Australia is one of the top destinations to study overseas, and Melbourne is a popular choice for international students. With world-class universities such as the University of Melbourne, RMIT University, and Monash University, it is no wonder that Melbourne is the 5th best student city in the world, according to QS rankings. 

For international students however, cost of living might be an issue since Melbourne is the 2nd most expensive city in Australia to live in. Finding out the cost of living as a student in Melbourne will help you plan your expenses and stretch your dollar accordingly while letting you enjoy what the city can offer.

Average Cost of Living for Melbourne Students

The Australian Government suggests international students set aside at least AU$29,710 annually for expenses as a rule of thumb. This amount will change depending on your lifestyle preferences, such as:

1. Accommodation 🏡

Your choice of residence type and its location will impact your rental cost. For example, choosing to live in the city is more expensive than the suburbs, but you’ll enjoy the convenience of being close to your university and other amenities. According to the Australian Department of Families, Fairness and Housing, the median weekly rent in Melbourne is about AU$560.

To stretch your budget, consider purpose-built student accommodation like Dwell. In addition to rent being affordable, the rooms come furnished as well. You will also enjoy extra perks such as unlimited Wi-Fi, gym, communal kitchens and even 24/7 security.

2. Transportation 🚋

Melbourne is relatively well-connected by a network of trains, trams and buses. If you need to take public transport often, you will want to get a myki Pass, which is valid for 7 days, or between 28 and 365 days. In addition, full time students get to enjoy concession rates, which is 50% of the full fare.

Otherwise, if you stay near the city center or near your university, you can get around easily by walking or taking a bike. E-bike rentals are widely available in Melbourne if you don’t want to buy your own bicycle. 

Pro tip: If your school timetable only requires you to be on campus only a few days each week, you can also purchase a prepaid myki card to reduce spending on transport. 

3. Food 🍔

Melbourne has a vibrant dining scene, offering a wide range of food options at different prices. You can easily get a delicious and filling meal from as low as $11. You can further lower your food expenses by cooking your meals!

Dwell Village Melbourne City is located near Queen Victoria Market, where you can do your grocery shopping. If you’re planning on cooking your own meals, visit Queen Victoria Market nearer to the end of business, as some stores might give discounts on their fresh food. Dwell also hosts free food events from time to time featuring international cuisines, which helps you further cut down on food expenses.

Some apartments in Dwell have a kitchenette for you to do some light cooking. There is also a communal kitchen if you want to cook together with your friends and split the grocery cost among everyone, while enjoying a wider variety of dishes! 

4. Insurance 📂

All international students are required to have an Overseas Student Health Cover during their stay in Australia. This ensures you are well-taken care of when you are sick or injured while studying in Australia. Such insurance may cost between a few hundred to several thousand dollars each year.

5. Utilities 📱

If you’re not staying in a purpose-built student accommodation or university residence, you will most likely have to pay for utilities as well. Depending on usage, you will have to pay for necessities such as electricity, gas, water and Wi-fi. 

You will also need a mobile phone plan from an Australian carrier, which will be monthly to you. Otherwise, you can opt for a prepaid plan, which is more economical but limits your mobile phone usage. 

6. Other lifestyle expenses 💳

During your stay in Melbourne, you will incur miscellaneous expenses, such entertainment, laundry, personal care, and study material. How much you need will largely depend on your spending habits. To save money on these, look for shops offering student discounts, which are mostly year-round. 

You can visit Study Australia’s cost of living calculator to have get a better estimate of your expenses while studying in Australia. 

By planning your budget properly, you can make the most of your student life in Melbourne, while living within your means. To offset living expenses, most international students take up part time jobs near university or their residence, which you can also do once you’ve settled down in Melbourne.