It is common for cost of living to be estimated using a basket of goods that represent a range of needs associated with a particular lifestyle. For example, the term is often applied to the cost of replicating an American or European lifestyle in a foreign city. As such, estimates of cost of living vary widely as they are typically culture centric.
Clothing and shoes
Haircuts and beauty services
Hobbies and activities
Mandatory fees and contributions such as pension dues
Personal care products and services
Sports and recreation
Technology devices and services
|Overview: Cost Of Living|
Human Resource Management
The cost of maintaining a particular lifestyle by city.
An employee uses cost of living statistics in salary negotiations when considering a position in a more expensive city than her current location.A company gives employees a cost of living allowance when relocating them overseas to compensate for extra costs.