Cost of Living in Saudi Arabia: Can OFWs Save More Here?
For many Overseas Filipino Workers (OFWs), working in Saudi Arabia represents an opportunity not just to earn, but to save and build a better future. But with rising expenses, remittances, housing costs, food, transport, and daily needs — the big question remains:
Cost Of Living in Saudi Arabia
Can OFWs really save more while living in Saudi Arabia?
In this blog, we break down the real cost of living in the Kingdom, what affects your expenses, practical tips to save more, and how you can live comfortably without sacrificing your financial goals.
Understanding the Cost of Living in Saudi Arabia
Saudi Arabia is one of the most popular destinations for Filipino workers because of its tax‑free income, relatively affordable essentials compared to some Western countries, and a strong job market. But expenses can vary widely depending on where you live, your lifestyle, and how you manage your money.
Here’s a closer look at typical living costs for OFWs:
1. Housing and Accommodation
Housing is usually your biggest monthly expense.
- Shared Apartments: Many OFWs opt for shared rooms or flats in Dammam, Riyadh, or Jeddah. Prices can range from SAR 800 to SAR 1,500/month depending on location and facilities.
- Single Apartments: If you prefer your own space, rents can go from SAR 1,800 to SAR 3,000/month or higher in city centers.
- Utilities: Electricity, water, and internet can average SAR 300–700/month.
💡 Tip: Living slightly outside prime city centers often reduces rent significantly. Sharing with kabayan roommates can reduce your living cost by half.
2. Food and Groceries
Food is another major part of your budget.
- Eating Out: A meal at a local restaurant might cost SAR 10–25, while mid‑range restaurants may charge SAR 30–60 per person.
- Groceries: Weekly groceries for one person usually cost around SAR 150–300, depending on your eating habits.
Buying in bulk, shooting for local markets, and cooking at home can drastically cut down your food expenses.
3. Transportation Costs
Your transportation needs also affect how much you spend monthly:
- Public Transportation: In cities with metro or buses, keep costs minimal. Not all cities have comprehensive public transport yet.
- Taxi & Ride Hailing: Occasional Grab or taxi rides can cost SAR 10–50 for short distances.
- Car Ownership: Fuel in Saudi Arabia is cheaper than in many countries, but you’ll still pay for insurance and maintenance.
💡 Smart Move: Use ride‑hailing apps with promo credits, plan errands together, and walk short distances when possible.
4. Healthcare and Insurance
Healthcare costs vary depending on your employer’s policy. Most employment contracts in Saudi Arabia include medical coverage, but if you need prescriptions or private services, having savings or additional coverage helps.
5. Communication and Internet
- Mobile Plans: Around SAR 30–100/month depending on data and voice minutes.
- Home Internet: Typically SAR 200–300/month.
Choosing plans that match your actual usage avoids wasted expenses.
Can OFWs Save More in Saudi Arabia?
The short answer: Yes — but it depends on your lifestyle, spending habits, and financial planning.
Here’s how it breaks down:
Tax‑Free Income — A Big Advantage
Saudi Arabia currently does not impose personal income tax on salaries. This means your take‑home pay is your real income — not much disappearing due to tax deductions like in many Western countries. This gives you a strong base for savings.
Remittance Opportunities
Many OFWs regularly send money home. With careful planning and using low‑fee remittance services, you can ensure more of your earnings reach your family and savings account in the Philippines.
Apps and services like Wise, Remitly, Western Union, and bank remittances each offer different rates — comparing them often results in savings.
Living Below Your Means
The biggest determining factor in how much you save is your lifestyle:
✔ Cook more at home
✔ Share accommodation
✔ Avoid impulse spending
✔ Track your monthly budget
✔ Prioritize savings before expenses
For example, if your monthly salary is SAR 4,000, and you keep your total monthly cost below SAR 2,500 — you can save a significant portion of your income.
Money‑Saving Tips for OFWs in Saudi Arabia
Here are practical strategies to help OFWs save more:
1. Use a Budget Planner
Track your income vs. expenses weekly or monthly. A simple spreadsheet or mobile budgeting app can help you see where your money goes.
2. Choose Affordable Remittance Services
Compare fees and exchange rates between services. Small differences in FX rates add up over time.
3. Cook at Home and Shop Bulk
Eating out frequently adds up. Buying groceries in bulk and cooking at home will dramatically lower your food costs.
4. Share Housing
Sharing rent, utilities, and even groceries with fellow kabayans reduces overall costs.
5. Stay Updated on Promotions
Look for promos on transportation, online shopping, mobile plans, and utilities. Being aware of deals helps you save a few riyals here and there.
Real OFW Savings Story
Take the example of Jonas, an OFW in Dammam:
“When I first came, I spent SAR 2,000 on food and rent combined. Once I started cooking at home and sharing a flat, my expenses dropped to SAR 1,300. Now, I save nearly half my monthly salary.”
Stories like this aren’t rare — they show that disciplined financial choices make a big difference.
Conclusion: Can OFWs Save More in Saudi Arabia?
Absolutely — but it requires planning and discipline.
Saudi Arabia gives you the advantage of tax‑free income, relatively affordable utilities, and access to diverse lifestyle options. But the real key to saving is how you manage your money:
- Track your spending each month
- Reduce unnecessary costs
- Choose smart remittance options
- Live below your means
By doing these, you’ll not only earn in Saudi but grow your savings and secure your future.
Want more tips on living and saving smart as an OFW in Saudi Arabia? Visit PinoyTalks.com — your community for guides, discussions, and real experiences from kabayans just like you!
💬 Share your saving strategies with others in the comments section at PinoyTalks!
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