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Overseas salaries

Discussion in 'Teaching abroad' started by Jeremyinspain, Feb 19, 2020.

  1. T0nyGT

    T0nyGT Lead commenter

    How?

    43k after tax and pension is 2500 a month

    Average 1 bed is 1500 a month

    Then you have food, bills, council tax etc.

    No way on earth are you going to be saving 15k even if you don't eat
     
    agathamorse and JL48 like this.
  2. T0nyGT

    T0nyGT Lead commenter

    Impossible, as I explained above
     
  3. JL48

    JL48 Star commenter

    You understand that the £43k is gross? Once all deductions are taken out it's about £2500 pcm. Rent / mortagage, bills , travel to and from work, council tax etc take at least another £1500 pcm of that. £15000 savings per annum would be £1250 pcm. That would leave you with £250 pcm to live off.
     
  4. taiyah

    taiyah Occasional commenter

    Very good break down of expenses. As an inner-london landlord I do understand how expensive everyday living can be.

    This is why, staying with the Dubai-UAE-ME focus of this thread; it's important to spend, save and invest your salary (not package) wisely.

    Whether it's Dubai or any other destination... The international circuit gives people the opportunity to fast track their savings towards property ownership or retirement... Those who are really wise... Both.
     
  5. nemo.

    nemo. Occasional commenter

    In inner london 43k (gross) is poverty pay.

    My international salary is worth just about 100k in UK if I rent a small apartment in a cheap outskirts of London and assume I work nearby. I calculated this based on UK tax rates and an average fx rate for last two years.

    If you save a 1,000 pounds a month (easy on an international salary at a good school) for 40 years at real growth rate of 5% (a very realistic rate) will give you approx 1.5 million pounds.

    That can be invested with a 4% div yield to give an income of 60k in retirement. Tax will eat into that a little - I am assuming no use of tax minimizing structures. I am assuming a real rate with the 1,000 pounds a month increasing with salary (same %).
     
  6. sazad99

    sazad99 New commenter

    Sorry I understood living at home to be with parents and no rent.. I originally thought JL48 was serious when mentioning turning heating off, eating beans on toast and having no life.
     
  7. frogusmaximus

    frogusmaximus Occasional commenter

    Really this article is simply about long and short term goals and also having independent control over your finances.

    Need some quick money? I know a teacher who walked off with 100k sterling after 4 years work in the Middle East. Nice option to put down a house deposit or pay off the mortgage.

    I know another teacher earning a great salary overseas who spends every penny and in fact runs out of money as the next pay day arrives.

    The first will no doubt be well prepared for retirement and have a plan. The second, will probably need to remain living overseas as the options won't be there to return home, unless of course inheritance falls nicely.

    Talking of retiring and living overseas, know another teacher who has retired at 55 and lives comfortably with an above average lifestyle. Worked overseas for about 15 years and made good choices. That really isn't an option for most UK based teachers, unless you are of a certain age, can take a property windfall and downsize or move location.

    In conclusion, working overseas gives you more disposable income, just be wary of the longer term implications of your choices.
     
    gulfgolf, agathamorse and Powergnome3 like this.
  8. reginaali50

    reginaali50 New commenter

    Interesting, as when I worked in the Middle East, the only reason I had money left over, and it was not much, was because I could hardly spend it, not because I go such a great wage.
    It would be interesting to know where are these schools that are paying these wages are, where you can save so much that you can buy 3 houses, as one member says? I suspect that if you were starting out now on an international career that this would not be the case.
    And how are top end schools classified, are we talking about those that teach the British curriculum? I have never heard this about IB schools.
     
  9. T0nyGT

    T0nyGT Lead commenter

    There are no magic money tree schools where you can save a ton and have an awesome life. You're either earning a decent amount, living the good life and saving a little or staying indoors in an undesirable and possibly unsafe location and saving lots.
     
  10. taiyah

    taiyah Occasional commenter

    The packages are most certainly there... Current establishment start on 15-16k/m. The Cue--Eff and black gold ones, despite a different package are still decent. As for the 3 house.. Depends on where you're buying.

    You've worked here.. That sort of chat is not that important in these sand buckets. It's all about the tax free salaries.
     
  11. gulfgolf

    gulfgolf Established commenter

    There are plenty of options for earning good money and saving tons. But it's been said above, and it's been said before, including by me.... It's largely about the person, not the salary. I watched people fritter away ridiculous amounts and never have anything to show for it, never able to say where it went, always broke right before every payday. I watched people on the same salaries sock it away seemingly without effort, growing their investments month after month. Personality and personal choice makes all the difference.
     
    motorhomer likes this.
  12. miketribe

    miketribe Established commenter

    I'm the one with the three houses. We've been here for 40+ years. I got on the Madrid property ladder 35 years ago when prices were still low. The first apartment I bought doubled in price in the three years I owned it. The next house I bought doubled in price in 10 years and I bought my current house and the one on the beach out of the profits. The house in England, we bought out of the accumulated savings of the last 30 years. We live modest but comfortable lives. We don't eat out more than once a month or so, and we only go on overseas holidays once a year -- even less if you don't count trips to England.
    Spain is notorious for paying badly, but we managed...
     
    frogusmaximus and motorhomer like this.

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