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Living overseas

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Cost of living in Australia....

33 replies

KateF · 09/09/2006 18:15

dh has a possible job offer in Australia (he is a quantity surveyor and apparently is in high demand over there). Would probably be in Melbourne but maybe in Sydney. He would like to consult MNetters in Oz about cost of living - is A$120k enough to live comfortably (mortgage on 3/4 bed house, run cars, hobbies for kids etc? Thanks in advance
Kate

OP posts:
KateF · 09/09/2006 21:47

bump for those downunder!

OP posts:
PeppaPigsMum · 10/09/2006 13:30

hi KateF. if $120k is salary rather than total package think it would equate to around $6.5-$7k take home per month, depending on the Medicare levy in place for high earners. i am renting in Sydney (am on a 4 year temporary visa - moved over last November) and we live very comfortably on slightly less than that. saying that, we are in a 2-bed property close to the beach, and rent is much less per month than a mortgage on a comparable property in this area. think that's probably true of a lot of beach suburbs in Sydney. have a look on domain.com.au or realestate.com.au for an idea on house prices. think Melbourne is slightly cheaper to buy, again dependent on where you live. i was actually surprised how expensive houses are in both Sydney & Melbourne in comparison to what people are paid over here.

would you be making the move for good or for a termed stay? do you have equity from the UK to bring over with you - that could make a big difference on where you could afford to buy if that's what you're planning on doing.

i've actually found groceries, clothing and other day to day items on a par with the UK give or take a bit. seem to spend much the same as i used to back home anyway. petrol is cheaper, but you tend to drive more. the weather is better, so you spend more time outdoors on the beach etc which is fairly cheap.

overall i'd say the standard of living is higher here than the UK, but its not as cheap as i'd expected before we moved over. definitely worth it though . am sure others with more experience will be able to provide more info...

arfishymeau · 10/09/2006 14:12

Hi KateF,

I have to agree with PeppaPigsmum.

In Sydney I think the cost of living is about the same as London - but very expensive in comparison to the rest of Australia.

Despite this, you can rent a house for much less than you would pay if you bought it (and I guess you will be renting untill you get residency status, which can take a few years). Also I've found the houses much better than London - I have a gorgeous place very close to the beach in Sydney for much, much less than the equivalent would be in London (if it were beach-side).

As expats you pay the top rate of tax, get no benefits/childcare allowance or anything at all from the government but you can claim LAFHA (living away from home allowance) if you find a good accountant. This will make a big difference to your takehome - about 20%. Unless you get good advice you won't hear about, so bear it in mind.

I think in Melbourne you would be very well off (perhaps locals can advise). On the downside, it's colder of course.

KateF · 10/09/2006 21:11

Thanks very much. Initially I think we would keep our house here and rent it out but I suspect that we would not come back once settled as it's something we've wanted to do for a while. We think our dds (6,5 and 2) would have a better life away from the UK and as dh is in high demand as a QS work seems to be plentiful.
dh says thanks for the power of Mumsnet

OP posts:
pinkypig · 11/09/2006 07:39

This is a really tricky question to answer as 'living comfortably' is a very subjective point. I'm a Brit living in Melbourne with my Aussie husband. He earns more than $150k and I recently gave up work (1st baby due any day). We rent a 2 bed (tiny) house in Elwood, a popular Bayside suburb, at a cost of $400 per week (not the most expensive suburb but not the cheapest either). To buy our tiny house would cost $650k so renting is cheaper unless you can put a large deposit into the mortgage. We like going to the movies, don't scrimp on quality food and veg at the market, run one small 2nd hand car, have a very nice dinner out once a month and we just make it by every month after bills etc with a bit of savings (for those VERY expensive flights home to the UK)...though I add I have been back once in 2.5 years.

You could do it cheaper if you live further out of the city centre...but DH and I HATE suburbia...over here it really is quite suburban anywhere other than the close city suburbs but you will only learn that from coming over and renting. Lots of folks LOVE that 'Neighbours' Melbourne 'burbs life but we don't.

One other important point to note is that schools in the cities (Melb/Sydney) are heavily focused towards private education and the gov't here has let state schooling slide to really low levels (esp secondary level). Upper/middle class families here think nothing of spending $8k for a junior school place per year rising to $15k plus per year for secondary schooling, and they make major sacrifices to afford it (there's also a lot of snobbery around quite surprisingly). The schools issue is a key factor in why I will be dragging my DH and children back to the UK at some point.

Like another poster said, if you have a lot of equity in pounds this will set you up nicely, but don't think that when you get here and are earning Aussie dollars that it's cheaper; in many ways I have found it more expensive...and I lived in London prior to coming out here.

Have a look at www.realestate.com.au which will give you a rough idea of the price of houses to buy and rent in all areas of Australia.

Conversely to you, I have done our sums and reckon my DH could earn substantially more in the UK than he does here (he works in IT) and that financially we would be better off living in the UK.

That said, I don't want to put you off, I've had a great time out here for nearly 3 years now, and we will stay for another year or two. Living overseas brings you many life challenges and experiences that you would never get staying in one place for your entire life.

Good Luck!

suzywong · 11/09/2006 07:43

lots of good points pinkypig
We are lucky in that our local schools top the State Schools performance tables. But I also experience mums at the school gates talking about pulling out their year 1 daughters for private schools at 13k a term - to give them poise? WTF? I thought I had left all that behind in Highgate.

A grocery shop is expensive, you can easily drop 200 AUD on a week's shop with not a fantastic amount to show for it.
Petrol is cheap at the moment

ghosty · 11/09/2006 07:46

PinkyPig ... I am scared now

pinkypig · 11/09/2006 07:55

Sorry not meaning to scare anyone!!! I just wanted to give the facts as I have experienced them...it's a long way to come to find out you only had one point of view/one set of info!! Hopefully more MN-ers will come on with different views!!!

Yes, I reckon I spend $250 per fortnight at the supermarket and another $100 at the local market all on regular groceries. Just the same as you can in the UK!

janinlondon · 11/09/2006 08:57

Can I hijack momentarily and ask where I can find the state school performance tables Suzywong? TIA.

threebob · 11/09/2006 09:12

$120k sounds fine to me, living in Christchurch NZ and having an income of around half of that, living in a 4 bedroom house, running 2 cars and a 3 year old. Surely it can't be twice as expensive to live in Sydney - though nothing would surprise me.

ghosty · 11/09/2006 09:50

Threebob ... you would struggle on NZ$60K in Auckland and Sydney is even more expensive ....
Remember that the cost of living in Chch is really good (ie lower than Auckland and Aus) ....

cori · 11/09/2006 09:58

Intersting thread, am an expat Aussie living in London.Constanlty asked why I dont move back, didnt realise the cost of living was so high. Is the state school system really that bad?

Astrophe · 11/09/2006 10:07

cori, i am also an aussie expat and am constantly asked ' what are you doing here ?'

there are some excellent state high schools, but it all depends on where you live.

And, FWIW, I will be thrilled if DH earns $120k when we go back!

robinpud · 11/09/2006 10:08

Another point to mention is the fees for state schools. We are going for a year on a temporary visa only. so if we were to put the children into school we would apparently have to pay fees, not huge but significant nevertheless. Luckily becuase of the work arrangement in place for my dh, these fees will be waived for us. I am not entirely sure who they apply to but it might be worth exploring that to make sure you wouldn't have to pay them.-

KateF · 11/09/2006 10:57

Thanks for the schools info-obviously very relevant with three to educate! We are v.lucky that the worldwide shortage of QS's means dh can earn good money anywhere at the moment. Having struggled in the past I can't quite believe it . We would be quite happy in the suburbs I think as I drive so will have a look at some property sites. Can anyone give me a few names of Melbourne areas that are pleasant but not outrageously expensive. We currently live in a market town in Bedfordshire which is fairly quiet and suits us well.
LOL at "poise" Suzywong - I don't think my dds are in desperate need of it!

OP posts:
bloss · 11/09/2006 11:03

Message withdrawn

KateF · 11/09/2006 13:28

Hello bloss, thanks for your input. I hope to return to work in some capacity when dd3 goes to school. possibly part-time before then. I have just completed a diploma in pre-school education and work part time as an LSA in early years. Parks and cafes are much more "me" than delis and pubs so I think suburban living would be fine. We would, on the whole, prefer state schooling as it gives us more income to spend on doing things as a family and for the girls to do dancing, karate etc. so it's reassuring to hear that you think state schools can be OK (dds 1 and 2 are at a reasonable state primary at present).

OP posts:
arfishymeau · 11/09/2006 14:02

I have to say that I have a much, much higher standard of living in Australia than I ever did in the UK.

We are living in an amazing house, a 3 minute walk from the beach, we have plenty of high quality fruit, veg and meat (that isn't flown in) and a healthy outdoor lifestyle.

In the UK we lived in one of the more leafy areas - close to Hampton Court Palace and Richmond/Bushy Parks, but they still don't compare to what we have here. Every morning on my commute into the city I stand next to the ocean and wait for my bus and think how lucky I am.

arfishymeau · 11/09/2006 14:10

Hi bloss. It's good to see you again . Thanks to your advice I've been to see Ascham and it's a lovely school. We're at the interview stage with the head. Academically it's excellent.

My only concern is that I need to reassure myself that I'm not paying a premium for social status rather than schooling, which I'm starting to suspect might be the case.

cori · 11/09/2006 16:12

arfish, where in AUstralia do you live?

Bloss, you said austrtalian health care system is miles ahead of the NHS, but it is my understanding that it pretty much essential to have health insurance. How much does it cost for family of four for example.

Astrophe, where in UK are you.? There is a meet up of aussie mums planned soon.

sunnydelight · 11/09/2006 16:25

It's really interesting to get so many points of view. My DH is in IT too pinkypig and will take a seriously huge pay drop when we move if you do a direct exchange, but we still think our standard of living will be higher in Sydney. We will rent our house out here and rent in Sydney, at least for a couple of years, and there is no way we could afford a large, detached, 4 bed house with a pool in England whereas it looks totally possible in Oz. We do live in an expensive part of the South-East and DH's commuting costs (to London) are massive but believe me salaries don't go far around here (especially with three kids!).

threebob · 11/09/2006 20:17

I think your dh should come here as quantity surveyors are also in high demand (next door neighbour is one), and cost of living is SOOOOOOOOO much lower, great free schooling etc.

Astrophe · 11/09/2006 21:33

cori, I'm in Derby...I guess the meet will be in London? Would love to go but don't think I'll manage with my 2yo and 6 month old

01kiwicath · 11/09/2006 21:45

Just left melbourne....you woill love it if you end up there....we were renting a beautiful, large house, with big backyard and it was brand new for just $280....to buy $300.000 that wa point cook, goregous new subdivision.
You could easily have a very good life on that wage and I'm sur eyou will all be very happy!!!!
Theres so much to love down under!!!!

Good luck and hope to have helped

SueW · 11/09/2006 21:53

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