new-life

Hi
Both my wife and I are flying out to Perth week after next for the final stage of my interview with Rio Tinto.
I've have an indicative offer from them of $135k + 10% bonus + 9% super, full relocation package etc. I'm a senior process engineer and will be working at their HQ with a couple of days a week FIFO to site.
I have 3 children 16, 12 & 2 and am obviously looking for suitable rental accomodation and schooling/college which I believe I will be advised on by the relocation team.

My question is as per the many I have read can we have a comfortable lifestyle based upon that salary. Of course it is all relative to the standard you set yourself but based on a nice location 4 bed with pool 2 average cars and wife not working is this achievable and still be able to bbq every night, get p****d and not have money worries?

Any constructive advice is greatly appreciated

HelenTD

Hi, firstly, what sort of visa is this on? If it is a 457, has LAFHA been discussed? Have you had an opportunity to think about suburbs yet?

Bermudashorts

I don't live in Perth, I live in Sydney which is more expensive. Nevertheless $135k does not strike me as the kind of salary that means 4 bed, 2 car and not having to worry about money etc. It strikes me as a salary that is perfectly possible to live on but I think would require some budgeting as a family of 5.

new-life

Hi Helen

As yet the Visa has not been discussed so i'm unsure over the LAFHA, this will all become clearer during discussions during the 3/4 day visit.

I seriously have no idea over suburbs, this has all been quite a whirlwind so far so i'm desperate for advice.

new-life

Hi Bermudashorts

Thats what i'm worried over, picking up the many posts on here I do not wish to move my family half way round the world only to be up against it. Whilst we would be in a beautiful place its no use if you dont have the money to enjoy it

Bermudashorts

There really are no right or wrong answers when it comes to what is a comfortable salary. We are a diverse lot on BE. I think comparing to your current situation is a good start; $135k ~ £54k does this fare well? Consider that you migh tbe spending more on rent here than you did on UK mortgage.

new-life

We have a fairly simple life here but the mortgage is killing us, i'm contracting so money is good but up and down with no security and constant networking, we run two small 2nd hand cars and eat out once a month. We are a close family and create our own entertainment with our outdoor lifestyle of walking, biking etc. We love to bbq and spend time in the garden as and when the uk climate allows and if we could afford a pool we'd be laughing. Just looking for a 2 year stint to see how it goes and get away from the crap in the uk at the moment. Concerned over my eldest sons opportunities here but he's at college and would continue to do so at Perth.

EvannTel

Briefly whats you're experience?
That offer seems low for senior process eng.

I would have said an ok wage but not luxurious with 2 teenagers and a wife not working - a lot of wives work here.

new-life

Hi EvannTel

Over 25 years experience of various capacity and seniority, there's the 10% bonus + super on top plus negotiable benefits of which i've yet to discuss. There is the distinct opportunity for early advancement also. My wife would be seeking a career once our 2 year old starts school.

EvannTel

Hmmmm I think I'd be pushing gently for a little more.

cubeonly

I would comment that what seems to happen at the moment is that someone gets an Aus job offer with salary quoted in AUD, divides it by the current AUD/GBP exchange rate (1.53 today) and says "cor that's a lot". Had they done the calculation a couple of years or so ago then they would have been dividing by approx. 2.2 and said "hmmm, mediocre".
I think AUD 135,000 for a senior process engineer (without knowing details of course) sounds at the low end. Apologies, I think it should be AUD 200,000 plus, ball-park.
Cheers,

new-life

Oh i will attempt to during the face to face negotiations, I have been told the band is 120-135k so i'm already at the top, however i have specific significant experience that is of high worth to them so you never know. Maybe I can negotiate 'other' benefits if they are unwilling to move....housing subsidies or car rental subsidies etc.?

new-life

$200k+ bl**dy h**l......a significant jump and maybe one even i cannot negotiate too.

cubeonly

My engineer job offer is AUD 1600 dayrate. If I work 48 weeks a year that's AUD 384,000. But no pluses like bonus (none mentioned anyway) and no extra superan. In my case wifey and kids will stay in UK and I will come out and live the single life. . ., but means running 2 homes on opposite sides of the world!

My other post: http://britishexpats.com/forum/showthread.php?t=732163

I will probably go for it, because it's fun to bu**er off round the world etc. etc.!

Cheers,

HelenTD

Have you looked at job websites, such as http://content.mycareer.com.au/salar...engineering/wa and is your offer comparable?

If you get a PR visa, then you have the benefits of being a permanent resident, ie you can stay in Australia. This entitles people to claim various family tax benefits from Centrelink - but a salary of $135k would be too high to get anything. You can afford to rent in a suburb with a 4x2 and good state schools, but it may be difficult for you to buy in one of those areas unless you come with some equity.

It is becoming more difficult to find a house with pool in some areas, as the density increases in suburbs closer in and block sizes become smaller. Moving further out can mean larger blocks with space for a pool, but the state schools tend not to be so good. If you end up paying for private schools, then that will be an absolute minimum of $15k a year for 3 kids, if you go to one of the cheap private schools and you can get places. You would be unable to claim any Education Tax Rebate because of that income. You said that your eldest is at college and that that would continue in Perth - have you looked into that and how much the fees would be? Some of that income would be at a higher marginal tax rate. You also need to look into cover for medical care.

If you are on a temporary visa, then LAFHA has some considerable benefits, search one of the many threads on BE. Also search for threads of the cost of living in Perth.

If you intend to live the same sort of life here as you currently do in the UK, then you would probably be OK. Try working out the cost for a trip back to the UK from Australia, and you will see that it can take a fair chunk out of that annual income, eg possibly all of that 10% bonus.