How to compare cost of living across currencies?

[ktgrok]

So, we've toyed with the idea of moving to Scotland, IF DH could get a job. Not an immediate thing, obviously. But I'm having a hard time understanding how to crunch the numbers, partly because originally I'd look at salaries over there, then convert to our currency (USD). But...that conversion fluctuates. So really, not an idea way to do it. 

 

I guess the better way is to look at salaries in pounds, then look at rent, etc and try to figure it out? Is there a good website to look at real estate and rental properties for Scotland? 

 

Any other suggestions? I'm pregnant, and math seems like the first skill to go with placenta brain this time, lol. 

[FaithManor]

Have you googled "scotland expat" to see if you can find any expat forums? I used an expat forum one time whem dh was considering a job in Thailand. Members there were.able to answer some basic questions on calculating costs.

 

Since we currently plan to move to Aswan, Egypt I use real estate websites to establish a range for rent and utilities. We have friends there and have lived in their apartment before so we know food and tramsportation costs average as well as household items and clothing.

[ktgrok]

Have you googled "scotland expat" to see if you can find any expat forums? I used an expat forum one time whem dh was considering a job in Thailand. Members there were.able to answer some basic questions on calculating costs.

 

Since we currently plan to move to Aswan, Egypt I use real estate websites to establish a range for rent and utilities. We have friends there and have lived in their apartment before so we know food and tramsportation costs average as well as household items and clothing.

 

Thank you! What a practical, helpful hint that my pregnant brain couldn't come up with. 

[Code Lyoko]

Agree with FaithManor see if you can find an expat site.

 

For real estate, maybe this would help.

 

http://www.home.co.uk/?gclid=Cj0KEQiA08rBBRDUn4qproqwzYMBEiQAqpzns629PjrCc5KMKu2vZ9KVVCIMox-qE6MaUPXjvtm69Y4aAgqY8P8HAQ

 

FWIW, I would not move to another country until I had visited at least once with the express purpose of getting a feel for how it would be to live there.  Vacationing is one thing.  Living can be a HUGE adjustment, even when moving to a country where the language is mostly the same and the culture doesn't seem that different compared to other countries.  Do you adapt well to other cultures?  For Scotland in particular are you o.k. with lots of gray skies?  The culture is different, too.  If you are super outgoing and expect to make friends right away you may be disappointed.  

 

[Loesje22000]

Even with same currencies it is hard to compare two countries like Belgium - Netherlands.

Musiclessons, Daycamps are SOO mucht cheaper in Belgium, while groceries are so more expensive then in the Netherlands.

And they definetly don't have the same culture.

 

Things are uncertain too with Brexit and Scotland in/out the EU...

 

Otherwise :bigear: as dd wants to study in Scotland :)

[ktgrok]

I've vacationed in Scotland, but no, not for an extended period of time. It's definitely just a maybe, but at this point I'm doing the research to see if it stays a maybe or becomes a definite no. 

 

I adapt pretty well, but did find the people in the countryside more friendly than in Edinburgh. Not that the people there were unfriendly, just more mind your own business. 

[Laura Corin]

I think it's more useful to look at secondary indicators like: how big houses are, are people likely to have one car or two or none, what are the mortality rates like, how often do people go on holiday and for how long, how often people go out for dinner, what support there is for people who fall on hard times.  Cash in itself doesn't mean a lot.

Edited November 21, 2016 by Laura Corin

[Laura Corin]

(Messed up the quoting)

 

 For Scotland in particular are you o.k. with lots of gray skies?

 

The west is much more grey than the east.  Choose 'averages maps',  'sunshine' and 'annual'

http://www.metoffice.gov.uk/public/weather/climate/

Edited November 21, 2016 by Laura Corin

[TheReader]

Some other tips, from when we were planning our move to Brazil.

 

*see if you can find a few grocery websites as well, to figure the cost of groceries there

*definitely find an ex-pat board to see if you can find costs of utilities, and don't forget to include things like cable/TV, internet, cell phone, cooking gas, electric, water, etc. 

*cost of owning a car vs. renting vs. public transportation -- when we moved to Brazil, DH was given use of a company car, and his gas was reimbursed for his work miles, but to get a 2nd car would have been (and was) totally unfeasible, meaning the kids and I were carless the entire 6 yrs. Using public transportation (even hiring a taxi) was cheaper,  or we selected homes within walking distance of grocery stores, parks, etc. You'll want to look into things like that, not just the math of "how much is gasoline?" but the car itself, will you have parking (in apartments in Brazil, the parking space was a separate rental, sometimes included, sometimes not), etc. 

*research the US/Scotland tax arrangements; the US, unless you actually give up citizenship, still requires you to file US income tax no matter where you live/work in the world. Some countries have a reciprocity agreement, some allow for you to deduct whatever you pay in that country against what you would have to pay in the US, etc. and there is a foreign income exclusion,....it can be complicated. Find out what the agreement is with Scotland, and consider that working in Scotland, you'll likely have to pay their taxes, and then possibly also some of your US taxes. Be sure and consider that when looking at salaries. 

*Even things like furnishings, clothes, etc....will you take everything with you, or buy there? Get a realistic view on the cost of that; find shops or websites so you can compare and make a list, especially appliances. Check daily items, like diapers, wipes, all of those things.....you'll never cover *all* of it in your search, but try and get a good grasp on what you can before you decide. 

 

 

Much of this can be negotiated some when he applies for jobs, if he's applying as an ex-pat, but then again, if he's going to apply directly with companies in Scotland, you'll want to clarify is he being hired as an "expat" or as a "local" -- a global company, which hires him in the US and transfers him to Scotland as an expat will generally compensate for things like housing, travel back & forth once a year, relocation package, possibly tax assistance/accountant for income taxes, a business phone, maybe a company car/leased vehicle, possibly even school assistance for the kids. A Scottish company that hires him "locally" (even if he applies from the US) may or may not (and probably not) include any compensation for any of that, only the actual salary, and *maybe* relocation assistance, even though you guys would then be expats. Be sure when you compare salaries, you take all of that into consideration, and when you talk to expats, be sure and talk to those who are there living on "local salary" not "expat salary" because the gap will likely be large -- at least, it was in Brazil; we had 2 friends, same company....one had applied directly with the Brazil location thus was considered a local salary; the other, transferred to the same location from the US, as an expat. The salary/compensation gap was enormous due to the expat package perks of the one, as well as even a higher salary. Be aware of this when you search. 

 

Good luck. We made our move as a transfer from a US company (DH's current job still), and it was still a lot to consider as we were trying to determine if the salary they offered us was sufficient. We had a few US bills we  had to include, as well, so if you do have those (for ex, we had student loans...), be sure you calculate that and realize that if you're paid in foreign currency, the value against the dollar *will* fluctuate over time, and can be in your favor or against. Look at the chart for the past year to get an idea, and can you make your US bills even when it's at the lowest point? How easy/hard will it be to transfer money back if needed to pay US bills? Will you be able to pay them all with a credit card (issued in Scotland from your bank there) or will you need to actually transfer money to your US bank? What are the transfer fees and how easy do they make it? (in Brazil, it was nearly impossible and terribly cost prohibitive, yet there existed a fairly common "underground" system of an expat swap, where one paid in dollars would deposit in the US and one paid in local currency would deposit in Brazil, into each other's accounts, as a means of "transferring" money.....). 

 

I absolutely loved our time in Brazil, except for when I hated it, but am overall glad we went. I think it was a wonderful thing for us, for our family.....but it was hard, and the economics of it involved a lot more than just "can we afford rent and groceries", which we didn't realize until we were there. So, I'm not trying to discourage, at all, just to put out there all the things I would have liked to have known upfront. I truly do wish you well as you decide where to go :)