The Principality of Monaco, sometimes referred to as a very sunny place for shady people, may be the most expensive place on earth, income tax-free and a place for capitalists to feel at home. It probably has the highest concentration of millionaires, more than any other place, albeit a tiny place.

80% of Monaco’s workforce, including many teachers, police, and firefighters, cannot afford local real estate and the long commutes daily from neighboring French towns via small roads. However, to maintain its famous security and public services, the Principality guarantees living options for its core civil servants. The government owns and manages a dedicated portfolio of affordable housing strictly reserved for citizens and essential civil servants. Civil servants and public officials can apply for state-backed financial support which bridges the gap between market rent and what a government employee can reasonably afford. Many police officers and emergency responders live just over the French border where their salaries go much further and commute into Monaco.

Monaco’s public housing is exceptionally well-maintained. The government heavily subsidizes these homes to ensure citizens have access to top-tier, modern, and safe living conditions. State-owned properties are integrated directly into the principality's luxurious urban landscape, with recent flagship projects like the Honoria and Réséda buildings rivaling private luxury developments. The bottom section of Tour Odeon houses affordable housing with a separate entrance (I'd take it!) with a $300 million penthouse at the top!

"Tax-free" Monaco is not entirely tax-free (no place is!). Monaco funds its government primarily through a value-added tax (VAT) at just under 20%, state monopolies, banking, corporate and transfer taxes. Because the principality levies no personal income or wealth taxes on its residents, it relies heavily on high-end consumption, business activities, and wealthy tourists to generate public revenue, lots of it from gambling.