to ask if this is a reasonable salary/package (for an American in London)?

[Cecily85]

I was thrilled to learn that I can transfer with my employer to London for a year. But I'm not a banker or executive, and I'm worried about whether or not the proposed package is even reasonable for London.

My employer will pay for my housing/utilities, and the salary is 40k pounds. Is 40k enough to live in London if I don't have to pay rent/utilities? Or would I be living off beans and toast?

And...how much would be taken for taxes? I'm single with no dependents.

I need to let my employer know by the 29th, and wanted to get some input from British people who can give me a real perspective on what it would be like to live on this package in London.

I have a car in London, but you really don't need it. They're a total drain on money. Where would you even be driving if you can walk to work in 20 minutes?

And 40k is plenty to live on - I earn 32k as a single person and still manage to pay rent and have a reasonable life, and many of my friends earn significantly less.

On the tax and social security side of it, ask your employers if they use external advisors to help with this (a big company probably does and really should as its complex and difficult and can impact them as well as you). Lots depends on if you stay on a us contract and are assigned to the uk (in which case you and your employer will stay paying FICA and the accommodation may be relieved from tax) or if you are given a uk employment contract which isn't that usual for a year.

The length of time you stay, where it falls in the uk tax year etc may all make a difference. You may or may not get the tax free personal allowance which on a salary of 40k does make a difference (if you aren't here enough to make you tax resident you won't get it, if you are tax resident you might).

It's a complex area with many glamorous and exciting professionals working in it () and like I say it's fairly normal for many organisations big enough to send people overseas to pay these fascinating people to work through it with them and you. So my best advice is to ask your HR team about this. Really do.

St John's Wood is lovely OP. There are o really awful places in London as long as you take the usual precautions - are you in the city in the US?

If you can walk to work all the better. Bus will be an option too I'm sure (nothing wing with the tube but I prefer above ground options and it's cheaper!).

It sounds like a great opportunity and if you've always wanted to do it, do it!

St Johns Wood is very smart, and you won't need a car. (Anyone who drives a car in London is nuts, IMO.)

If you ever do need a car, say for a weekend trip, London is also full of easy car rental places.

If I were you, I’d be asking for more information re housing/utilities and what is covered, and also asking whether you will be tax equalized, and what assistance with your tax affairs will be provided - often multinational companies have an agreement with one of the big four accountancy firms to provide tax advice to their globally mobile employees.

Also ask whether you get cost of a visit home during the year provided and any other allowances on top of the 40k salary.

If it helps, 6 years ago my DH lived in London zone 4 and commuted to zone 2, paying his own rent/utilities etc on 19k a year.

Enjoy your year in London!

I don't think I'll need to be paying for NHS as well

The NHS is funded almost entirely through tax, so yes, you will be paying for it (indirectly).

St Johns Wood is posh, safe and within walking distance of the centre of London, not that far from Regents Park. It's got a tube station and lots of bus routes. Houses there cost millions to buy.
Only disadvantage is I suppose it's quite 'international' not much local colour but lots of restaurants, coffee shops, expensive clothes shops and the like. It would be fine to be there for a year
Go for it

Great minds flibber!

Pinning down what the company are and aren't paying is crucial - accommodation in St. John's Wood ain't cheap and is a taxable benefit. As I said above for a 1 year assignment there may be tax relief but that is conditional and if it is taxable, you need to understand if the company will pay that too.

Wow this sounds like an amazing experience. How exciting for you!
You need to ask your employer some more questions - they must make it clear about your tax and healthcare so you know how much money you will have after all taxes (including your benefits being taxed). They must also be clear about where you will live.
Then post on here again and we can be more helpful.
My initial advise would be to for it - come and enjoy our fantastic city!

Agree you definitely won't need a car

Housed in St John's Wood, 20 min walk to work, no rent or bills to pay? Sign up immediately! Even with tax, NI etc deducted, it's a nice comfortable salary for a single person with no children. As PPs have said, it's housing and travel that consume most people's pay in London.

No need to bother with your own car, apart from occasional hires, or even sign up to a carpool for the year - public transport will be as much as you neeed.

St. John wood is affluent,well to do area.can walk into Ldn easily
Is your employer providing Dental& health cover too? Grab that damn package now

Do Americans say/eat beans on toast?! I didn't know that

talk.uk-yankee.com/
You will find other ex-pats at the forum above.

You pay an annual fee for NHS use £200 pounds per year - that covers you completely under the NHS and no aggravation filling in forms.

I’d love to live in SJW.

Yes that is plenty as your rent and bills will be paid.

I am a Londoner and am very jealous that you get to live in St. John's wood. It is really nice area, very central, and with great transport links. Absolutely no need for a car. If you ever need one you can join one of the car share clubs and hire one cheaply. Go for it!

The new starters at my job in London start on 20k and survive fine. Without paying rent you will have loads!

No rent - wow you will be loaded as long as you not into designer clothes with designer prices. Lucky you x

You should not have to pay for NHS care. The cost of prescriptions is rising all the time, it's currently around £8 to get a prescription filled.

Dentistry is discounted rather than free, even then it's not crazy insane expensive.

St Johns Wood is a reasonably fancy area of London.

'Saint John's Wood is a district of northwest London, in the City of Westminster, and on the northwest side of Regent's Park. The district is about 2.5 miles northwest of Charing Cross. Wikipedia'

one of the few parts of central London to be developed with low density villas. Detached and semi-detached houses with large gardens are common here, and this has made it one of the most desirable areas of London for families with children as well as an untouristy place largely free of hustle, hotels and crowded haunts. It's an area that's full of eccentric architecture, and it is also the home of England's most eccentric sport: Lord's cricket ground lies at the centre of the neighbourhood.

West London is considered to be expensive because that's where the shopping and the theatres are.

East London is historically where the slaughterhouses and the tanneries were. They have long gone but it's popular with the immigrant population.

angry not in my experience, they think it's weird - until they try it. Maybe OP has been researching British cuisine

I wrote out a really long post, and mumsnet appears to have eaten it ¬¬

Anyway, the short of it is:

-Check how much tax you will actually be paying as accommodation is a taxable benefit. If the company is paying £1500 a month, you'd be taxed as if you were earning £58,000 and some of that would be higher rate.
-Check exactly what utilities they will cover- I would be pushing for your company to cover Council (property) tax, as this could be quite high.
-You won't need a car, as others have said, you can always hire one as a one off if you want to.
-There are lots of free/cheap things to do in London, e.g. museums, the parks, you don't have to spend £££ every weekend.
-You should have more than enough. Maybe not enough to eat out somewhere every night, but enough to enjoy a few short haul holidays in the EU if you're sensible with money as well as have fun in London/the UK if you want.

Wow!
Sounds almost too good to be true...

You will be fine on that income with housing paid, quite comfortable. Most places in London are safe to walk round in daylight (only issue normally is pickpockets in very crowded areas), after dark you need to take more care but take local advice from a female on that. Generally affluent areas are safer but on that salary you could get taxis from the tube if needed and that's only about £5 a day.

Almost no-one who works in London uses a car to commute. Sometimes people have cars to go out at the weekend, drop kids off etc. I wouldn't get one initially as it will eat money and parking generally isn't free but maybe see how you go. We do have great tube and trains services but maybe worth hiring one sometimes to explore the countryside.

I would go for it if you would like to come to London. Loads to do in London and lots of lovely places can be visited by train at weekends outside.

St John's Wood is very flash. Nobody can afford to live there on normal London salaries.

You should rip your employer's arm off for this opportunity.