Milan is one of the most popular Italian cities for foreigners to move to.

The northern city is home to over 475,000 foreign nationals (around 14.7 percent of the total population), including ​​a sizeable group of native English speakers.

A thriving job market featuring several finance, banking and insurance behemoths, countless cultural and social opportunities, and relatively efficient public transport services are all part of the metropolis’ appeal among foreigners.

But if you’re thinking of moving to Milan, one of the first things you’ll likely consider is local wages, and how much you’ll really need to be able to live in the city.

‘Italy’s wage capital’

Milan’s often referred to by national media outlets as ‘Italy’s wage capital’ as it’s consistently been the Italian city with the highest average work income (reddito da lavoro) in recent years.

According to a report published by Italian newspaper Il Corriere della Sera based on 2021 tax returns, Milan boasts an average gross personal income of €37,200 per year, which corresponds to a net monthly income of around €2,000 to €2,100.

By contrast, average gross income across Italy stands at around €29,500 a year (around €1,700 in net monthly income), according to data from Italy’s Economy Ministry analysed by Italia in Dati.

Even more strikingly, while Milan’s average gross income stands at €37,200 a year, at a national level only 9.5 percent of workers (just short of 4 million people) have a gross yearly income between €35,000 and €60,000.

Though average personal income figures don’t accurately define how total income is distributed across residents – and there have long been significant wealth imbalances in the northern city – it still holds true that Milanese wages are generally higher than elsewhere in the country.

This is especially true for employees of private companies (as opposed to state employees, or statali) as the average private sector worker’s gross yearly income in Milan is nearly double that of someone doing a similar job in Palermo, Sicily, according to data from Social Security Institute INPS.

Cost of living

Though wages in Milan are higher than in the rest of the country on average, the above figures should all be taken with a pinch of salt due to the high cost of living in the northern city.

Much like other European metropolises, Milan is objectively not a cheap place to call home, with the city once again earning the unenviable title of most expensive Italian city to live in last year.

Rent is generally the biggest expense for residents, with prices often being significantly higher than in most other major Italian cities.

READ ALSO: How can you find an apartment to rent in Milan?

You can expect to pay from €930 to over €1,400 for a one-bedroom flat, according to Numbeo estimates.

But many other monthly expenses, including utility bills, groceries and costs related to leisure and entertainment, tend to be higher in Milan compared to elsewhere in Italy.

For a more in-depth analysis of how much it costs to live in Milan in 2024, see our guide.

So, what’s a ‘good income’ in Milan?

The coexistence of high living costs and higher-paid jobs results in something of an ‘income paradox’.

Though you are likely to earn significantly more in Milan compared to elsewhere in the country, you’re also likely to spend more to live and work there than you would in any other Italian city.

This means that good or even high wages by Italian standards may not hold the same value in Milan as they do elsewhere.

According to online investment platform Moneyfarm, the average single person renting a one-bedroom flat needs a minimum net monthly income of €1,700 to €2,000 to cover all expenses and afford at least some leisure and entertainment activities.

By contrast, a take-home salary of €1,500 may not be enough to cover all expenses, especially not those related to leisure and entertainment.

Moneyfarm also sets the ‘comfort threshold’ – the monthly amount you’d need to live a comfortable life, without making big sacrifices on any front – at €3,000.

As for multi-member households, an average family needs as much as €3,300 a month after taxes to cover all basic expenses and afford at least some leisure and entertainment activities, according to estimates from online financial publication Money.it.