[spudulike]

I'm sorry to post a bit of a moan but it's just a question for those of you here already really.

We've been here 6 months and realised very quickly that long term we would be quite badly off financially if we are to stay. We hoped to stay for at least 2 years to gain our permanent RRV so we could come back later if we wished. We are both educated and professional people, my husband has a good job and I'll be returning to work as a teacher in a couple of years (we have 2 pre school children so it would cost a full wage in child care to return now).

We have just completed our GST return and have come to the shocking conclusion that between that and our tax we will have to save about 40% of our income just to pay these taxes. This actually does not leave us enough money to live - and that includes grocery shopping!! This doesn't leave anything for things such as Dr's fees, WoF on the car etc.....

Please bear in mind that when we were in the UK we would go out for days, have meals out, weekends away etc and in 6 months here we have not done anything at all. We live in a beautiful country and we can't afford to see any of it.

How do people manage here? I just can't get the sums to add up at all. If we had a lifestyle that was beyond our means or a huge house and full SKY TV package etc then fair enough but this seriously feels as though we are living on the poverty line. We are actually considering going back to the UK early next year before we have to start dipping into our savings (house deposit) to live.

We came here so we could enjoy a better quality of life as a family and my husband now has to work even longer hours and still we are struggling. Sorry to be depressing but I just want to cry. I am just about at the lowest point since we arrived.

Is everybody else managing to live really comfortably? Are we missing something somewhere......

Thanks all

Louise

[leigh31]

Hi Louise,

I'm sorry that you're having such a tough time. You're not alone. I was just have a very similar discussion last night. My boyfriend took me out to dinner for my 32nd birthday, and it was SOOO nice to go out to dinner. We RARELY go out in NZ, because we can't afford it. When we lived in NYC, we went out often - had money & friends.

I made a half joke to when writing home the other day, saying we decided that friends were too expensive in NZ, so we gave them up. :) But it's really true. We went out with some people one afternoon, and with drinks & meals it was ended up costing us a whole day's pay. :wah

Anyway... I hope you are able to stay the 2 years - at least it will give you more options in the future.

Please feel free to PM me if you ever need to talk. :)

Leigh

[jubjub]

We dont seem to be doing tooo bad, but a major expense would give us a bit of a shake. (and has done in the last few months with car probs), and hubby earns just enough to not qualify for any assistance.

Our Mortgage is around 40% of our income, and our bills inc food/power etc make up around 50%, there are two of us and a small baby. We then have around 10% that you would think would be left over.... we manage to save a little bit, but thats mainly when we have had a good month with no extra spends for nights out/new toys or clothes, just glad I have not caught this Pumpkin Patch craze thats going about in our coffee group!

We do have a small sky package, and generally have a takeaway most weekends, and I have developed a coffee/muffin habit :o that eats up some cash, need to reign that in a bit....

I have absolutely no idea how anyone on the average wage copes, even with the benefits/tax breaks.

If things are getting really tight, I make sure all the weeks meals are planned and only buy the ingredients I need, and forget about storecupboard staples for a month, and use whatever we have. by the end of a month like thats its like Old Mother Hubbards cupboard round here!

ETA:- have you checked that you are not entitled to any family assistance or help with Drs bills?

[colindp]

Sadly we have come to the same conclusion, I hadn’t come here for the money I knew I would be earning less than I was in the UK but the promise of a cheaper cost of living was enough to tempt us. However the cheaper cost of living we have yet to discover, from the day we arrived petrol has gone up and up.
I earn just over 50k and my wife works part time bringing in $700 a month and we are barely surviving. It hurts to such an extent that we are leaving NZ, I am a civil Engineer and have been fortunate to get a job with the State of California we expect to leave by the end of October…..

[sarahw]

Hi, First of all sorry you feel like that. The first few months is tough & we struggled a little & things have got better. We spent the first 6 months paying a mortgage in the UK whilst our house was still selling & rent in NZ - it almost bled us dry!

There have been lots of posts like this in the past & I reckon its partly that everyone comes out here with different amounts of money & everyone spends their earnings differently - what is a luxury to one may be considered a necessity to another. Not that I'm saying you're buying luxuries - it sounds anything but.

We're living comfortably, but we brought plenty of money with us so our mortgage is small, we bought cars for cash when we got here & still have quite a bit of savings. Whilst we live in a nice suburb, we don't live in the suburb we'd love to live in because we can't afford it. Could you possibly live somewhere else & save a bit of rent money? We did find things got easier once we bought our own house. The first few months were expensive because you're setting everything up & buying the stuff you need that you maybe threw out or gave away at home not thinking you'd need it. Also, the heating bill should disappear very soon for spring/summer for you & make things a bit easier.

We live a lot easier out here than we did in the UK (I used to HAVE to work full-time in the UK in a stressful job) - when we got here I studied full-time & worked part-time for a charity doing something I really wanted to do. I'm now a stay at home mum & we manage OK) OH works in construction & has a good salary but nothing like his salary in UK, but then again things don't cost the same as in the UK.

We came here looking more at lifestyle & the big picture of our lives rather than what the income would be in the short-term - OH wanted us to retire by the time we're 50 at the latest, instead of 65 in the UK & for me to be able to be a stay at home mum.

Whilst we're not out buying designer stuff like we used to in the UK or driving flash cars (& don't have the same disposable income) we're eating well, the house is warm & we can afford to go out & enjoy ourselves & don't go without.

You're living in Wellington - there's loads of free stuff to do on the weekends with kids, have you also thought about going camping for weekends in the summer? Something I'd never have considered in the UK but we bought a tent from K-Mart in their sale recently & can't wait to go camping once Charlotte is old enough! Great cheap & fun way of exploring the country & the kids will love it - big adventure!

[KerryS]

Are you sure you've calculated your taxes correctly? Basic income tax is bracketed at 19.5%, 33% and 39%, so you would pay these amounts on each level of income, then the GST is 12.5% on all your income that you have charged as a service. This is done every two months, and you pay what you have received, minus what you have paid.
You really need a tax consultant or accountant to ensure that you are paying the right taxes if you are self-employed, and ensure you claim the benefits and tax-breaks that you are entitled to.

I can understand how stressed you must feel. Money worries are never nice.

[pieeater]

When we had two little ones,it was very tough too,my wife went back to work part-time nightshift as a Nurse after six weeks and we shared babycare duties that's how we kept it all going.I can't see how you could manage on one average income over in U.K. never mind over here.

[incredible hulse]

Louise
On reading your post I thought my wife had registered and was posting ! Our situation is almost identical to yours, including timescales, etc. I am fortunate to have a good salary by NZ standards I think but am still finding that disposable income is almost none existent. We have a nice house in Paraparam but this would be the only improvement I can see on our UK standard of living. The reduction in salary we have taken just doesn't equate to the living costs to be honest. I honestly believe you need to be looking at double your UK salary package here (in dollars) to have a similar standard of living. We didn't come over here as we didn't like the UK, but more as an adventure and a chance to see a part of the world. We had lived in Sydney for a year several years ago and loved it - we travelled a lot, went out a lot, etc and had expected a similar experience in NZ. Our initial target was 2 years and then see how we went, but at the moment I am struggling to see what NZ really has to offer us long term. We plan to use the 2 years to see all we can here, (an no doubt there is a lot to see from a tourists perspective) but am disappointed to date.

[Al_S]

Sorry to be depressing but I just want to cry. I am just about at the lowest point since we arrived.

On the contrary, notes like these are really the most valuable ones for people who might be considering the move desiring to go for a "relaxed" lifestyle and the ability to spend more time with the family, etc. Many thanks for an honest and touching post. I hope things improve for you. I am sure because of your input many others will make sure they have not underestimated the living costs in their planning phase. NZIS site does seem to lowball the living costs but then we know their job is to "sell" the country to prospective immigrants.

[edsinclair]

What is this about GST?

My husband has a job and makes very, very little money and I'm looking for a job. I assumed that the money they take out of our paychecks before they are deposited in the bank is what we are paying in taxes.

Will we have another tax bill at the end of the year?
We certainly won't have any money to pay it with.

I'm confused. Would someone please explain this to me?!

[clg]

Sorry to hear things are not going well. Money does often seem to be the tough one for people, that is for sure. In our case, we are getting along well but we came over with a good chunk of cash which really helps. Currently, we are on one income instead of two and we need to 'subsidise' things like international travel from savings but that is so my wife can stay home for a while and we planned it. When we are both working we will be OK, but I don't think we will have the sort of disposable income we used to have.

Still, we spend less here no doubt about it but as others have mentioned there are a lot of free things here you can take advantage of. It has taken us some time to get used to not spending as much but we are getting better. We buy from trademe (I had never bought something from ebay it was always amazon). Also mentioned by others already are things like working for families, that helps bump up incomes. It is a hard adjustment coming from a buy lots of things culture to one that works differently. Our consumption has dropped but we still consume more than most kiwis. We have mysky, eat out, travel, etc. On two incomes we will be able to afford our current lifestyle and save some.

On friends here, we almost always entertain at each others houses, bring a plate and some beer/wine sort of thing. Lots of fun and much easier if you have kids! I go out with work mates to the pub or some cheap lunch place but we don't meet at restaurants (unless work is paying!)


Salaries here seem to vary quite a bit too and people will take advantage of migrants by offering lower salaries. You need to do some good research here. If you are not sure about what a job pays, email the HR department and ask for the range of the job most give it to you. That can help if you find you are worth more than you think.

Chris

[Smiler]

We have a pretty good standard of living here. However we are just about to make some extreme changes to our financial situation.

It''s hard to get a handle on what is needed to survive, and what is needed to have a life..especially when you need to make these cuts and choose.

Would some of those struggling, be kind enough to list their income/outgoing (approxs) so others can see what is a survivalable financial scenario.

Not too personal I hope, but maybe listing approx values and situation etc.

[Koen]

Since I am not from an English speaking country , is it possible to post full name's i have no clue what GST etc is .
Thank you , would be a great help

[KerryS]

What is this about GST?

My husband has a job and makes very, very little money and I'm looking for a job. I assumed that the money they take out of our paychecks before they are deposited in the bank is what we are paying in taxes.

Will we have another tax bill at the end of the year?
We certainly won't have any money to pay it with.

I'm confused. Would someone please explain this to me?!

In a nutshell:

If you are paying taxes via PAYE - where your employer pays your tax as you earn, then you don't need to worry about any additional gst component. Many people who have PAYE don't need to complete a tax return, unless they make expense claims or have a taxable asset provided by the company (a car or whatever).

However, if you are a contractor or self-employed and earn more than 40k, then you need to register for gst. You then charge for gst on your services, and claim it back on the services you purchase.

Tax is a really complex issue - and I'm not an accountant, but if you have any queries just phone the IRD office who will be able to help with your queries. (Especially if you are concerned about whether or not to file a tax return.)

[Richard_from_Long Beach]

Koen: GST=Goods and Services Tax

http://www.ird.govt.nz/gst/

[Avalon]

Louise,

Im really sorry to hear your troubles. Finances are such a hard problem to deal with and im not surprised this is getting you down. Its so hard anyway to make a new life - but add in the difficulties with money that many people face and it becomes a nightmare for many. You are not alone in this - and I hope you can take at least a little comfort from that.

I absolutly second Kerry's suggestion that you check this tax bill. I know paying for tax advise is probably the last thing you want to do - but a good accountant is worth thier weight in gold. Please make sure you are not paying more than you should, and do make sure if there are any benefits you may be able to claim. It may not change your view for the longer term, but it may help you out now.

I was also wondering if your husband could change jobs and earn more money - or even just out-and-out ask for a pay rise. I know we dont really like doing it - but you know - it does work for some people. The bottom line is that thay will lose thier working sonner rather than later if the situation doesnt improve - so are you in a position to get them to pay you more so that you stay longer. What CLG said about companies taking advantage is actually very true - we found this happened to my Husband. Telecom employed him at a low wage - and felt that migrants will always give thier first employer a years work out of loyalty for giving them the job. He made it a point of principle to walk before the year was up. For 30% more salary and a fuel card.

Dont always think you have to cut back even more. There may be another way.

We manage to live quite comfortably. We do have a single high salary (by NZ standards at least) but we also have fairly high expenses. And we do save a lot of money. We are in the few that seem to be actually better off in nz. However - if OH hadnt changed jobs - we would be really in trouble. Even then - o live this way - I have to spend a lot of time organising the finances, planning and budgeting.

If you need some help I could always try going over your stuff and seeing if I can find ways to lessen the burden you are under. Its not the easiest thing to do - but I sorted us out when we were in a right pickle, so there may be something I can help with. PM me if you think that would help.

{{{HUGS}}}

[Anita & Marco]

Hi,
I see a lot of people from Wellington (area) have reacted to this post of Spudulike - probably not a coincidence?

The biggest difference between having a (financial) good life and just getting by is probably with how much cash you come over to NZ. When you can live with no or a small mortgage here, you can live easily also on one not too high salary. However, when you do not have a lot of cash it might be very difficult to have both ends meet and this can be very frustrating.

In our case, I could afford to work part-time and do a lot of travelling, going out to theaters and dinners as often as we liked to when we were in The Netherlands. After settling down in Wellington we needed a huge mortgage (of course that is something you choose) and are not planning any huge trips, except from 3 weeks around the South Island when family is coming over. We still do go out and have dinners out, but now we both work fulltime and earn more than the average salary.

On the other hand we came here for the adventure of settling in another place - and an adventure it will be....

Cheers,
Anita

PS All Wellingtonians: this Saturday 2 September: Meet Up in the Zoo!!!!!!!

Cheers,
Anita

[incredible hulse]

We have a pretty good standard of living here. However we are just about to make some extreme changes to our financial situation.

It''s hard to get a handle on what is needed to survive, and what is needed to have a life..especially when you need to make these cuts and choose.

Would some of those struggling, be kind enough to list their income/outgoing (approxs) so others can see what is a survivalable financial scenario.

Not too personal I hope, but maybe listing approx values and situation etc.

Smiler - I've estimated our monthly outgoings. We are not struggling as such and I am full aware that there are things we could do without if we had to but I don't think we live particularly excessive lives
Mobile 40
Broadband 45
Sky 62
Train 230
Gas 200 (Water, Fire and now Central Heating !!)
Electric 225
Rates 120
Food shopping/nappies, etc 450-650
Lunch/Coffees 125 (1 worker)
Booze 75
Petrol 175
Bins 10
Phone 50
Car insurance/WOF/Tax 110 (2 cars)
House insurance 50
Cash withdraws 150-250
1 * Kindy 30

I've excluded mortgage payments. This is for a family of 2 adults and 2 young kids (1 at Kindy), and one of us working. I would hope the electric would come down to closer to 100-150 and Gas to 100 when winter is out.

[Diny]

My other half had to make 2 trips to the dentist this week. He's had 4 small fillings and a polish. Total cost $708.00.

However, he hasn't seen a dentist for ages so if you spread this cost over a period of say 2 years I guess it's not too bad.

Diny

[Trigirl]

As part of the plan for our move I’ve spent a lot of time doing some very detailed budgeting. I came to the conclusion that even in central wellington we could live quite happily off my salary and still afford to go out etc but would probably struggle to save very much. With two salaries coming in we’ll be significantly better off in NZ than in the UK despite 40% cut in salaries – mostly due to significantly reduced cost of housing and transport.

The process of researching and completing a budget for us has been really good. Its left me much more confident than I was about moving – I love wellington but this was the one thing that was really worrying me and doing the research really helped.

[jen1]

I am having similar doubts about the money and cost of living. We have not made the decision yet. But I worked out we would have 1000$ left over every month which is a lot in NZ but would be blown with one trip back and acommodation etc. Not sure we would be better off even without a mortgage. I appreciate that it is about a way of life etc. but if we cannot afford to go out, have day trips etc. I think we would have traded a life where we have all that, live in a nice house (converted barn), in a nice area for a life where we have to be careful with money, potentially live in a worse house which might be badly insulated etc ad compromise on area! :wah

[Keith]

Sensitive one this one,(trhough never understood why)

people are saying that they do not have enough money or spare cash to live.

as someone looking at coming out what sort of wages are we looking at to live and have a life.

0-50k

50k-75k

75k-100k

100k+

assuming you bring no lump sum.

[Trigirl]

Hi Keith

These things differ from family to family which was why I was saying for me it was so important to do my own research. How much you need to live on will depend on lots of things which is why any answer to that question will be personal.

For example some things that it will depend on:

How many of you are there? Living costs for an individual are very different from a family with 4 kids.

Where do you want to settle and in what sort of place? If you aren’t bringing a lump sum then housing costs are a large part of your budget. So are you after a 4 bed house in Auckland? Or are you planning to live somewhere more rural?

What do you mean by “have a life”? Some people are happy with camping trips and days out to the beach, do their socialising round friends houses etc. Others want to eat out, holiday abroad, run an new or newish car etc. As has been said on this thread already one persons essentials would be a luxury to someone else.

This site has a cost of living calculator that is quite useful. Plus there are online shops and trademe to get info on how much things cost to buy and cost of housing. The Inland Revenue site has info on how much you will pay in tax and ACC earners levy. Also there are other threads on this forum where people have tried to give budgets on how much things cost. Also if you've got questions on how much specific things cost people on here are really good at answering them.

Mandy

[Singel]

We have been living on one income before we came to NZ. In those days, all my hubby's salary went to the mortgage and daily expenses, we have no savings and could not afford to travel anywhere :no I budgetted our expenses and make sure that the actual spending are within or less than the budgeted amounts. Think of ways to reduce expenses, for example, energy bill.

Now in NZ, both of us are working and our mortgage is 30% of our combined income. We certainly could afford a lot of luxuries, however, we still controlled our daily expenses very tightly (I guess old habit die hard :confused: ).

I have previously posted a thread regarding expenses in relation to income, hope this info will give some insight : http://www.emigratenz.org/forum/showthread.php?t=6976&highlight=expenditure+income


Sorry to be depressing but I just want to cry. I am just about at the lowest point since we arrived.
Louise
{{{{{ BIG HUGS }}}}}

[xanctus]

Well I think as long as your hubby has a job with stable income...that would be great, don't you think? sometimes when u're so down, you should see from other prespective such as...new immigrants who are struggling enough just to get a job. With your situation, I think with a bit of adjustment you guys could probably have a better life. I don't know...I maybe wrong. But again, there are some many immigrants here in NZ are having difficulties of just get a job.
Sorry didn't mean to bash you, but when I read your situation, I couldn't imagine what others who have no job. :D

Good luck tho...

[Koen]

I find those taxes in New Zealand ok , got my paycheck today in NZdollars 6400 , after taxes 4000 then minus pension and health i get to keep 3700 NZd.
End of the year they come and find me again (seems i pay too little ) and i get another 500 dollar tax bill.

I think people survive in NZ the same way as in any other country. Work and save hard.

[spudulike]

Well I think as long as your hubby has a job with stable income...that would be great, don't you think? sometimes when u're so down, you should see from other prespective such as...new immigrants who are struggling enough just to get a job. With your situation, I think with a bit of adjustment you guys could probably have a better life. I don't know...I maybe wrong. But again, there are some many immigrants here in NZ are having difficulties of just get a job.

Good luck tho...

Sorry mate but as much as I sympathise with people who are struggling to find a job my primary concern is how to feed my children and keep a roof over our heads. It's not 'great' having less money coming in than going out!

Louise

[Anita & Marco]

I find those taxes in New Zealand ok , got my paycheck today in NZdollars 6400 , after taxes 4000 then minus pension and health i get to keep 3700 NZd.
End of the year they come and find me again (seems i pay too little ) and i get another 500 dollar tax bill.

I think people survive in NZ the same way as in any other country. Work and save hard.

Koen,
I assume you are from The Netherlands like myself - and yes a salary of over Euro 3,000 is great - but a wee bit more than here in NZ. And don't forget we can deduct rent on mortgage on Dutch tax!!!! That is making a huge difference as well as the mortgage rates.

When you earn more than NZD 60,000 (in NZ) you pay 40% tax on every extra NZDollar you earn.

Still, when you can live without or with a small mortgage in NZ whether this is rural or in a city you will be okay.

As for the question about earnings: we earn over NZD 100,000 together (two full time jobs) but still can't afford all the things we could in The Netherlands. It is only us - no kids. But at the moment that is not a problem at all; we will have to see how we are doing in about two years' time. I must say we are not the kind of people who live on a bargain.

Cheers,
Anita

[able]

Can we Survive in New Zealand? If an immigrant in the UK asked this question the only way I could answer it would be if I knew

+ their income
+ what part of town they lived in
+ which town or city they lived in
+ what they wanted out of life

Since nobody here is stating these things it looks like a very hard question for anyone to answer in a helpful way. People might not want to reveal their income etc but unless you do you can't get a constructive answer to the question Can We Survive in New Zealand?

[KerryS]

Sorry mate but as much as I sympathise with people who are struggling to find a job my primary concern is how to feed my children and keep a roof over our heads. It's not 'great' having less money coming in than going out!

Louise

Louise - please, please see your local Citizen's Advice. They will be able to offer you free advice about your taxes. 0800 FOR CAB (0800 367 222)
There is no way anyone should be paying more in tax than the 40% threshold. They'll also be able to give you advice about any benefits you may be entitled too - especially if you have two young children.
I appreciate this is a very worrying experience, but please do seek some expert advice.

[ruthyroo]

There are no answers to this one are there? We all have different expectations and have differing abilities to adjust to financial life in NZ, and different tolerance levels for change.

For what its worth, when we had two salaries coming in and a combined income (2 of us, no kids) of over $100K we found life in NZ financially sweet. We went out a lot, travelled both abroad and in NZ, didn't really budget, and saved a lot. Then we thought we'd move south for those dreaded 'lifestyle' reasons... it seemed a good idea at the time! Currently we have one 'average' income and one above-average-but-unreliable income (relief teaching). And it's really difficult to make ends meet. We certainly don't go out as much (at all), we plan all meals and budget for all purchases. By being really disciplined, on one average salary we can just about afford to pay the rent, and the bills, and feed ourselves well. Luckily my wonderful father sends us a box of NZ wine every couple of months! But on that single average salary we have no money for holidays, for car repairs, for the Dr or dentist, for savings (ha!), for eating out, for new clothes, and we literally plan every meal / purchase in advance and everything is home cooked. I think we have a takeaway about once a month. We're lucky that we do have some extra money coming in from Mr Rr and we don't have kids, so we can roll with the financial blows a bit more easily. But I have had my fair share of panic attacks and seriously depressed moments when trying to adjust to the reality of living in such financial straits - but TBH it's normal to live this way in NZ, especially for one-average-income families. To not go abroad on holiday, to live on cheap foods (lots of mince and sausages), to shop for Xmas throughout the year at the sales, to buy and wear 2nd hand clothes, to furnish a house from garage sales and op shops rather than IKEA etc etc. Fine if you're used to it, okay if you can see it as a challenge, but depressing if you don't want to live like this.

[SharpBlade]

Koen,
We used to live in Belgium a long time ago, and I can tell you, it is much easier to get a confortable life in Belgium than it is here in NZ. I find the belgian system too easy with people when it comes to being on the dole, child benefit and so forth (and what about the sick leave, number of days off people are entitled, etc..). We like it because we find people are resilient, they take on plenty of little jobs to make ends meet, and although I sometimes wish we were still in Ireland (where money is very good), this place feels much better, there is a good vibe in here, probably because people are not assisted as much than they are in Belgium.
ANyway, this is borderline unpolitically correct, I guess, but yeah, that s my opinion.
When are you moving to NZ (or are you here yet?)
Laurence

[xanctus]

Sorry mate but as much as I sympathise with people who are struggling to find a job my primary concern is how to feed my children and keep a roof over our heads. It's not 'great' having less money coming in than going out!

Louise

True enough...but some people have kid(s) with no job also. So yeah...I hear you.

[pieeater]

I recently read a book called "The Waikekie Pioneers" it is a thoroughly riveting account of the early settlers who came to Northland in the late 1800s to fell and mill the Kauri.They had it rough.Haven't things become so much easier now and our expectations oh so much higher.

[spudulike]

Sorry for the delay in posting, had some probs getting onto the site :mad: Thank you all for taking the time to reply to my post, I really do appreciate it! :yes

It's comforting to know we are not the only ones struggling (although I wouldn't wish it on anybody else either... :o ) I think for the forseeable future we'll see if we are able to claim family assistance - for some reason I thought we weren't entitled to claim for two years. We will also try and get a good accountant.

In the long term we certainly will not remain in NZ, to live here in these conditions is an existance, not a life (only in our opinion of course). We are going to look at what Oz has to offer and whether it is worth considering a move there and if not we will go home to the UK which is fine as I think it's a great place to live and we have more prospects there...

At least we won't have any regrets and wonder what if.... and in the meantime I'm hoping we get a good summer to make up for our winter :laugh

Louise

[able]

I'm sorry to seem nosy but you're trying to live on one persons wage and you've said

‘This actually does not leave us enough money to live - and that includes grocery shopping!!’

‘We live in a beautiful country and we can't afford to see any of it.’

‘this seriously feels as though we are living on the poverty line’

Would you mind saying whether you are paying rent or whether you own your house in New Zealand and how much money the single earner is earning that leaves you on the poverty line.

If you could do this, it would make your post useful to people not yet in New Zealand and perhaps other people in New Zealand would be better able to give helpful advice too.

[herseymusic]

I'm going to have to agree with Xanctus on this topic, and I think his great post has been too easily dismissed and overlooked.

Even though NZ Immigration likes to do so, comparing the NZ labour market to the UK or US or AUS is rediculous. There are millions of fewer jobs to go around here, especially jobs desired by upper middle class workers like those on this board.

Sure, starting salaries with most NZ companies aren't very good, regardless of your experience. But if you're not willing to put in a year or two of grunt work after immigrating to a new country on the other side of the world, I don't know if you're coming here for the right reasons.

The phrase "quality of life" gets bandied about on this board a lot, but there seems to be a discrepancy in what people consider to be a "quality" life. For some, it's one in which they can easily get into the outdoors, enjoy nice weather, are surrounded by friendly people, and feel safe in their homes. For others, a quality life is one in which they can frequent restaurants, travel internationally, and have a big sky TV package. Obviously, these two different lives have very different costs.

I stated in another thread that many well-to-do immigrants to NZ often have a feeling of entitlement about the lives they will lead here. And while this certainly ruffled some feathers, I will say it again. In this tiny country on the bottom of the world, an immigrant from the UK or US is really no different from those coming from India, China, or the Middle East. We all have university degrees, we all have work experience. Why should those of us from western countries have an easier time settling than those who hail from Asia or elsewhere?

My advice: stick it out, look for new jobs, budget, and think about whether NZ offers opportunities that you can't get elsewhere. If you're still concerned about the bank balance after that, then consider a move.

[Moorf]

My word, I think you've summed up my entire thoughts on emigrating to NZ, please swap all my 5000 rambles for this sole post....

In particular your ref to the the discrepancy in quality of life. Spot on. It's such a hard subject to convey.

[lattner]

Hi all,

I think that if the goverment reduce the taxes by even just 5% on each level, would certainly helps a lot.

[spudulike]

The phrase "quality of life" gets bandied about on this board a lot, but there seems to be a discrepancy in what people consider to be a "quality" life. For some, it's one in which they can easily get into the outdoors, enjoy nice weather, are surrounded by friendly people, and feel safe in their homes. For others, a quality life is one in which they can frequent restaurants, travel internationally, and have a big sky TV package. Obviously, these two different lives have very different costs.


My advice: stick it out, look for new jobs, budget, and think about whether NZ offers opportunities that you can't get elsewhere. If you're still concerned with you bank balance after that, then consider the move.

Re: Quality of life..... We don't have sky TV, we are unable to go out unless it is free, we don't spend lots of money on clothes, books, alcohol etc and although we enjoy the outdoors life it is very difficult to travel widely around NZ without money. Quality of life for us would be to at a minimum to pay the bills. I also do not want to spend my life constantly doing without or not being able to provide for my children for the privelage of living in NZ - that is not why we moved here.

I have not said that NZ 'owes us a living' or that we are entitled to more than people of other nationalities so I really don't know where that assumption has come from. I also do not agree with your view that as migrants we should expect to be paid less and accept any job that is going - unless you believe migrants should be treated as second class citizens.

My original question was a general one about how people survive as we have come to the conclusion we can't. As for your advice, of course we budget - we are not stupid after all.....

I do however agree with you that it is important to consider whether NZ offers opportunities you cannot get elsewhere. I personally do not feel it does.

Louise

[able]

But if you won't say anything about your income level how can anyone offer advice or learn anything except that you have income xx and it's not enough for you? If a family earned £10K and could not survive comfortably in the UK I would understand. If they earned £50K and could not survive comfortably there would be many ways to advice them.

[Moorf]

If you could give us some indication of your position perhaps someone could give you some pointers. Budgeting wasn't in my vocab in the UK and I've had to learn fast here - and learn to shop differently for both food and clothes. We save in one area to finance another but I find it very hard, mentally, to stick to it as I've never had to think twice in the UK about a purchase - here I think once, think twice then walk away!

The reason I ask re your financial position is that if you said you earned $45k with a mortgage of $250k I wouldn't be at all surprised you had no money left, but if you had no mortgage and an income of $45k I'd think differently.

[herseymusic]

Hi Louise, thanks for your reply.

Of course I don't think of migrants as second class citizens, but that's pretty much the way things happen when you move to a new country - you have work your way back up the food chain, so to speak. What I was getting at with the nationalities bit is that the immigrant communities from non western countries seem to understand this fact, whereas western immigrants find this reality very hard to deal with.

Now, I'm single, so we are in different situations. But I am interested (and sympathetic) that you can't make ends meet. If you don't mind me asking, what suburb are you living in? This, I believe, is where the largest amount of money can be saved. The other is in utilities, as electricity and gas are quite expensive. I don't mean to second guess your lifestyle, I'm just trying to answer your question of how people afford to live with the lower salaries and comparatively higher cost of housing and consumer goods.

Thanks for reading,

Tyler

[spudulike]

Hi Louise, thanks for your reply.

Of course I don't think of migrants as second class citizens, but that's pretty much the way things happen when you move to a new country - you have work your way back up the food chain, so to speak. What I was getting at with the nationalities bit is that the immigrant communities from non western countries seem to understand this fact, whereas western immigrants find this reality very hard to deal with.

Now, I'm single, so we are in different situations. But I am interested (and sympathetic) that you can't make ends meet. If you don't mind me asking, what suburb are you living in? This, I believe, is where the largest amount of money can be saved. The other is in utilities, as electricity and gas are quite expensive. I don't mean to second guess your lifestyle, I'm just trying to answer your question of how people afford to live with the lower salaries and comparatively higher cost of housing and consumer goods.



Hi Tyler,

No probs, I agree that western immigrants probably do find things harder to deal with as we are used to a more extravagent lifestyle. I also think it's a fair point about being single compared to having a family.

My husband is on approx $50,000 and we live near Johnsonville. We looked very hard for 5 weeks and found a house (3 bedrooms) which was not expensive by Wellington standards but probably similar for what we were paying for a mortgage in the UK. Bearing in mind rates are included in the rent there is no way we could take out a mortgage with the interest rates here. Other than that we have oil radiators that we try not to use - we keep one on in our baby's room most of the time as we will certainly not allow her to get cold or for her room to get damp. Other than that we don't make lots of phone calls or have an expensive sky package. I cook from scratch and we try to get veggies at the farmers market at Te Papa. My husband travels to work on the motorbike as it's cheaper than the car and we have not had one night out since we arrived here! I really don't know how I could save anymore than we do.

I know I probably sound like a whinge but really - we were used to a good lifestyle before we moved here and are shocked to find it such a struggle. Even when I return to work although we will afford to live there still won't be vast amounts left over and holiday's will be out of the question - and I think life's too short to do nothing. I really don't think it should be this much of a sacrifice.

Hey ho... I'm not as down in the dumps as I was yesterday - probably because I know we're not staying though :laugh :laugh :laugh

Hope this gives people a better idea on what a family (can't) live on...

Louise

[wilson182]

We were not in the postion to bring over a huge lump sum, and manage to do ok here. We HAD to learn to live within our means (this is just a statement and not a dig at anybody) Not doing this in the Uk was a major factor in the debt we were in and we did not want to repeat past mistakes. There have been times, particularly when we were refurnishing that we have lived from paycheck to paycheck, and we questioned then whether or not it was worth staying, coming to the conclusion that we would give it another six months and see if we still felt the same. (couldnt have cause we are still here!!!)

[ENZ]

Hi Louise,

I don't know if you're aware of it, but by the sound of it you are entitled to approx $121 per week from the government. Put your figures into the calculator here:

https://interact1.ird.govt.nz/forms/famcalc2007/

You'll probably be able to calculate it more accurately than I can.

[jubjub]

Louise, I am not surprised you are struggling on that amount, but that is a low enough income to get help from the government, especially with a child.

Hubby earned just over that amount when we first got here, and if he had not managed to get a better job, I seriously dread to think of the hole we would have been in, we would certainly have no savings at all, and we have since had a baby, and they are expensive little monsters, and like in your house, he is the only one with a heater in his room!

Even though you sound as if you are probably going to leave NZ anyway at some point, get the assistance you may well be entitled to while you are here, so at least you can get a bit of enjoyment, and the odd luxury here and there, so you wont leave with quite such a sour taste of your experience here.

Hugs

[katandbob]

Have you also looked at the "Welcome Home Loan" this is a 95%-100% mortgage, KiwiBank are one of the banks offering it, I posted the links on another post a while ago. but put the welcome home loan in google and it will bring up the sites.

Kat

[Moorf]

I can see how that might be a struggle, that was just under what we started on 2 yrs ago and we lived in rental and didn't have the rates and maintenance we do now and things were tight. At the end of the day it doesn't matter if it's $100 or $1000 left at the end of the month, if it's not buying you the lifestyle YOU want then it's not enough and time to re-evaluate. Good luck with whatever you decide.

[Debbie P.]

I'm starting to get really stressed about this. As I understand it, my husband should be on or towards the top of the teachers' salary range, but even if he gets that, it's only about $58,000 or thereabouts?? (if anyone knows different, let me know). I will do my best to get a job, but I don't imagine there's that many medical librarian jobs available, so we'll either be on one income or I'll have to take a low paid unqualified job. We haven't got much money to bring with us. We're not materialistic but like Louise I'd like to go out occasionally. We like walking in wild remote areas, but you've got to be able to afford the fuel to get there, and I do like the odd takeaway!

I'm beginning to think we could be making a serious (and unaffordable) mistake here. Would it be true to say that to be able to afford a mortgage, the odd treat and still have some savings left we should aim for a combined salary of £100,000? And if we think we could potentially be on less than that, should we seriously reconsider moving?

[Moorf]

Debbie - again, "to be able to afford a mortgage" is a tough one to answer? A $50k mortgage on $58K? Sure, easy. A $250k mortgage on $58k? Much tougher. So if you're looking at having to spend $400k plus to get the house you want and have $150k or less to put down and an income of $58k then yes, I'd be a little worried and check the finances.

Yes, $100,000 would be necessary if you wanted a big house in a nice city area and a brand new car and holidays abroad each year. But $58k is sufficient for a modest lifestyle with a modest mortgage.

Having a second, low paid job is part and parcel of it for some, it provides the spending money.

It seems that those that do best in NZ, from what I've seen since arriving, are those that are prepared to fit the budget, make do and not feel deprived or hard done by if they can't have things bigger and better or "as they were in the UK". That's not pointed at anyone in particular as some are obviously struggling just paying bills, but you get the jist.

[Keith]

Find some of this a bit a weird ,

If you are thinking of moving to NZ and want to maintain a lifestyle surely you would have done some research first to see what sort of wage you needed to survive, maintain your current lifestlye (if thats what you want) , mortgage etc.

If you couldn't survive on the wage why did you move, sorry but it is part of the equation of moving and should have been considered.

Thats why forums like this a are very good, thats why I am using it to get the bad and the good so that you can have some of the facts and info before you decide. It's a big decision to move to the other side of the world and not one to be taken on a wim.

I do apologies if this sounds harsh and I may be not taking everyones personnel circumstances into account.

[Al_S]

Louise, I would agree with you 100%. Especially for those who are not coming in as a refugee ( with all due respect to them , I can not imagine the horrors they go through), an immigrant does desire a minimum standard of living and there is nothing wrong with saying "hey, if I can't even get the bare minimum here that I need, then maybe I should consider either another country or my own to return". No point in prolonging the "agony". I am with you; a country might have the best scenery in the whole world but try seeing it on an "empty stomach". All the best to you and your family.

[Debbie P.]

Thats why forums like this a are very good, thats why I am using it to get the bad and the good so that you can have some of the facts and info before you decide. It's a big decision to move to the other side of the world and not one to be taken on a wim..

Totally agree, that's why I find this forum so helpful. Thanks, Moorf. We certainly will have less than $150K to put into a house, so we're going to have to think carefully about our options, also about where we decide to live.

[Koen]

When are you moving to NZ (or are you here yet?)

If all goes well we will visit in januari and hopefully sign a contract (probably Wellington)

[clg]

Louise, I really feel for you and your family I can imagine how difficult it must be to look at falling numbers each month when you did not expect it. I think there have been some good points raised here about working for families etc, that would probably help. Also, your husband should look around for other jobs, he may be underpaid. We had some friends from Canada who moved back mostly because of financial reasons, they came over with very little savings while they really liked it here they were having a tough time getting by on one income. Part of it was housing which was much cheaper in Canada.

For those wondering if they can afford to live here or not the issue of what is enough to live comfortably on in NZ was probably what worried me more than anything else about the move. I stressed big time over it. Here are a few things that I did to help prepare. I used the budget tool on this website to put together a rough budget. I took a fairly pessimistic approach and added some to it. From there I had a rough idea of what the minimum income we needed to get by on was. For me minimum was a standard of living close to what we had in LA albeit less things like cars, electronic toys, etc. I wanted to live in a warm house, not have to worry about going out to eat on occassion etc. Travel was a must for us. I must have worked up a dozen speadsheets or so just trying to estimate basic costs. I then worked out longer term scenarios one what our income would be like once my wife went back to work. On my income, we can get by but to save and travel we need two incomes.

From a California perspective at least as a rough guidline I think that if you earn in NZ $'s what you earned in US$'s (on a # basis not converted basis) you should be OK. In LA, we could not have made it on US 50k but I know people who did make it so it is all relative which I guess is what makes the 'how much do I need to earn' question so difficult. For some people it is 150k for others it is 60k you need to determine your own level. NZ has a lot of great things but if you are too worried about just surviving you can't really take advantage of them.

Chris

[veronica]

I cant say much about others expenditure and lifestyles but I do feel that the wages in NZ are appalling. a labourer here will seemingly be happy to get $15 an hour, most of the casual workers are on about $11 an hour.
Like a lot of people who have posted in this thread I too feel that the NZ govt isn't too straightforward when it comes to the prices and cost of living in the blurb that is sent out. It is best to look into these things for yourselves and not just read the marketing that they send out.
I do know that although Pete and I have a lowered standard of living here I feel that we have a higher quality of life. Yes, I have changed both the way I shop and also cook. most meals are home cooked and I regard that as an improvement although with running two businesses between us thats sometimes hard.
It does seem as if a few people who have written on this forum feel that they have to be underdogs for a while as a new immigrant. why..........if you feel that an employer has taken advantage of you, look for another job or have a go at speaking to them. I do know of one or two people who have been offered a lower salary as the employer felt that they wouldn't know the salary that the job would normally be offered at., maybe not be aware of the current market values. So once again research as much as you can and if you feel that the salary is being pitched too low then say so. At the moment NZ is struggling for workers so the chances are you are in a good bargaining position.
I really feel that the time is coming for the unions here (and thats from a very non union person) to get active and realise the need to raise the wages, and I believe that the govt. has money in hand and should lower the taxes too. It seems a large number of kiwis just seem to accept some of the things that we regard as 'poverty' as a way of life, and some of that is the result of the UKs abandonment when it joined the EU and caused widespread economic problems over here.
None of that is helping you guys with your money problems but may enlighten some of the people in the UK. for you guys here I feel for you, we have been in the same position at different times and it is so soul destroying. If the weather allows it make a picnic and go to the beach or the park or something. its the weekend make the most of it while you are here.

[steviec]

Ruthyroo, that was a frightening message. No kids and an average wage and you are planning meals etc in advance?
I am a truck driver in the UK with 4 daughters who don't go without much! I am not on silly money and have a below average mortgage. Property prices and a better way of life for our kids was the attraction to NZ. That is still our plan. As has been said before, one persons luxuries are anothers way of life.

[wilson182]

I'm starting to get really stressed about this. As I understand it, my husband should be on or towards the top of the teachers' salary range, but even if he gets that, it's only about $58,000 or thereabouts?? (if anyone knows different, let me know). I will do my best to get a job, but I don't imagine there's that many medical librarian jobs available, so we'll either be on one income or I'll have to take a low paid unqualified job. We haven't got much money to bring with us. We're not materialistic but like Louise I'd like to go out occasionally. We like walking in wild remote areas, but you've got to be able to afford the fuel to get there, and I do like the odd takeaway!

I'm beginning to think we could be making a serious (and unaffordable) mistake here. Would it be true to say that to be able to afford a mortgage, the odd treat and still have some savings left we should aim for a combined salary of £100,000? And if we think we could potentially be on less than that, should we seriously reconsider moving?

Combined we are on less than $100 and we are able to get a mortgage (in the process of finding a house now:D ) at a payment that we can afford (all beit more than we pay in rent). It will be an increase and I will have to budget more but we can do it. However, we live in Rangiora on the South Island. House prices here are cheaper than Christchurch City and certainly a lot cheaper than Wellington or Auckland. This suits us, it was a choice to move here not a necessity. I need to work full time, but I would have had to in England too. My daughter is 6 and the school has excellent before and after school care, again this suits us (its not ideal, but thats the way is). You would probably need to look at the area you are looking to move too and compare house prices. Bank websites do have home loan calculators, try Kats suggestion of welcome home loans, it may give you some idea. Fixed rates at the moment can range from 7.75 and upwards. Looking back I think we took a bit of gamble as to wether we could afford to live here, and lucky for us it has worked out.

As to wages and employers, you dont have to accept a bad suitation just because you are a migrant, but dont jump to the conclusion thats why the situation is bad. I recently changed my job because I was unhappy and my new employer was offering a rate way under my current wage. I was ok with this as I would be no longer travelling to Chch city and would be saving money anyway, however when he offered me the job he had changed his mind and offered me just under what I currently earn. However, OH cant wait to change his job, his employer really takes advantage of his staff.

[David with a dream]

A very intresting read although it's one of those posts where I wish people could just cut to the chase.
1. How much do you get paid in NZ/hope to get paid
2. Whats your rent or if mortgage how much is it for and what does it cost.
3. How much cash did you bring over or hope to bring over.
4. Where do you live in NZ or hope to live.

I think if we had answers to these 'personal' questions it would help people planning the move get a REAL handle on the cost of living in NZ.

[Smiler]

A very intresting read although it's one of those posts where I wish people could just cut to the chase.
1. How much do you get paid in NZ/hope to get paid
2. Whats your rent or if mortgage how much is it for and what does it cost.
3. How much cash did you bring over or hope to bring over.
4. Where do you live in NZ or hope to live.

I think if we had answers to these 'personal' questions it would help people planning the move get a REAL handle on the cost of living in NZ.

Thanks David. I also asked that somewhere back on page 2.

[auskiwi]

A very intresting read although it's one of those posts where I wish people could just cut to the chase.
1. How much do you get paid in NZ/hope to get paid
2. Whats your rent or if mortgage how much is it for and what does it cost.
3. How much cash did you bring over or hope to bring over.
4. Where do you live in NZ or hope to live.

I think if we had answers to these 'personal' questions it would help people planning the move get a REAL handle on the cost of living in NZ.

1. I'm a teacher and my salary will begin at $59k. OH will be a house dad until he gets residency (I am Australian-so have residency-and OH's an American) and then hopes to find something he enjoys doing...(he would really love to have a wood shop and get creative making handmade furniture or something like that).

2. Hoping to have a mortgage under $100k-no mortgage would be ideal of course!

3. Hoping to bring between $300-350k nzd.

4. Hoping to live between Whangarei and Kerikeri eventually (Northland).

5. Think it is relevant to mention that we have three primary school age daughters, so are a family of 5.

I hope we are being realistic in thinking we can survive on these figures (at least until OH finds something to do that will supplement our income). Any feedback would be appreciated!
Regards,
Amy.

[Moorf]

In my opinion, and based on our lifestyle, a mortgage of under $100k and $59k income would be fine. Not extravagant, but you won't be struggling to pay bills (assuming you don't lease a Hummer and a penthouse! :D ). An additional salary would then be a huge bonus. I don't know the property market up there so not sure what $450-550K would buy.

Very quick calc (over brekkie!) which might demonstrate how tight it might be (if someone else out there is more awake than me pls correct me if I'm wrong!)... but VERY approximately:

A mortgage of $300k will cost you around $2,400 a month in repayments
An income of $50k brings in around $2,600
Your rates will add approximately $100 / mth on top.

Is our resident financial whizz-kid Av up yet? ;)

[jess]

We came over 4 months ago with no debt and with savings from our home sale that allowed us to buy our one car here with cash, put a sizeable downpayment on a house, and have a pad left over to buy some other things like fridge, tv, car ins. etc. with cash.

We make $60K a year combined (with one of us working part time and one full time) and have a $125K mortgage (15 yr.). We pay $1200 a month on it. We have internet and Sky, eat out two or three times a week at cafes and are still able to save money each month. We have no kids and we don't live in a big city (we're about an hour from Wellington) but we are definitley making more than we are spending now that we are done buying the setup stuff we had to get when we arrived.

We have not travelled NZ yet, but are hoping to do so once we save enough money to go without touching our emergency fund in savings. In the meantime we live at the beach and in walking distance of great tramping.:)

[katandbob]

Find some of this a bit a weird ,

If you are thinking of moving to NZ and want to maintain a lifestyle surely you would have done some research first to see what sort of wage you needed to survive, maintain your current lifestlye (if thats what you want) , mortgage etc.

If you couldn't survive on the wage why did you move, sorry but it is part of the equation of moving and should have been considered.

Thats why forums like this a are very good, thats why I am using it to get the bad and the good so that you can have some of the facts and info before you decide. It's a big decision to move to the other side of the world and not one to be taken on a wim.

I do apologies if this sounds harsh and I may be not taking everyones personnel circumstances into account.

Yes I suppose this question does sound harsh but no offence is taken :D I will try and answer on my views since starting this journey....

When we looked into it and started to apply....House prices in New Zealand were cheaper than now, the Food and living costs were slightly higher but we were confident that we could live on this.
When we got here, house prices had gone up, Just as they did in the UK a hike in house prices affects Rental prices, and other things too.

Kiwis that work with Rob said that Last year you could by Land out in Riverton (small quaint seaside village) for around $30,000, NOW the land is for sale at $ 150+ depending on where it is situated. A seaside view comends a silly price tag etc.
Now this one thing can make a huge difference, because the wages have not gone up to compensate.

Rentals are dearer to reflect the cost of the owners mortgages, There are still areas that are cheaper but these are getting snapped up quick.

We are about to buy a place, and it was scary to look at the budget. If we have a major catastrophe then it will be hard to figure it into the costs....ie If the car broke down and cost loads to fix, if one of us needed a doctor/dentist or optician....UNTIL we are actually living in our own house and paying the rates/bills etc then we will not actually be able to see if we can save or have holidays.
But we looked at it as that owning our own small bit of land, having farm buildings to do up etc would keep us too busy for holidays, and there are so many free things for us to do on our doorstep that its not that big of a problem ;)

What I am trying to say is when we landed in June we were walking on air, 6 weeks later when we started to get set up again the fact that I would need to work full time was evident, I got depressed, but decided to rise above it and realise that I was willing to work hard to give it a go...but I probably wont be getting SKY, I dont ring home as much as I did at first and us MSN etc instead as its free/well I am paying loads for broadband (ha if you can call it that - I hope Woosh is better than Xtra- but thats a whole other story)

But I hope it will get better, we can apply for Family assistance once our boys arrive...for as long as they are at school and till 31st Dec for my 18yr old (or until hes earning)

I can accept these limits, but I worry about my boys and wether they will agree with the move and settle or my nightmare, decide to save up for a flight home!

THEY will have to save for their homes from scratch etc so its going to be harder for them than its been for us - but that was a fact in the UK as well.
hope that answers your question a bit

Kat

[Avalon]

Is our resident financial whizz-kid Av up yet? ;)
Yeah :laugh but really not sure that I can any more to this.

Apart from - no migrant should have to do a job at a lower wage than a Kiwi because they are migrants. Thats discrimimation whether the worker is asian or european - they should get paid a fair wage. Bear in mind that in the main these are skilled jobs - for which there is a shortage of workers.

Find some of this a bit a weird ,

If you are thinking of moving to NZ and want to maintain a lifestyle surely you would have done some research first to see what sort of wage you needed to survive, maintain your current lifestlye (if thats what you want) , mortgage etc.

If you couldn't survive on the wage why did you move, sorry but it is part of the equation of moving and should have been considered.
.

Regarding this though - it can a bit difficult to do that properly from outside NZ. The cost of living in NZ is rising at an extremenly fast rate. Rates are through the roof, petrol is skyrocketing (though strangley is down 15c this month), interest rates went up 3 times in the last 12 months, and the cost of goods in the shops aint going down - beleive me. Oh - and lets not forget the increase in house prices.

You can get a rough idea - but it is different when you have to live it. Most people living here seem aware that the cost of living here is spirally upwards at an alarming rate. Yet NZ is still being touted as a cheap place to live. We thought we would be living like kings :D

[Avalon]

Not sure if its helpful, but:

Mortgage: 265k over 20 years
Split into two:

Mortgae 1: 165k fixed rate @ 7.42 = $1321.73 a month
Mortgage 2: 100k revolving credit @ 9.05% = $902.94

For anyone wanting to look at costs of mortgages
http://www.westpac.co.nz/olcontent/olcontent.nsf/Content/Home+Loan+Calculator+-+Fine+Tune

is the calculator I have found most useful.

[katandbob]

Yeah :laugh but really not sure that I can any more to this.

Apart from - no migrant should have to do a job at a lower wage than a Kiwi because they are migrants. Thats discrimimation whether the worker is asian or european - they should get paid a fair wage. Bear in mind that in the main these are skilled jobs - for which there is a shortage of workers.


Regarding this though - it can a bit difficult to do that properly from outside NZ. The cost of living in NZ is rising at an extremenly fast rate. Rates are through the roof, petrol is skyrocketing (though strangley is down 15c this month), interest rates went up 3 times in the last 12 months, and the cost of goods in the shops aint going down - beleive me. Oh - and lets not forget the increase in house prices.

You can get a rough idea - but it is different when you have to live it. Most people living here seem aware that the cost of living here is spirally upwards at an alarming rate. Yet NZ is still being touted as a cheap place to live. We thought we would be living like kings :D

I am sad and have been putting the grocery costs into a spreadsheet, to work out where the cheapest grocerys were, some pears I bought 1 week were $2.99 Kilo, the next week they were $3.89 and this week were $5.99!

So with constantly shifting prices you can see why you cant budget well

Kat

[Avalon]

I am sad and have been putting the grocery costs into a spreadsheet, to work out where the cheapest grocerys were, some pears I bought 1 week were $2.99 Kilo, the next week they were $3.89 and this week were $5.99!

So with constantly shifting prices you can see why you cant budget well

Kat
Me too! I did this when I first arrived as I was gobsmacked by the price of foods. I now have a good idea of where to shop for different items, and a good idea of when to buy specail offers, and when things are just overpriced. It really helped control our spending. Though we still spend a hideous amount on food.

[Mike & Nicola]

Thought I had to reply to this one. Me & the missus (no kids) arent having any financial issues at the moment. We came over with a few pommie pounds in our back pocket, but pretty much spent all of them on travelling around the country enjoying ourselves. We then set ourselves up in Auckland, and our NZ lifestyle is pretty comparable to that of the UK (apart from having no mates :laugh ). Our NZ salaries are almost exactly double what we earned in the UK. We spend $300pw on an apartment in the CBD, go out for meals each week, eat well at home, drink plenty of booze, and save a shed load. So its not all bad, but I guess the main issue is the amount you earn. Granted we live in Auckland, but from our travels, cost of living does seem any cheaper than the rest of the country, and apart from Welly, there are certainly more choices here than the rest of the country. Anyway, my advice, think twice about taking any job lower than $60K, otherwise finance is ALWAYS going to be an issue. Most importantly, dont overstretch on your mortgage/rent.

Be cool people.

Mike

[Anita & Marco]

Hi Mike,
That's good to hear!! Well done.
But for most people jobs above NZD 60,000 are not available, since the average wage is about NZD 40,000 a year!!!
Of course you need to try to get as best paid as you can, but not everyone has a job in a shortage area, which makes a difference as well.
I my area - office management - there is a lot of competition with the kiwis, who are willing to work more than full time for a little money, so hard to find a reasonable paid job.

What line of business are you in?
Cheers,
Anita

[Mike & Nicola]

Hi there, I work in IT, and appreciate that its one of the highest earners in NZ.

I guess thats half the problem, if employees are willing to undersell themselves, that will always keep wages down, and keep the employer happy.

I guess Auckland is possibly different, because its a bigger market, competition for work turns it on its head, and employees have more negotiating power.

[Avalon]

I guess thats half the problem, if employees are willing to undersell themselves, that will always keep wages down, and keep the employer happy.
.
I really have to aggree with this. In fact hubby was just earlier reminding me about it. Ive often thought the biggest weapon employers have in keeping wages low is our utter reluctance to tell others what we earn. We seem to think its a dirty word or something.

We are in the fortunate situation here that OH's job has quite a small "community" of people who do it - and they are aften having coffee with each other - so they all know a/ whats going on among the various employers, and b/ what the salaries are. Oh jas just been offered an op by a recruitment firm (not for the BNZ job ;) ) - so his first step was to buy a coffee for the guy who took the job 12 months ago when it was last offered. He knows what the guy was being paid, and what he had to do for it. Makes a big difference.

Edited to add -

When you say twice UK salary - do you mean £30k = $60k or £30k = $180k. Sorry for being a numpty.

[veronica]

" Ive often thought the biggest weapon employers have in keeping wages low is our utter reluctance to tell others what we earn. We seem to think its a dirty word or something."

couldn't agree more, its obviously just one of those taboos that exist in our society. just notice that even when people have forum names they still wouldn't give any figures. Pete and me would give figures if we could figure out what we earn,:-) most of our money goes back into the business.

[Avalon]

Also, while chatting over coffee with oh - theres another thing that we found invauable in the fight against financial hell.

Louise - do you keep accounts? Not on a spreadsheet - but a proper accounting package (i use Quicken).

You have to be disciplined and put everything in (including having a separate cash account set up) and record EVERYTHING you spend. And BALANCE it when the statements come in. Doing that shows you EXACTLY where you are spending money - not just where you think you are, and can show up some really glaring areas where cutbacks can be made with relatively little pain and suffering (I dont belive budgeting has to be painful - otherwise they are as useful as diets which are painful to stick to).

We took some friends through this - and without too much hassle found enough money to go from overspend to savings - thats on a 60K income and one child. Using something like quicken is I think an essential first step in getting out of trouble. If you dont increase your salary - you have to find savings somewhere - and to do that - you need to know EXACTLY where that money goes.

HTH.