Our guides for expatriates in Luxembourg
Thinking of moving to Luxembourg soon? We've got you covered!
Here is all our advice and services to help you settle in the Grand Duchy.
Before arriving in Luxembourg
Everything you need to know about the country (advantages and disadvantages, social security, tax, procedures)
See our Expat guidesThe best contracts for your arrival
Insurance, energy, Internet, mobile, banking... Find the best contracts with our dedicated service.
See the Expats serviceHealth and complementary health insurance
Find the best mutuelle to be reimbursed at 100% for your healthcare expenses.
See complementary productsTax and tax optimisation
Find the most advantageous pension savings contract to take advantage of tax deductions in Luxembourg.
See savings plansContents:
Why move to Luxembourg?
This is THE question that all candidates for expatriation to Luxembourg ask themselves. The answer depends essentially on your professional and personal priorities. Here's what you need to remember:
Is it financially more attractive to move to Luxembourg?
On paper, a Luxembourg employee earns on average 62% more than a French employee. However, the higher cost of living (17%) and housing (38-55%) mitigate against this differential.
Let's take an example with an executive:
- For a salary in France: €3,500 net → Living expenses after accommodation: ~€2,100
- Luxembourg salary: €5,500 net → Living expenses after accommodation: ~€3,000
The real gain is 900 extra in monthly savings, 10,800 a year. Over 5 years of expatriation, this represents €54,000 in differential savings, not counting the tax benefits (substantial tax deductions via pension savings, insurance, etc.).
So from that point of view, it's worth it. But only if you find the right job with the right salary.
Why is moving to Luxembourg a good idea?
Here's a quick overview of the advantages of expatriating to the Grand Duchy:
- Social protection is incomparable (sick leave is reimbursed at 100% from the 1st day, you have 20 weeks' maternity leave, family allowances with no income conditions, 88% minimum health reimbursements, etc).
- The quality of life is perfect for a family: with free trilingual education from the age of 4, one of the lowest crime rates in Europe and completely free public transport.
- There are many career opportunities: with only 4.7% of unemployment and over 41,000 international companies operating in the region. This means rapid career development in a dynamic environment.
However, there are a number of sacrifices to be made if you choose to move to Luxembourg: property prices are very high, the country is small, and social integration can be difficult (beyond expatriate circles).
To find out more, read our full article: « Living in Luxembourg: advantages and disadvantages" .
What's life like as an expatriate in Luxembourg?
Beyond the figures and the administrative formalities, here is the day-to-day reality of expatriate life in Luxembourg, based on the experiences of many international residents.
What is it like to work in Luxembourg?
It's fluid and fast. Luxembourg's first asset is the normality of expatriation. With 47% of the population born abroad, there's nothing unusual about being a «foreigner» here. In your team, you'll probably rub shoulders with French, Belgian, Portuguese, Italian, German...
Here's what you need to know for your day-to-day business:
- English or French is more than sufficient for 90% of jobs
- The teams are used to welcoming new arrivals
- A professional culture that combines Germanic efficiency and Latin conviviality
- After-work and networking events are frequent
The other side of the coin: Competition is intense and turnover is high (people stay in Luxembourg for an average of 4-5 years before returning to their country of origin, or moving elsewhere). This creates a certain instability in relationships. You'll quickly forge professional links, but deeper relationships take more time.
What's social life like?
We need to differentiate between the two worlds that exist side by side:
Within the expatriate community : Meeting new people is quick and easy. Expatriate Facebook groups, international events, communities by nationality... you'll have no trouble creating an initial social circle. The best places to meet are usually :
- The Ville Haute, the Gare district and the Rives de Clausen for young professionals' afterwork parties
- Parks (Merl, Parc Municipal) for families at weekends
- Cultural events (Fête de la Musique, Summer in the City)
- International clubs and sports associations
With the people of Luxembourg : Integrating into local Luxembourg society requires more effort. Ideally, you need to learn the language (through courses at INL for example, and integrate in places where you can find more native Luxembourgish speakers (local associations, sports clubs, public sector, etc.). As part of your integration in Luxembourg, your employer may give you time off to learn one of the official languages (including Lëtzebuergesch).
What's daily life like in Luxembourg?
It's very simple: the living environment is both gentle (quiet streets, green spaces, forests within walking distance, low crime rate) and very dynamic (lively nightlife in the centre, free transport, dynamic business districts, etc.).
We particularly like : free public transport, high-performance digital public services, a wide range of family activities (playgrounds, children's activities) and the quality of public infrastructure (roads, bridges, pavements, buildings, etc.).
Less appreciated : high restaurant prices, food shopping 20-25% more expensive than in France or Belgium, the need to have a car to explore the country, shops closing early in the evening (and on Sundays), and very heavy traffic at rush hour.
To find out more about life in Luxembourg, see this article.
How do you prepare for your arrival in Luxembourg?
There are several important things to know before preparing to move to the Grand Duchy. Here they are:
Social security: automatic membership
If you arrive with an employment contract, your employer will declare your arrival within 8 days and you will receive your social security card within 15 days. You will then be automatically affiliated to the National Health Fund and will be able to benefit from advantageous health reimbursements which are offered in Luxembourg. There is no waiting period.
Rates, reimbursements, co-insurance, specific cases, supplements... To find out more, consult our complete guide to the Luxembourg health system.
Luxembourg tax: don't forget to file an annual return
Luxembourg applies a progressive scale from 0% to 42% with a tax-free allowance of €13,230 and deduction at source directly from your salary.
There are three tax classes: class 1 (single), class 1a (single parents with tax allowance), class 2 (married or civil union couples, the most advantageous thanks to splitting).
But in Luxembourg, you can recoup several thousand euros each year through specific tax deductions (insurance premiums, interest on loans, home savings, etc.), retirement provision, (e.g. childcare, cleaning, etc.).
Everything you need to know about taxation in Luxembourg.
Choosing your commune of residence
Luxembourg has more than 100 communes, 13 of which have more than 10,000 inhabitants, with property prices ranging from €4,600/m² in the north to €12,700/m² in the centre. The choice of commune is therefore crucial.
Here are the communes most popular with expatriates:
- Luxembourg City : the capital is, of course, the destination of choice for international families, with over 70% of the population being foreign to the Grand Duchy
- Strassen the city has 65% expatriates, and offers an excellent price/services/accessibility ratio
- Bertrange for an ideal family setting between town and country
- Walferdange for residential tranquillity, with 54% of foreigners
- Hesperange : the municipality offers a strategic geographical location and good value for money in its housing supply
- Esch-sur-Alzette Esch: the dynamic urban alternative with a lower cost of living than the Centre region (because Esch is in the South region).
Free public transport services provide excellent links to all the communes, with park-and-ride facilities to help you make the most of your daily commute.
Here are a few tips for finding the ideal community for your life in Luxembourg (or if you prefer to move to the capital, find the ideal neighbourhood).
Finding accommodation: the most difficult stage
The Luxembourg rental market has become ultra-competitive, with 15-20 applicants per ad within 48 hours of publication.
The average rent is €1,647/month at €28.48/m², ranging from €1,200 in the outskirts to over €3,500 in the most sought-after areas of the capital.
So get ready for a marathon to get your 1st rental property (especially since the
See our complete guide to property prices in Luxembourg (renting, buying).
In a nutshell
Health, tax, housing, contracts... There are many specific aspects to be aware of and to anticipate if you are planning to move to Luxembourg. To help you prepare, here's a summary video:
How do I organise my move to Luxembourg?
Removal costs vary considerably depending on your country of departure. From France, expect to pay €1,200-2,400 for 30m³. From Belgium, €800-1,600. From Germany, €800-2,000 depending on the city (find out more about the price of a move to the Grand Duchy).
You can find many removal companies on the Internet, but most of the time, if you're coming for work, your employer will be able to make recommendations (many employers in Luxembourg work with relocation agencies who can recommend the best removal companies).
Which schools should I choose for my children in Luxembourg?
Are you planning to move to Luxembourg with your children? You won't regret your decision! Luxembourg offers a free trilingual public education system from the age of 4 (Lëtzebuergesch, German, French) and a number of renowned private international schools.
The public system in Luxembourg
Basic education lasts 9 years with progressive trilingualism: Lëtzebuergesch from the age of 4, literacy in German from the age of 6, and written French from the age of 8. By the end of primary school, children have mastered three European languages plus English, which is introduced at secondary level.
- The advantages of this system : education is free, local integration is optimal and language skills are exceptional
- The challenges: There is an initial language barrier for non-German-speaking children (although there are integration courses to help them over this hurdle).
Private international schools
There are a number of highly reputable schools where your children can pursue their French, English or international studies, including :
- The International School of Luxembourg (ISL) : With an International Baccalaureate
- St George's International School : With a British curriculum
- The Lycée français Vauban : With a French baccalauréat
- The European School (Kirchberg/Mamer): with a European baccalaureate and priority given to civil servants from international organisations
The choice depends mainly on your family plans and the time you plan to spend in Luxembourg.
See our guide «Which school should you choose for your children in Luxembourg?»
Childcare: crèches and childcare facilities
Luxembourg offers comprehensive childcare for children aged 0 to 12 with a trilingual education compulsory in all approved facilities.
There are two types of structure:
- Municipal crèches : with advantageous rates calculated on the basis of income, with a contribution from the State, excellent local integration, but limited places reserved primarily for residents of the municipality.
- Private crèches : with easy access, extended hours (sometimes 5am-11pm), alternative methods (Montessori) and a multilingual international environment. The subsidised centres charge the same fees as the municipal centres, with access to the CSA (Le Welcome Service Cheque).
How much will it cost to live comfortably in Luxembourg?
It all depends on the make-up of your household, but in general, given the high cost of property and day-to-day expenses, we recommend :
- 3,130 net for a single person
- 5,200 net for a couple
- 8,900 net for a family with 2 children
Obviously, everything also depends on your standard of living, your spending and your propensity to save.
To find out more, read our article on the true cost of living in Luxembourg (and the wages needed to live comfortably).
This will make it easier for you to calculate your personalised budget, and to decide whether it makes sense for you to move to Luxembourg.
Frequently asked questions by expatriates in Luxembourg (FAQ)
Do you need a car to live in Luxembourg?
It doesn't have to be in the city, thanks to the free, efficient transport. But recommended for outlying towns and weekend trips, which is why it's important to budget for this.
How long does it take to find accommodation in Luxembourg?
On average 2-4 weeks with an active search. The market is very competitive: prepare your complete file (work contract, proof of income, references) and be very responsive to advertisements.
Can you set up home without speaking Luxembourgish?
Yes, English and French are more than sufficient for everyday and professional life. Lëtzebuergësch facilitates social integration but is not initially essential.
When is the best time to move?
Avoid May-September (high season, higher prices, strong competition for accommodation). Favour November-February to save 10-20% on removals and benefit from more available property.
How do I open a bank account?
Go to a branch with your passport/identity card, proof of residence in Luxembourg and employment contract. It usually takes 1-2 weeks to open an account. Some banks offer online account pre-opening.
Are jobs really better paid in Luxembourg?
Yes, you can expect to pay between 30 and 40% more than for an equivalent job in France, Belgium or Germany. However, you won't have as much to live on, as the cost of living is very high in Luxembourg (particularly for accommodation and shopping).