Suz16

Hi all

My husband has just been offered a new job in New Jersey, which we are seriously considering. We are both British but have been living in Copenhagen for the past 4 years due to his job here. The salary he has been offered is a bit less than he is currently on, and I just wanted to ask a few questions to help us make up our minds.

1 They have offered him an annual salary of 205k, this includes good health insurance. Is this a good salary for New Jersey? We are a family of 4. They will also sponsor him for an accelerated green card. I am not working at present. We currently have a very comfortable lifestyle and would like to maintain it.

2 He has been offered a company car, however we will need a second car for me. How difficult is it to get car finance initially if we have no credit history in the US?

3 Can anyone give us a rough idea of how much tax he can expect to pay on this salary? We need to know how much take home pay he can expect per month from this salary.

Thanks in advance!

civilservant

There's no such thing as an accelerated green card, depending on the category/preference it can take several years to process GCs based on employment.... Exactly what visa is he being sponsored for? This will determine if you can work, the status of your children after the age of 21 and several other issues which will help us to answer your question thoroughly.

Suz16

Hi, thanks for your reply, my husband already has an L1 visa which is due to expire soon, he has applied for a 3 year extension. The company are also sponsoring an application for an EB1 track.

Noorah101

I don't know anything about NJ, but in general I'd say a yearly salary of $205K is excellent for the USA.

Probably not too hard if you can put like 50% down and do a loan through the car company rather than your own bank. Interest might be high, but you have to start somewhere.

I'd deduct about 25% from his gross salary and consider that his take home pay.

For sure you'll want to find out about health insurance, what the premium will be for a family of 4 and what the deductables will be. This will be a big chunk of your US expenses and could come out of his salary. I assume the company provides group family health insurance.

Rene

Pulaski

Personally I wouldn't consider $205k overly generous for a family of four living in the greater New York area. If the job is further out, but not too close to Philadelphia, your money will go further. Someone who lives closer than me will be able to comment on housing costs, but when I looked at living there (more 10 years ago), a decent family house started around $400k, and property taxes ran roughly $10k/year. My wife and I (no family back then) found life fairly tough on a little less than half your husband's offered pay, so I doubt you'd be living high on the hog on $205k - of course that depends what "living comfortably" means to you!

It can be difficult to get finance for a car when you have no credit history. International Autosource is a broker than many of us have used and recommend - the only major drawback is that you have to sign up and pay the deposit before you arrive in the US. Alternatively budget $20k for a basic family car (low end Ford Fusion, Honda or Toyota, or mid-level Hyundai or Kia).

My best guess on federal and state payroll taxes on $205k would be around $60k (30%) then he is likely to have to contribute towards the health insurance, and then if he wants to make some 401k (personal pension) savings, which has useful tax advantages, and the $10 property taxes I mentioned), I wouldn't budget for more than around $110k of disposable income ..... from which you would have to fund rent or mortgage, car payments, grocery bills, vacations and air travel, etc. Which is why I don't see $205k as overly generous.

Pulaski

Only someone who has never lived in the New York area would say that - though it is true for most of the US.

I'd deduct 25% from the first 100k, and 35% from the rest. .... Hence my estimate of $60k of payroll taxes.

Suz16

Thanks both of you!

Pulaski, you have confirmed what I was already thinking, which is that 205k is not great. Although we will not be buying a house straight away, we will probably rent for at least 2 years, so I presume that means no property tax initially?

We have been looking at houses in Morris county, we don't need to be so close to NYC. So maybe we will get more for our money out there? Plus, although I am not planning on working right away due to the fact that our kids are under 5, I do plan to find work eventually, so things will get better.

By living comfortably, I mean not having to worry about money, having enough left over after the usual household expenses to be able to afford at least one holiday a year, plus being able to pay for family days out, meals out etc.

Now just need to make a decision!

Ray

Copenhagen to NJ ... never in million years

Jerseygirl

Hi and welcome to BE. I live in Morris County. If you want to live in a good, safe area with good schools...property and property taxes are expensive compared to many other parts of the state. Could a family of 4 live on that salary...it depends how you want to live...what size house and what area you want to live in. Do you want your children to go to state or private schools? People have different standards...that's why it is difficult to say whether that salary is enough.

Jerseygirl

Lol. My husband has been to Copenhagen many times on business and that was more or less what he said.

Suz16

Listen guys, Copenhagen is not that great, believe me! And it's mega expensive.

Hi Jerseygirl, we would want to rent a nice 4 bedroomed house in a good area, preferably in a town that is not just a collection of malls and houses, but one which has a proper town centre. Can you recommend anywhere in particular? My husband will be working in Parsippany. Morristown has been recommended as worth a look.

As for schools, we really want our kids to go to catholic school, so realise we will have to go private for this. However, we are hoping the company will pay for this as part of our relocation benefit.

Jerseygirl

OK I think I know where your husband is working. My husband worked for Coopers & Lybrand....their offices were nearby. . We lived in the apartments on top of the hill...Rt 10. The owner of the apartments owns many rental houses in Morris Plains.

I would not chose to live in Morristown...although there are some nice areas. I prefer the smaller towns/villages a few miles to the west of M/town...but as I said they are expensive. My daughter went to The Peck School in M/town and The Pingry School in Martinsville. I think the fees start around $20K per year. Private schools here are extremely expensive. I don't know very much about catholic schools but there are known to be generally good schools. Where you live will depend what school your children go to unless you go private.

Suz16

Can I ask what puts you off Morristown? And what are the names of the other places close by you say are nicer? If we sign the contract ( which is looking likely at the moment) we will be planning a visit to find a house / school etc so any tips would be really appreciated.

Jerseygirl

Driving through an area one night and almost getting in the middle of a shoot out between cops and some unsavoury characters. There are nice areas and the centre of town around The Green is nice...but there can be problems with rival gangs in some areas.

I would look at Basking Ridge/Bernardsville/Mendham/New Vernon...that area...but that's my taste and it may not be for you. Chatham/Madison/Florham Park/Summit are popular...especially with commuters to NYC but they are a little more built up. The further east you go the more built up it becomes. I think your main concern should be schools...I'm afraid I can't help you with catholic schools.

Englishmum used to live in the Summit area...if you search for her posts/threads you will find a lot if info on the area and on schools. Although I am not sure if there is info on catholic schools. The search engine is located at the top of the US Forums main index page...go to Advanced Search.

Also take a look in the BE Wiki for relo packages before your husband signs on the dotted line. There is some really good info in there.

Suz16

Thanks, that is really helpful!