CDM

Is it fair to say that £1 has the same buying power as AU$1 or is this way off?

If I earn, say for arguments sake, £50,000 a year in England, would AU$50,000 a year net me a similar quality of life from a cost of living perspective?

- CDM

Australia_bound?

No $50k is more like living on £25k. You must be very unaware of what's what in Aus even asking such a question!

ckgreenall

another way of looking at this is that a £10k car in the uk would be worth $20k in Oz.

CDM

Yes, of course I am. Why do you think I'm asking the question to begin with!? I think you'll fnd that most poeple that ask questions here do so because they don't know the answer to begin with!

- CDM

Centurion

And that from the expert in Yorkshire ?

dor34

Hi CDM,

We visited Perth in March and found that for what you would buy for $1 there we would pay 1Euro or less in Ireland. I know you're talking £££ so I don't know how that would be for you. Ireland really is a rip off country at the moment and we found most things in Oz to be cheaper than Ireland even without converting. Hope you understand what I'm trying to say. Take care.

Dor X

LouiseR

I've heard that as a generalisation what you earn in £'s you need to earn twice as much in $'s. But as with all things you need to consider that everyone is different i.e what mortgage they have, what car they drive and things like that. so whats a lot of money to one person is sod all to someone else.
That doesnt really help or answer the question really!!! sorry!

Australia_bound?

Have to point out I wasn't claiming to be an expert, but very much aware of what things cost in Aus as I've been there and done my research. Also it's very easy to go online and look at various things available in Aus, what they cost and what the wages are!

Final point if exchange rate is over 2AU$ to the pound how can anyone expect buying power where 1AU$ = 1£

spartacus

I know what you're getting at CDM.

The exchange rate fluctuates, but in my experience the 'real' exchange rate sits at about two dollars to the pound, but that will vary depending on location / lifestyle / shopping habits. So when we first arrived, although the official rate was 2.5:1, it felt like we only had to earn 2 dollars to get a pounds worth of stuff. So from a wages point of view, if you're earning more than twice you're UK salary in dollars, you're ahead of the game.

In my humble opinion.

spartacus

I know the point you're making, but its impossible to generalise, particularly with cars.

A 10k car in the UK might actually be 15k or 30k over here, dependant on age (new against second hand), make and model.

Pommy Dan

IMHO, to make genuine comparisons you have to look at PERCENTAGE OF DISPOSABLE INCOME. or how long did it take you to earn $x v GBPx.


In Brighton, England my rent was about 20% of my disposable income. In Melbourne it is about 25% of my disposable income.

You cannot use the exchange rate on it's own or even really compare simple prices of things to get an idea of the cost of living etc.

Something that took me a long time to get my head round was the old adage that if you are earning dollars, dont do the conversion to pounds cos it just aint relevant.

macy

Have been here a few years and I still get shocked at some of the prices over here I know my parents don't find Australia the cheap place to visit they used to when we first moved over 5 years ago.

Its the incidental things, our doctor doesn't bulk bill anymore so when my youngest had an appointment plus his medication it came to $200 just on one visit to the doctors, the next week I was up there again with the other child and again $75! Obviously in the UK under 16s don't pay for medication so it is a real eye-opener when you first move over.

I love Australia but be aware you do have those extra costs that you don't have in the UK, if you can't pay to see the doctor and get your medication then you can't go.

Sunshines free though

Pommy Dan

Are you not able to claim any back on Medicare? That will bring it down a bit...


.. and what a beautiful day it is in Melbourne..

TrickyTree

The problem for some is finding that initial $200 at the drop of a hat even though in the long run you may get 75% (figure plucked at random) back.

Pommy Dan

True - i miss the old 'free at point of delivery' NHS sometimes.

But saying that it COSTS $200 isn't actually accurate, is it...?