Exact cost of living index data is unavailable. However, due to the remote location and reliance on imports from Australia, overall costs are estimated to be high. The average monthly cost of living for a single person, excluding rent, is approximately $1,423.00 AUD (2026). Food and transportation costs are generally more expensive than the Australian average.

Exact property price to income ratio is unavailable. Based on available data, the median weekly household income in 2021 was $2,519 AUD, and recent house sales range up to $1,400,000 AUD. This suggests a property price to income ratio of approximately 9.16 years, placing it in the moderate affordability range. Median rent in 2021 was $231 AUD per week, which is lower than the Australian national median.

Purchasing power index is unavailable. The median weekly personal income in 2021 was $741 AUD, lower than the national median. However, the median weekly household income was $2,519 AUD, which was higher than the national median. The economy is largely supported by Australian Government service provision, providing stable but limited employment opportunities.

The tax system in the Cocos (Keeling) Islands is aligned with mainland Australia. It features progressive income tax thresholds and a Goods and Services Tax (GST) of 10% on most goods and services. Land tax is also applied, based on Western Australian principles.

The business environment is limited, with economic activity primarily driven by Australian Government services and a small tourism sector. Businesses must comply with Australian federal laws, including registration and taxation requirements. High freight costs and limited infrastructure pose challenges, though there are strategic plans to develop tourism and increase self-sustainability.

As an Australian external territory, residents benefit from Australian government social security payments and the Pharmaceutical Benefits Scheme. Healthcare is provided by small clinics on West and Home Islands, offering general practitioner, nursing, and emergency services. However, there is no hospital, and complex medical cases require evacuation to Perth, Western Australia.

Deposits are protected up to AUD 250,000 (approximately USD 165,000) per account holder under the Australian Government's Financial Claims Scheme (FCS). The FCS provides a strong safety net in the unlikely event of a financial institution failure. Local banking services are limited, with basic services available through a Commonwealth Bank agency and no ATMs, making cash transactions common.