isgraham

I'm back in London specifically because that kind of salary in Sydney at least simply doesn't provide you with the same lifestyle that your London Salary would. I have found that in moving back to London that a more accurate exchange rate would be more like 2.5 to 3 rather than 2.2.

rld1177

2.5 to 3? Now I really am getting concerned! How long were you in Sydney and was it the prices that forced you back to London or were there other aspects at play? My options (I am American) are return to London in February and extend my tier one and stay on about 100K or maybe shift to consulting in something like solvency II (even better money) or do the Australia option for the Asia experience and the options in the region. I am getting more and more concerned I am selling myself short here, so this is really useful info, thanks a lot.

Turban Explorer

100k Gbp equates to around 250 AUD in my opinion for Sydney/Melbourne so you will be taking a sizeable cut in income. Your company know this so when they tell you 170 is a fair conversion that's a fib. I'm not entirely sure what you do but as a commodities broker I found no one in Asia traded until about 3pm so the Australian time zone meant I was stuffed unless I worked nights. Bonuses were less than Asia and London and I was on the periphery. That's 2009 so it may be changing. You'll also need a car - Public transport doesn't cover enough.

What about the lifestyle? Are you fascinated by the idea of living in Oz? Do you like outdoorsy stuff? Beaches, national parks? Could that plug the economic gap ?

rld1177

I ran operational risk for a FTSE insurance firm division - global. My background pre MBA was tech, and this role is a chance to get more back in to tech but technology risk which I think would be intellectually more interesting. Also, it is being pitched as an asian growth option as this bank has some aggressive asian growth targets and investments.

Im definately interested in asia as a region - I lived in Hong Kong last year - but I found lining up a job in HK or Singapore tough compared to Oz - most wanted me to fly out for face to face interviews (not practical with my limited USA vacation time) in early round interviews (I would have considered it for a final round) or wanted local expat candidates. This has been pitched to me as start in Oz and move to another part of Asia in a year or two if I want.

London is a great city I can't blame you for returning - for me it comes down to going back there where I lived for 8 years and know the pros and cons or roll the dice.

isgraham

I moved back to London on a whim but also because I can save enough here to allow me to move back to Sydney. I was on $150k 4 years ago and even then it wouldn't have bought me a decent place to live by my standards but if you have lots of cash to take over and can buy a place to live without taking on a silly mortgage which is something I'm not willing to do then you should be ok. If you don't have deep pockets you will be surprised by how little $170k really is.

rld1177

I was hoping to avoid a car expensive in Melbourne as it looked like public transport was good enough to explore for a few months at least. I know Ill need one to explore other areas though I guess I was just hoping to delay the expense. Id also planned to rent, not buy, in the CBD and I see smaller 1 bedrooms close to work with views that are new builds furnished for about 200-2500 a month. In canary wharf I had a two bedroom new build at I think 1800 gbp on the thames and 1300 for a one bedroom so I guess rent at least is somewhat in line.

If I was clearing say 10K a month after tax (LAFHA a possible slight benefit until July) I was assuming about 7500K left after rent. I then though based on these boards maybe 90 dollars a day seems about right for groceries, eating out a couple times a week and drinking one or two night a week max. In short I was assuming I could pocket about 4-5K a month outside of months on vacation or special one off events. That would be similar to London where I pocked maybe 4K a month on a 100K salary after rent, tube passes, and a similar lifestyle. It sounds like this is too optimistic though so I need to rework a budget while considering this.

I must admit I never thought I would read a serious sentence about moving back to London where it is cheaper or to save money - I found living there quite expensive compared to Denver in the USA where I can literally buy a nice condo for 30K outright with mountain views.

Bermudashorts

Why do you have this idea that tax is a lot higher in Australia? I have made comparisons for myself and for other people and on the whole there seems little difference regardless of salary level.

stuartsummers1980

I personally think the whole 2.2 or 2.5/1 thing is codswollop but enough people on here seem to swear by it so I guess I'm in the minority. I came out just me and my wife to Melbourne a bit nervous about this multiple as I knew that in the industry I worked in, I was never going to be able to command an Aus $ figure of 2.2 to 2.5 my London salary. I just worked out a second ago what our combined salary works out as as a multiple of our London salaries and surprise surprise it's x1.53 lol. And I feel like we live like kings out here. We're on Chapel Street in Prahran with restaraunts and bars galore. Back in London we were constantly relying on La Tasca deals, and buy one get one free on eating out. Having to live out in Isleworth because we couldn't afford to live closer to central London, or even an SW postcode! Since we've been in Aus we're constantly visting new places and getting away every weekend we can. I've never been so "unworried" about money. Even our rent in Melbourne is higher, but the lack of council tax means it's evened out. The grass has definitely been greener, and that's on an exact exchange rate multiple.

As for your question about Docklands, you should be fine getting a decent 1 bed for around $600pw. Have a look on realestateview.com.au to see what's out there. I'd probably say try and get something with a water view if you're going to live there, as it's a bit souless and you need something to keep a smile on your face. Definitely pick Docklands over living around Collins Street etc. As that would do your nut in. Also with regards to a car, if you were living most places in Melbourne I'd say you need one, but Docklands is probably the one place it's better to not have one. You won't need it living there.

spalen

I guess like most migrants my memory of UK is based on when I left - 7yrs ago and the tax here at 50% marginal rate seemed higher. Refreshing my view and looking at the bands and marginal rates I guess they are more equitable now.

A single person on top marginal rate would still get whacked with a lot of tax and very few deduction opportunities , and need to include medicare levy etc.

Bermudashorts

Bands and allowances are different, can't really just look at the top one or bottom one and make a comparison. I have compared effective tax burden as a whole in the two countries. As I say, little in it.

I am a married person in the top marginal rate, single or married doesn't make a difference as far as I can tell. My overall % is much the same in UK / Australia.

Good point on medicare levy, it will make sense for OP to take out private insurance to avoid the extra bit.

rld1177

What is it about Collins, too much noise? Older builds? I am hoping to find something where I can walk to work - I know the office is on Collins (long street though!) in CBD so docklands I am told is walkable and that general area. I was focused on docklands because they are new builds - in London I found the quality of the builds in Canary Wharf were excellent while other parts of central london you could be looking at rubbish from the 1960s or out in zone 2 or 3 a converted house with thin walls marketed as 'four seperate one bedrooms' where you could hear everything going on in the apartment next to you. I am hoping the Dockland new builds have stuff like sound proofing and double glazed windows with modern central heat and air.

stuartsummers1980

It can just get a bit manic around the CBD and the main grid area of the city. Swanston Street for instance can at times resemble Oxford Street. There's just something quite detached (in a comparative good way) as soon as you walk through Southern Cross station & are out in to the Docklands area. I looked round a new build in Docklands. Good quality but don't hold your breath on double glazing, as the Melbournites haven't quite mastered that art of house/flat building. The flat we looked at was a bit pokey for the money, but was looking at less than the $600pw you mentioned, so doubt you'd find it too pokey with what you can afford. Modern heating/cooling a given though thankfully.

isgraham

You mention Collins street. I hope the job is not with ANZ because they were my last employer in Australia and they are really bad to work for if you are technical.

desperately

http://www.numbeo.com/cost-of-living...ity2=Melbourne

use this as a guide to compare things.

australia IS expensive - no two ways about it.

but like everywhere it has its good points too.

fish.01

After a quick perusal I think the "Local Purchasing Power" is the only useful number on there for comparing cost of living. All the rest seem to just use exchange rates for comparing cost of living which is pointless. Might read more later to see if I missed something.