Cost of Living & Salary Comparison 2026
Yes, Phnom Penh is 35% cheaper than Madrid based on our cost of living index. Phnom Penh has a COLI of 24.8, while Madrid has a COLI of 38.0. 35% cheaper
Overall, Phnom Penh is approximately 35% cheaper than Madrid based on our cost of living index. Madrid has a COLI of 38.0 (ranked #69 of 182 cities), while Phnom Penh has a COLI of 24.8 (ranked #97).
When it comes to housing, one-bedroom apartment rent in Madrid averages $1,100/month compared to $450/month in Phnom Penh. That makes Phnom Penh approximately 59% cheaper for rent alone.
Phnom Penh has lower total deductions (0.0%) compared to Madrid (28.8%), meaning you keep more of your gross salary in Phnom Penh. Cambodia is a tax-free jurisdiction, which is a significant financial advantage. When evaluating a relocation, remember that total deductions directly impact your take-home pay and should be weighed alongside cost of living differences.
Full breakdown of mandatory payroll deductions for a mid-range salary as a local employee in each city.
Rates shown for local employees. Expat deductions may differ — use the main converter for personalized calculations.
If you earn €63,592 in Madrid, you would need approximately $48,947 in Phnom Penh to maintain the same purchasing power. That is 35% less thanks to lower cost of living.
Estimated mid-level annual salaries in local currency, adjusted for each city's cost of living:
| Job Title | Madrid (EUR) | Phnom Penh (USD) |
|---|---|---|
| Doctor (General) | €57,996 | $44,640 |
| Software Engineer | €27,387 | $21,080 |
| Product Manager | €32,220 | $24,800 |
| Lawyer | €32,220 | $24,800 |
| Data Scientist | €30,609 | $23,560 |
| Marketing Manager | €23,198 | $17,856 |
| Teacher | €15,466 | $11,904 |
| Nurse | €18,688 | $14,384 |
Salary estimates are adjusted by each city's COLI relative to the New York baseline. Actual salaries vary by company, experience, and industry.
| Neighborhood | Multiplier |
|---|---|
| Salamanca | 1.30x (+30%) |
| Chamberí | 1.18x (+18%) |
| Retiro | 1.15x (+15%) |
| Barrio de las Letras | 1.15x (+15%) |
| Chueca | 1.12x (+12%) |
| Neighborhood | Multiplier |
|---|---|
| BKK1 | 1.30x (+30%) |
| Tonle Bassac | 1.22x (+22%) |
| Daun Penh (Riverside) | 1.15x (+15%) |
| BKK2 | 1.10x (+10%) |
| Toul Tom Poung (Russian Market) | 1.05x (+5%) |
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Open Salary ConverterMadrid is more expensive overall. Madrid has a COLI of 38.0 while Phnom Penh has a COLI of 24.8, making Phnom Penh approximately 35% cheaper.
To maintain the same standard of living as €63,592 in Madrid, you would need approximately $48,947 in Phnom Penh.
Average one-bedroom rent in Madrid is $1,100/month compared to $450/month in Phnom Penh. Phnom Penh has lower rent by approximately 59%.
Phnom Penh has lower total deductions (0.0%) compared to Madrid (28.8%), meaning you keep more of your gross salary in Phnom Penh. Cambodia is a tax-free jurisdiction, which is a significant financial advantage.
Cost of living indices (COLI) are benchmarked to New York City = 100 and derived from Numbeo and Expatistan crowd-sourced price surveys, cross-referenced with national statistics agencies. Rent data from Numbeo Property Prices.
Salary ranges are compiled from the U.S. Bureau of Labor Statistics (OES), Glassdoor, and PayScale. Tax rates are approximate effective rates for mid-range earners based on OECD Taxing Wages and national tax authorities. Exchange rates from the European Central Bank. Neighborhood multipliers are estimated from local rental indices and property data.
Last updated: 2026-02-28. Data is refreshed periodically. All figures are estimates for informational purposes only.