City guide · Updated for 2026

Cost of Living in Lahore (2026)

Lahore is one of the more affordable large cities in South Asia, but electricity bills, school fees and rent in popular areas can stretch a budget fast. Here is what things typically cost in rupees and two sample monthly budgets.

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CurrencyPakistani rupee (PKR)
Sales tax on goods18% federal GST
Quick answer

How much does it cost to live in Lahore?

A single person renting a small flat or house portion in Lahore typically needs about PKR 100,000 to 190,000 a month, and a family of four about PKR 250,000 to 450,000, depending on the area, school choice and summer electricity use. Rent, electricity and school fees are the biggest lines, while food and transport stay relatively cheap.

CurrencyPakistani rupee (PKR)
Federal sales tax on goods18% standard rate
Salaried income tax-free up toPKR 600,000 a year (2025-26)
Official inflation dataPakistan Bureau of Statistics

The cost of living in Lahore depends mostly on where you live and how many months you run an air conditioner. A single renter usually spends about PKR 100,000 to 190,000 a month on essentials and modest extras. A family of four with children in private school usually needs about PKR 250,000 to 450,000.

These are illustrative ranges built from typical asking rents, published utility tariffs and common household costs. They are not an official statistic, and prices in Pakistan have moved quickly in recent years. Consumer price inflation peaked at about 38% in May 2023, according to the Pakistan Bureau of Statistics, before slowing sharply through 2024 and 2025.

If you are planning a budget for the whole country, our monthly budget planner for Pakistan walks through each category, and the cost of living in Karachi guide shows how the two biggest cities compare.

Average rent in Lahore by area

Rent in Lahore varies more by neighbourhood than by size. Well-known areas such as DHA, Gulberg and Bahria Town ask far more than Johar Town, Wapda Town, Township or older parts of the city. Many renters take a portion of a house, such as an upper floor, rather than a flat.

Illustrative monthly rent ranges in Lahore in 2026, based on typical asking prices. Not official data; actual rents vary widely by street, age and furnishing.
Home typeMid-priced areasPremium areas
One-bedroom flat or annexePKR 30,000 to 55,000PKR 60,000 to 110,000
Portion of a 5 to 10 marla housePKR 40,000 to 75,000PKR 80,000 to 150,000
Full 10 marla housePKR 80,000 to 140,000PKR 150,000 to 300,000
Shared room or hostelPKR 15,000 to 30,000PKR 30,000 to 50,000

Landlords commonly ask for an advance of several months' rent plus a security deposit, so budget a lump sum before you move. Agents usually charge a commission, often equal to about one month's rent. Put the deposit in a savings goal before you start looking so it does not come out of your first month's budget.

Electricity, gas and other utilities in Lahore

Electricity is the line that surprises most people in Lahore. Summer temperatures regularly pass 40°C, and running one or two air conditioners from May to September can multiply a bill several times over. LESCO bills use slab-based tariffs, so each extra unit costs more once you cross a threshold, and taxes and surcharges are added on top.

A small flat that uses little air conditioning might pay about PKR 5,000 to 12,000 a month in winter and PKR 15,000 to 35,000 in peak summer. A family house with several units can pass PKR 50,000 in July. Sui Northern gas bills rise in winter for heating and hot water, and many homes also pay for bottled LPG, a water filter and backup power from a UPS or solar panels.

Home internet usually costs about PKR 3,000 to 6,000 a month, and a prepaid mobile bundle a few hundred to a couple of thousand rupees.

Food, transport and school fees

  • Groceries. Staples such as flour, rice, lentils, milk and vegetables are cheap by international standards, but imported and packaged goods cost more. A single person usually spends about PKR 20,000 to 35,000 a month, and a family of four about PKR 60,000 to 95,000.
  • Transport. The Metrobus and the Orange Line metro charge low flat fares, and ride-hailing apps and rickshaws fill the gaps. Owning a car or motorbike adds fuel, which tracks global oil prices and the rupee, plus maintenance and tokens.
  • School fees. Private school fees range from a few thousand rupees a month at small local schools to well over PKR 40,000 per child at well-known private chains. This often decides whether a family budget fits.
  • Domestic help. Many households pay for a part-time cleaner, cook or driver, which is a common but optional cost.
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Taxes that affect your budget in Lahore

Salaried people in Pakistan pay income tax on a slab system set in each federal budget. For the 2025-26 tax year, income up to PKR 600,000 a year is tax-free for salaried individuals, with rates rising in steps above that. Your employer deducts the tax from each payslip. Check the current slabs with the Federal Board of Revenue.

Sales tax is included in most shop prices. The federal standard rate on goods is 18%, and the Punjab Revenue Authority charges a separate provincial sales tax on many services such as restaurants, telecom and beauty salons, at rates that vary by service. Mobile top-ups and utility bills also carry withholding and other taxes.

Sample monthly budget for Lahore

These budgets are illustrative ranges, not official statistics. The single budget assumes a one-bedroom flat or portion in a mid-priced area. The family budget assumes two adults, two children in private school and one car.

Illustrative monthly budgets in Lahore, 2026 (PKR)
CategorySingle personFamily of four
RentPKR 35,000 to 70,000PKR 70,000 to 130,000
Electricity and gas (yearly average)PKR 10,000 to 25,000PKR 25,000 to 50,000
Internet and mobilePKR 4,000 to 7,000PKR 6,000 to 10,000
GroceriesPKR 20,000 to 35,000PKR 60,000 to 95,000
TransportPKR 8,000 to 15,000PKR 25,000 to 40,000
School feesNonePKR 20,000 to 55,000
Health and medicinesPKR 3,000 to 6,000PKR 8,000 to 15,000
Household help and suppliesPKR 3,000 to 5,000PKR 15,000 to 20,000
Eating out and entertainmentPKR 8,000 to 12,000PKR 12,000 to 20,000
SavingsPKR 9,000 to 15,000PKR 9,000 to 15,000
TotalAbout PKR 100,000 to 190,000About PKR 250,000 to 450,000

Electricity is shown as a yearly average. Set aside extra money in the cooler months so a July bill does not force you to cut groceries. If part of your household income arrives from abroad, our guide to budgeting for money sent home explains how to plan around exchange rates, and the USD to PKR converter shows today's indicative rate.

Figures checked September 2026; confirm current tariffs and tax slabs with LESCO, the Federal Board of Revenue and the Pakistan Bureau of Statistics.

How to budget in Lahore

  1. Track one full month of spending, including cash. Much of daily life in Lahore is paid in cash or through mobile wallets, so small purchases disappear from view quickly.
  2. Budget electricity as a yearly average and save the difference in winter for summer bills.
  3. Keep the rent advance, school admission fees and Eid spending in separate savings goals.
  4. Review prices every few months. When inflation is high, last year's grocery budget can fall short quickly.
  5. Use a budgeting app that works in rupees. EMOH Pay is free on iPhone, Android and the web and supports PKR among 148 currencies. Bank sync is not available in Pakistan, so you add transactions manually, which takes a few seconds each. See how it works for users abroad on our worldwide budgeting app page.
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FAQ

Cost of Living in Lahore (2026): frequently asked questions

Is Lahore cheaper than Karachi?

It depends on the area. Rents in premium parts of both cities are similar, while mid-priced areas of Lahore are often a little cheaper. Lahore's summer electricity bills and winter gas bills can offset that, so compare the specific neighbourhoods you are considering.

What salary do you need to live comfortably in Lahore?

A single person spending about PKR 150,000 a month needs a take-home salary a little above that to save regularly. A family of four with children in private school usually needs PKR 300,000 or more a month after tax. School fees and rent move this more than anything else.

Why are electricity bills so high in Lahore in summer?

Air conditioning. LESCO uses slab-based tariffs, so once monthly usage crosses a threshold each additional unit costs more, and taxes and surcharges are added on top. Inverter air conditioners, solar panels and cooling only occupied rooms can cut bills noticeably.

Can I budget in rupees with EMOH Pay?

Yes. EMOH Pay supports the Pakistani rupee and 147 other currencies with automatic conversion, which helps if you earn in one currency and spend in another. Bank sync is not available for Pakistani banks, so you enter transactions manually.

How much is rent in DHA Lahore?

Rent in DHA is among the highest in the city. A one-bedroom flat or annexe often asks about PKR 60,000 to 110,000 a month, and a full house much more, depending on the phase, size and condition. Always check several current listings before agreeing a price.

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