Pollster

Does NZ have a National Insurance type system?

Tax seems relatively high and I can't find any reference to NI anywhere so I am wondering if you just pay your 33% or whatever and that is it?

Also, anyone know what is considered a 'decent' wage over there - I know the average is about £35,000 but often the average and what is 'decent' vary quite a lot!!

Thanx in advance

jandjuk

No there's no NI system. Health care funding comes out of your taxes, but health care is not all free like in the UK. I think basic hospital treatments are still free (but with long waiting lists), but a visit to the doctor will usually cost your $20 or so....


A decent income depends very much on your personal requirements - kids, location, expectations etc etc

As a very general guide, I would say earning $40000 in NZ would be like earning £20000 here, but again it very much depends on where you live, as £20000 in Cardiff buys a lot more than it does in Oxford, and $40000 would buy more in Taranaki than in Auckland.

I think the major differences in salaries is that NZ has less extremes. It is more difficult for one person to earn enough to support the wife/husband and three kids and the 2bmw's in NZ than UK. It's not impossible in NZ, but rarer....

Don

Plus pension works a bit differently, from memory I think you just need (as a PR) to live in NZ (ie it doesn't depend on paying taxes or NI contributions) for 10 years, 5 of which must be after the age of 50, to qualify for the full NZ pension.

Salaries - the biggest negative about NZ. NZD75K would be seen as a BIG salary by most people, NZD100K+ would only normally be earned by senior professionals and businessmen. And whilst certain things (esp fuel) are cheaper than in the UK, many/ most things are not that much cheaper if at all. And travel abroad (except to Aus, Fiji etc) is very expensive too. Even housing, IMHO, is about the same as in the UK on a costing basis but certainly IS cheaper, reflecting simple economics - cheaper labour (construction), cheaper construction materials (mostly timber, sometimes brick but never double cavity brick, single glazed windows, sometimes tile but more usually corrugated iron roofs), and cheaper land (work it out - equivalent land mass to the UK but only 4 million people - supply + demand!)

Don't come to NZ believing that earning (say) 40-50% of your old salary in the UK is going to buy you as many things as in the UK.

Lifestyle - that's different.

Pollster

Thanks very much for your help indeedy

jandjuk

I think a crucial point is that in general, you don't 'need' (or want?) to buy as many things as in the UK.

I mean, of course we all like a nice car, nice TV, nice mobile phone etc etc - but electronics in particular are expensive - so less people buy the really flash ones - therefore because many people can't really afford them, nobody really cares about them as much - they spend money on other things instead. If that make any sense...

When you grow up in NZ, you have no concept that in other countries there are some things cost less compared with your income. So people tend to desire them less.... it's more socially acceptable to make do with an old car, or to make something last a bit longer than you might in the UK.

In NZ that's just the way it is - so certain objects become less important that they are in the UK.

I just the UK is more of a consumer society than NZ. NZ will catch up I have no doubts - but it's present population (ie costs) means consumerism on the same level as UK & USA is not as rampant.

The other point is that it depends what things you are buying - 50% of my salary would buy me more meals out in nice restaurants in NZ than I can afford in Oxford, a place with a bigger garden, more petrol, and nicer meat from the supermarket - but not as many clothes, books, or electronics.

Depends on your priorities....

Pollster

One of the reasons I want to go jandjuk!

I have done the keeping up with the Joneses materialism thing and frankly, it hasn't made me happy.

Don

Good thoughts...that's partly why we're happy here too! Agree with your points, I was just trying to say that one of the things migrants tend to gloss over when moving to NZ from the UK is the drop in salaries really does mean a drop in purchasing power too.

Doesn't mean you can't enjoy the many other opportunities in NZ.

jandjuk

yes I was agreeing with you really don! (and elaborating)

pollster, there's still quite a bit of keeping up with joneses in many places - but possibly more easily avoided if you want to...