LostSoulInThePark

Hi all, I don't want to hijack the OP's thread, but I am finding myself in a similar situation.

Company is working to make a transfer happen to work in its Jersey City and NYC offices with an L1A visa. So far I have been mentioned a $160k salary, no particular benefit other than a $20k transfer reimbursement, and I do know what will happen health care wise: a cost of $530/month for the whole family with a deductible of $500 and an OOP max of $4000, while it covers a 90% after deductible and Coinsurance is 90% while copays are from $10 to $20 (depends on the type of consultation). All limits are for in-network, out of network have different Deductibles and OOP limits, of course. Wife will search for work, but we have to plan like she won't be working.

Targets are pretty much the same as the OP's: commuting some 40/50 minutes to work, finding an area that has a decent high school and elementary school. Our rental target for a 3 bedroom house would be quite a bit lower thought: $3k max, reason being is that I will have to keep on paying current mortgage back home and can't rent (not a good market right now in my area) and that means $1.6k are tied already. So, yeah, I expect a salary of $8.5k after taxes, 401k, commuting benefit, health insurance. Being Italians we are picky with our 3 course meals, and that will impact our groceries costs! LOL!

We fell in love (from the pretty pictures) of Millburn, NJ, but I am afraid that it will be out of budget. Heads up about other areas where we could move to would be appreciated. Tax/Budgeting wise there is another point that I have yet to understand. I seem to understand that State taxes are reimbursed by Federal, but it is such an alien idea to me that I don't get it if it is true or just me miss-reading things.

rpjs

Where exactly will you be working? If around Penn Station or the Financial District, look to Jersey or the outer boros. If Midtown around Grand Central look to Westchester County. Thats assuming you would prefer a house rather than an apartment, in which case look along the subway lines to your office.

You don't get reimbursed state taxes by the feds, but you get to deduct the cost of them (to a max of $10k) from your taxable income on your federal return. As a renter, you'll not be personally liable for property tax, that will be paid by your landlord and you pay for it as part of your rent. The $10k limit is new (thanks Trump) and will impact homeowners like us whose combined state and local tax payments are well over $10k p.a.

Noorah101

I moved your thread to a stand alone one, because although similar, you are looking at a different city and state to the other thread.

Rene
Moderator

LostSoulInThePark

Thank you, I am used to not open multiple similar threads. Thank you.

Thanks. One office is right off Hamilton Park in JC, while the other is just south of Central Park. So I would think the lines that get to Penn Station would be the most obvious ones. And yes, coming in with a german shepherd and 2 cats, we will have to go for a house (and it's going to be a difficult task too...). Talk about impossible requirements: pets, low renting budget, good school, commuting. I'm sure we would have to give in somewhere.

Nutmegger

Or, for a midtown office, lower Fairfield County, Connecticut, is another option.

jammiie

Are you planning on trying to make the move permanent and having your employer apply for a Green Card?

If not and you will only be in the US for a few years, it might be a better option to opt out of the 401k scheme and instead figure out some alternative savings plan.

I had a colleague that moved back to the UK after her L1 expired and she struggled to get the 401k money back and she regretted paying into it.

LostSoulInThePark

That is an interesting question. The life plan kinda looks like this: every 4/5 years move to a new role within the company and change country. This was the plan 18 years ago as well: I did changed roles over time, but we have been stuck here for the last few years

I really don't know how it is going to pan out. They are giving me the option to apply for a Green card 2 years down the line, and for a number of reasons it will make sense to apply for it once the time comes, but other than that I can't foresee. As far as I understand from the booklets they have shared with me, the company only contributes toward the 401k plan.

Hotscot

A 401k is generally a good get rich slowly scheme, depending on investment choices etc. (Choose low cost mutual funds..Vanguard, Fidelity, for example.)
Even better when your company contributes too.
And any dosh you put in it comes from pre-tax income and thus reduces your taxes.
You pay taxes when you start taking money out in retirement but it has all that time to grow, and you may be in a lower tax bracket then.
You can take the money out before you retire, but pay tax and penalties.

If you can start one and leave it to grow, I would recommend it.

Also check Traditional and Roth IRA's.
There are other options also.

Rete

With a mid-town office just south of Central Park will put your office in the 50's (street) area and on the eastside of the city. Penn Station would be fine as long as you understand that you will need additional commutation from Penn to the NY office. My former colleague lives in Rahway, NJ and took a train to Secaucus and then changed trains to Penn and then a subway to 42nd street and walked from 42rd and Park to 51st and Park. There is the underground tunnel passageways at 42nd Street / Grand Central and her walk (and mine) were only 2 blocks above ground which is great in inclement weather.

NJ residency is perfect for your Jersey City office but the combined two office visits will make any commute longer and more expensive. Monthly commuter passes do help and then there is the Metro Card for the subway/bus that is also discounted for multiple trips depending on the amount of money you put on the card.

Decide which office will be your principle office and then make your decision on where to live. You will find, unfortunately, there is no direction transportation from outer cities in New Jersey to mid-town Manhattan and there is no direct transportation to Jersey City from either Westchester County, Long Island and/or Connecticut.

LostSoulInThePark

Indeed! As far as the company is concerned, their preference is to assign me to Jersey City, and then have me work a couple of days a week in the NY office, with closest tube station being 50th Broadway. Honestly, I'd rather prefere to be located in NY at this point, but I have no say in the mater. In the end, the longer I look into it, the more it seems that New Jersey to be the best choice. Now, where I can tick all the boxes, it will be a challenge

LostSoulInThePark

Can I vent a little? Dealing with HR is starting to be a daunting task. And this is when things are going well. I wonder what would happen if things go south.

petitefrancaise

What are you specifically having issues with?
If it's salary/position within the company then that will be your management and HR
If it's visa stuff, that will be HR/lawyers
If it's the relocation package - Most multi-national companies have their relocation packages all worked out - and handled by a different company altogether. You will be offered a particular package and most likely not much negotiating to be done with the relocation package.

LostSoulInThePark

Thanks for the reply.

I am moaning about the lenght of the whole process. Hopefully today we saw a turning point of the whole affair At the moment of deepest despair, there comes light, lol And if things keep on moving I'll soon be in the wonderful position of starting to deal with the "where do I rent?" question!

petitefrancaise

Don't you have anyone assisting with home-finding? Especially for the NYC area, that would be an enormous help.
L2 EAD processing seems to be taking 4-6 months once all the paperwork has been submitted btw. Patience is going to be required for a while yet.

LostSoulInThePark

I'll know soon enough. In my company they have been very understanding and went as far as transforming a local contract to a full expat role. This change has taken almost 2 months and a few downs (hence tonight's moaning). Today they called me and officially informed me that I will be going as an expart and asked for my family composition as to asssemble the package for me. Once accepted I'll have to wait a few weeks for the L1 visa (from the NY office they expect a 5 weeks lead time).

You mean the L2 EAD for my wife? If so the sooner we start the process the better, still I need to get to NYC first.