Daniel Johnson, of London's Evening Standard, wrote an article about how hard it is to live in one of the world's most costly cities, even if you are making $US175,000 a year. I used to live in London, and it was crazy expensive. Want an example? When my now-husband and I went to Pizza Express, a cheap chain restaurant, the total bill was $US50 for a large cheese pizza and two glasses of wine (and tip). Insane.
Daniel offers tips on how to save money:
"Foreign holidays are the next major item - not a necessity, of
course, but given the stresses of city life we can hardly be surprised
that London families want to spend some time together in the sun.
My family never spends as much as £5,000 a year, but then we
don't usually go abroad. If we do, we negotiate a home exchange. Other
families, however, report that a week in a midranking resort for a
family of four in summer can cost £5,000 - and more in winter. More
than £10,000 a year on holidays is not uncommon."
But the costs of living are high too in the US, and we personally would not have been able to go to Europe at all if we didn't exchange through Intervac. Because we didn't stay in hotels, cooked some meals ourselves and didn't rent a car during our 2 week trip to Ireland, we saved at least $6,000.