, annual: 2,600 MXP, 130 USD
Maid, three hours weekly: 165 MXP, 8 USD
Gardener, 1.5 hour biweekly: 165 MXP, 8 USD
Monthly private club fees (pool, restaurant/bar, guest rooms): 2000 MXP, 100 USD
HOA, quarterly: 3,542 MXP, 173 USD
80 minute sports massage at spa: 750 MXP, 37 USD
Water bill, monthly: 272 MXP, 18 USD
Gas fill-up with Premium (17 gallons): 1100 MXP, 55 USD
Concrete/stone driveway repair: 400 MXP, 20 USD
Gym membership (annual): 5000 MXP, 250 USD
Tequila, 1 liter: 265 MXP, 13 USD
Whole milk, 1.8 liter: 29 MXP, 1.50 USD
Coca cola, 1.75 liter: 21 MXP, 1 USD.
Pedicure: 250 MXP, 12 USD
Taxi ride to the airport (30 miles): 400 MXP, 20 USD
Doctor’s visit: 400 MXP, 20 USD
Dinner out (2 entrees, 1 app, two cocktails, 2 wines): 565 MXP, 29 USD
Bus fare: 8 MXP, .4 USD
We don’t really buy clothes here, only because most Mexicans are so much smaller than us (we’re tall for Americans) that nothing fits: shoes are an impossibility! That will change, as I increasingly see younger Mexicans–especially muchachos–topping six feet in height. Likewise, electronic devices in general are more expensive here, but the Mexican peso has lost so much value (it was 14 MXP-1 USD when we bought our home) that such items are now competitively priced with the US.
Not the price of everything, mind you, but a useful survey and a brief explanation of how it is possible to retire–even early–when your costs in retirement are so low. Expat friends, feel free to add items you think are relevant in the comments, and others, ask if there is something specific you would like to know the price!
Good one. BTW you got the bus fare off by a little bit. $ 4 vs .40,
Ooops! So is the fare 80 pesos? I admit I still haven’t taken the bus.
Thanks, Pat. Nice comparison. Generally lower than the US, but you pointed out the few areas otherwise. How are healthcare costs for major issues/hospitalizations? Do you still carry any US insurance(like from the Feds). It is recognized in MX?
Thanks, Jim! Dental care is about 10-30% of costs in the US, and the care is excellent. Our dentist has a 3D printer for crowns, which are done in a single visit. Hospital costs are generally about 50% (or less) of the States. Most of this care is first class, although I have run into a few very friendly-but-less-competent primary care doctors here. It is just a matter of due diligence as a healthcare consumer. Many expats simply pay-as-you-go for medical care here. We are exceptionally blest: I switched to the Foreign Service Benefit Plan before retiring, and they are expert at covering overseas clients: simply e-mail them the bill and they do the rest, and everything is in network.
What private club do you belong to and is the pool year round? Thx, David
David, we’re members of the La Reserva Club slightly west of Ajijic. The pool is outdoors and unheated, but with the weather here we access it year round. I attached their website here: http://lareservaajijic.com/