Gokap wrote: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?
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.JR8 wrote:Gokap wrote: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.
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.Gokap wrote: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?
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?)Gokap wrote: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?
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.Gokap wrote: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.
If it makes no difference to them, and positively incentivises/benefits you.... why not!Gokap wrote:I will for sure ask the question about transferring from housing budget to salary but the contract says this is not possible.
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.Gokap wrote: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.
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