Salary offer

[Gokap]

Hi,

First time of posting so please be gentle!

I have been offered a contract in Singapore on a monthly salary of 4500S$ excluding accommodation which is 7500S$ PCM.

Is this considered a good package?

Thanks

[JR8]

Welcome to the forum!

More details would help us visualise the lifestyle you require/aspire to. Plus your chosen field of employment.

So maybe the following for starters:

Approx age
Qualifications
Relevant work experience
Current job position (and outline of company, i.e. local, national SME, multi-national)
Offered job description (and ditto above detail)
Coming on your own, or with dependants (if so, rough details w/age)?
What are you housing expectations? (1-bed flat vs 5-bed house)
Any other critical factors.

None of this info should in any way encroach on your privacy, just give ballparks, but the better the picture you can create, the better people will be able to help you.

Over to you!

[Gokap]

Thanks for the welcome and reply!

I guess it was more to understand what sort of lifestyle would be available on that sort of income but accept it was more than a little vague so here we go:

32
1st degree from UK university
10 years in sales and with the last 3 involving strategy across Europe with a multi national
International Account Manager and manage various markets. P&L of over $15m bottom line moving into a similar position.
No dependents at the moment
Expectations would be for a min 2 bed maybe 3 but no more, after this not much else, good neighborhood, pool, gym etc would be nice
Expectations would not just be to live / survive but to be very comfortable and prepare for later life

Cheers

[JR8]

Have a look at...

http://www.numbeo.com/cost-of-living/co ... =Singapore

A 2-3 bed condo in a decent neighbourhood is going to set you back ...maybe S$3-4k+ a month (and the sky is the limit).

Singapore for a local can be cheap. But for an expat, condo, booze, maybe smoking, western food, it is far from a cheap place to live.

p.s. I'm by no means trying to paint a negative picture. It's just more of a reality check...

[Gokap]

Thanks for the honesty I would very much rather be warned ahead of time. Just to clarify in case I have confused below is the budget:

Accommodation 7500S$ (can only be spent on accommodation)

Monthly salary 4500S$ (net and after accommodation)

From what you say this isn't necessarily a "big" budget, correct?

[JR8]

Thanks for the honesty I would very much rather be warned ahead of time. Just to clarify in case I have confused below is the budget:

Accommodation 7500S$ (can only be spent on accommodation)

Monthly salary 4500S$ (net and after accommodation)

From what you say this isn't necessarily a "big" budget, correct?

It's interesting, as to me the numbers seem reversed. I'm sure they're not, you understand, that's simply my impression.

As (to me) $7.5k salary, as a single guy + $4.5k rent would make a bit more sense than the flip-side.

Do you (and others here) think there would be mileage in asking if those figures can be flipped, as pondered? After all why should the employer care how a gross package is sliced and diced up.



p.s. Simply FYI. My first expat package in SG (some while ago now!), was basic c.S$7000p/m + S$3-4k rent p/m + plus usual extras. I'm just trying to highlight here that my basic was double my rent allowance... as opposed to the reverse.

[sundaymorningstaple]

Thanks for the honesty I would very much rather be warned ahead of time. Just to clarify in case I have confused below is the budget:

Accommodation 7500S$ (can only be spent on accommodation)

Monthly salary 4500S$ (net and after accommodation)

From what you say this isn't necessarily a "big" budget, correct?

It's interesting, as to me the numbers seem reversed. I'm sure they're not, you understand, that's simply my impression.

As (to me) $7.5k salary, as a single guy + $4.5k rent would make a bit more sense than the flip-side.

Do you (and others here) think there would be mileage in asking if those figures can be flipped, as pondered? After all why should the employer care how a gross package is sliced and diced up.



p.s. Simply FYI. My first expat package in SG (some while ago now!), was basic c.S$7000p/m + S$3-4k rent p/m + plus usual extras. I'm just trying to highlight here that my basic was double my rent allowance... as opposed to the reverse.

From a tax viewpoint, via either side, the allowance is either taxable or deductable as an expense in full anyway, just like the salary is. Therefore I would see no reason why the employer couldn't flip-flop the package and if the OP wanted to spend more on his lodging, then he could top up the difference. At least from my POV anyway. You would be surprised (actually you wouldn't) how fast your housing requirements change to one of moderation that way.

[Gokap]

Thanks both for the advice and comments, very much appreciated. I hadn't considered / realized just how much more the housing budget was over the net monthly income.

@JR8, was the $7k net of tax?

My understanding is from the company's point of view housing and salary are not transferable but the question will be asked for sure.

I should have mentioned there is also an element of compensation paid in the UK, £1650 PCM, though this is for costs incurred at "home" rather than living expenses in SG. There is also a bonus but as it is just that again I don't really consider for day to day living - roughly £10k gross.

Let me know if you think I am looking at it wrong?

[rajagainstthemachine]

you might want to negotiate with your employer to say i want approx 8k per month in salary and approx 4k for housing expenses.
that would be more realistic.

[Wd40]

If this was in India, you could rent a cheapo HDB for 7.5k and then enter into a kickback arrangement with the owner asking him to refund 5.5k back to you

[JR8]

Thanks both for the advice and comments, very much appreciated. I hadn't considered / realized just how much more the housing budget was over the net monthly income.

@JR8, was the $7k net of tax?

I think that was the gross figure, as I'd have no reason to remember the net sum. So say I got $X(gross) + circa X/2 as rent allowance. There are of course no absolutes, but just to give an indication of the proportions of my package.

My understanding is from the company's point of view housing and salary are not transferable but the question will be asked for sure.

I should have mentioned there is also an element of compensation paid in the UK, £1650 PCM, though this is for costs incurred at "home" rather than living expenses in SG. There is also a bonus but as it is just that again I don't really consider for day to day living - roughly £10k gross.

Let me know if you think I am looking at it wrong?

An element of pay in the UK. That seems quite unusual. Did you request this? I wonder what the tax implications might be, if any, (both re: UK and SG taxes?)

So all in:
S$4500 salary
£1650 > UK = S$3050 @ 1.85
£10k/12*1.85 = S$1550
Cash element = S$9100
plus
Rent = S$7500

It's making a bit more sense now! Though I would still question whether you need that much as a rent allowance. If you get get the rent down to say S$5k and the S$2.5k increment added to your salary I seriously consider it. As a single guy you could still get a great pad for S$5k.

p.s. That's one to consider/probe/ask; is that Rent Allowance on a use-or-lose basis? With me it was the opposite, they paid me the whole allowance a year in advance, and I was free to do with it whatever I wished (I.e. take a roomshare in an HDB, or take a suite at the Raffles).

[Gokap]

It's an international contract with a standard format which I didn't request. In terms of tax I pay hypothetical UK tax and the company pay the tax of whatever country I am in; Switzerland now and SG from June. I thought these type of contracts were fairly common but guess not from your surprise.

I will for sure ask the question about transferring from housing budget to salary but the contract says this is not possible.

I think the problem I may be having is that my UK salary is not where it should be as it has not kept up with the growth in the roles I've done and am doing. This wasn't an issue living in GVA as salaries are so high but now planning to leave it becomes an issue.

Thanks for the advice so far.

Any thoughts on where to live? I will be on my own but have a girlfriend so nightlife isn't at the top of the list.

[JR8]

It's an international contract with a standard format which I didn't request. In terms of tax I pay hypothetical UK tax and the company pay the tax of whatever country I am in; Switzerland now and SG from June. I thought these type of contracts were fairly common but guess not from your surprise.

Ah I see. The hypothetical tax adjustment used to be called (at my place) 'tax equalisation'. It was something only the real big-swingers got offered, and was phased out with us certainly 20 years ago. Maybe the Swiss still do it, don't know.

I will for sure ask the question about transferring from housing budget to salary but the contract says this is not possible.

If it makes no difference to them, and positively incentivises/benefits you.... why not!

I think the problem I may be having is that my UK salary is not where it should be as it has not kept up with the growth in the roles I've done and am doing. This wasn't an issue living in GVA as salaries are so high but now planning to leave it becomes an issue.

Thanks for the advice so far.

Any thoughts on where to live? I will be on my own but have a girlfriend so nightlife isn't at the top of the list.

An old maxim is to use international relo's (where they pick you, rather than you them), as a way to ratchet your pay up the pay-scale.

GVA-SIN, well you're in for a bt of a culture shock [I suppose it might be even heavier if you were now in Zurich ].

Re: your question. I wrote the following to someone else today...

----------------------
Size of property required (ft2) + number of bedrooms.
Type (condo with facilities, house)
Will you have a car and/or need public transport
Fixed geographic matters (workplace/s, school/s)
Other: proximity to facilities (the beach, the national parks, and so on, expat-type supermarkets and shops).

That's a starting point.'
-----------------------

Consider the above and then start a new topic/thread and ask for opinions.

p.s. Oh and your 'girlfriends' visa. How's that going to work re: residency? That's one for another new topic too.

Good luck!