Cost of Living
Wed, 2008-04-09 03:56 — Anonymous
I'm trying to find out how much one can save (in terms of salary) in HK. I live in Toronto, apartment rent is USD 900/month for a 500 sqft. Commute to downtown Toronto is 40 minutes via short bus ride to subway station (less than 20 kms to downtown).
90% of the time, we cook at home - Asian food, so cheaper compared with western diet.
Total household income (married couple) is USD 85,000/yr. No kids.
At the end of the year, we're able to save 30% of our salary.
Applying roughly the same thing to HK, let's say, 5-10 minute walk to subway station, then 30 minutes commute to central via subway. No car.
Will it still be possible to save 30% of the same salary?
Look at Go Home
Housing will be your most expensive item.
Go to the website "Go Home" - to look at rents http://www.gohome.com.hk/english/home.asp?
I did a brief search
If you want to stay on HK Island & pay less than 8K per month, then you'll probably have to settle for a smaller place (~ 300-400 sq. feet).
If you're willing to live in an in places like Yau Ma Tei, Sham Shui Po, or Jordan - then you can probably have about the same space as you had in Canada. If you're willing to have a longer commute - you could find a bigger place w/ better air in the NT.
Quick maths...
* 85 K USD per year = ~ 12.75 K USD in HK Income tax (15%);
* You're Canadian, so you don't need to pay income tax on overseas earned income
* So, after taxes you're looking at 72.75 K USD
* call your rent 1K USD per month, now you're down to 60.75 K USD per year
*call all the rest of your living expenses (utilities, transportation, food & entertainment) another 1 K USD per month - now you're looking at ~ 48.75 K USD
So, I think you could continue to save at least 1/3 of your income - maybe more.
I think you should increase
I think you should increase the rent no. Rent is clearly much higher i would take 10-12 k hkd to work with, decent size, yet far away -30 min travelling.
effective taxes will be 12%.
util, food etc cost will be 6 k hkd.