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Estonia at a glance

Estonia, often called the "Digital Republic," is known for its advanced digital infrastructure and efficient e-services. It offers a high quality of life with clean air, green spaces, and a relatively low cost of living. Tallinn ranks 71st among 145 European cities for livability. The country is safe, welcoming to expatriates, and fosters innovation and entrepreneurship, making it ideal for families and professionals.

Capital City

Tallinn

Currency

Euro (€)

Languages

Estonian (official language), English and Russian

Population size

Approximately 1.4 million

Time zone

Standard time: UTC+2

Economic overview

Estonia has a high-income, advanced digital economy that is small, open, and export-driven. It joined the EU in 2004 and adopted the euro in 2011. The country is known for its strong IT sector, e-governance, and startup-friendly environment (home to Skype and Wise). Key industries include information technology, telecommunications, electronics, logistics, and wood products. Services dominate GDP, followed by manufacturing and construction.

Skills in demand

Software Development

Cybersecurity

Data Analysis & AI

Digital Marketing

Engineering

Logistics

Earning potential

Manufacturing & Electronics : €1,800–€2,400

Public Sector & Education : €1,600–€2,200

Logistics & Transport : €1,700–€2,200

Telecommunications : €2,500–€3,200

Engineering : €2,500–€3,500

IT & Software Development : €3,000–€4,500

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Living and Working Exp in Estonia

1. Living and Working Exp in Estonia

Safety

Estonia is considered very safe, with low crime rates, reliable emergency services, and strong digital security. Violent crime is rare, and cities like Tallinn are well-policed and secure for residents and tourists alike.

Healthcare

Estonia has a universal healthcare system funded by taxes, offering modern services and digital access to health records. Quality is generally good, especially in urban centers, though rural areas may have limited specialists.

Education

Estonia’s education system is ranked among the best in Europe, with strong results in PISA rankings. It emphasizes digital literacy, critical thinking, and offers free public education, including some English-language programs at the university level.

Environment

Estonia is one of the greenest countries in Europe, with vast forests, clean air, and national parks covering over 20% of its land. It leads in renewable energy initiatives and environmental sustainability.

2. Cost of Living

Affordable cost of living: Lower than countries like Sweden, Germany, and Belgium.
Reasonable housing: Rent and property prices are more affordable outside Tallinn.
Cheap daily expenses: Groceries, utilities, and public transport are budget-friendly.
Affordable healthcare: Quality services with public and private options.

3. Work Culture

Work-life balance is highly valued, promoting personal well-being.
Flexible work hours and remote work options are common.
Flat hierarchy fosters a collaborative, informal work environment.
Tech-driven culture integrates innovation into everyday tasks.

4. Visa & Immigration

E-residency allows easy access to Estonian business services.
Startup visa supports entrepreneurs wanting to launch businesses.
Residence permits available for work, studies, or family reunification.
Fast processing times for most visa and residency applications.

5. Taxes

Flat income tax of 20% on personal income.
Corporate tax only on distributed profits, encouraging reinvestment.
Value-added tax (VAT) is 20% on most goods and services.
Social tax funds health insurance and pensions, set at 33%.

Popular cities

Tallinn

Key Industries: IT and fintech

Avg. Salary: €2,500–€3,500

Tartu

Key Industries: Education and research

Avg. Salary: €1,800–€2,500

Pärnu

Key Industries: Tourism

Avg. Salary: €1,600–€2,200

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FAQ

What is the official language of Estonia?

The official language is Estonian. English is widely spoken, especially in urban areas and among younger generations.

Is Estonia a member of the European Union?

Yes, Estonia has been a member of the European Union (EU) since 2004 and uses the euro as its currency.

Is it easy to start a business in Estonia?

Yes, Estonia is known for its e-residency program, making it very easy for entrepreneurs from around the world to start and manage a business remotely.