Hi,

I would be really grateful if you could give me a rough list of monthly expenditures in
Hong Kong for your family.

We are looking at a transfer with DH's work and need to work out our costing.

At the moment we would be looking to live on DB.

TIA

I don't think there is any such thing as 'average' monthly costs, as it depends on a lot of factors. Some things to consider are:

* If you're looking at a transfer with your existing employer, ask for some expat benefits such as housing, medical, school fees and return trips home added to his basic salary.
* find out if the monthly salary quoted is based on a 12 or 13 month year - a one month bonus is typically paid at Chinese New Year or Christmas and many companies divide annual salary by 13.
* housing in DB can range from 500 sq ft (at, say HK$10k/month) to 5000 sq ft (at probably HK$150-200k/month). My personal preference for a family would be a minimum of 1500 sq ft, and you'd be looking at, at least HK$40k/month. Have a look at the websites of Kaman and Savills. Costs quoted inclusive mean inclusive of government rent and rates, usually another HK$1-2k/month
* In addition to the monthly rental, you will be required to pay a 2 month deposit plus agents commission of up to another 2 weeks (usually negotiable).
* I don't know how much medical insurance costs, as my employer and DH's always paid directly. There are different degrees of coverage, so investigate carefully what it actually covers. Most don't cover maternity, but some do. A normal birth in a private hospital will cost at least HK$100k, plus extra for complications. There are also good public hospitals. Our medical coverage gave us a card which we could use at most doctors and didn't have to pay any out of pockets. Other schemes require you to pay up front and be reimbursed months later.
* Schooling can be expensive, and it is hard to get in - long, long waiting lists, particularly in DB. The school fees are usually on the website. You're probably looking at around HK$8k/month primary aged child and HK$10-12k/month per high school aged child (10 month school year). In addition you may be required to pay a one-off debenture to secure a place. Debentures at Discovery Bay International School were HK$30k when my girls attended.
* I found gas/electricity/etc costs to be similar to Australia, but we used a lot of electricity over the summer months (air con on most of the time). Depending on the size of your flat, I'd budget around HK$3-5k.
* tax - comparatively cheap, top tax rate is 15%, but make sure you speak to your Australian accountant before you leave to sort out Australian tax matters. You don't want to be paying double tax.
* If in DB, you may want to consider a golf cart for driving around - HK$8k/month. We had one, which often broke down and always leaked in the rain. I've enjoyed moving back to Australia and driving a real car.
* Transport costs - if DH is travelling into the CBD, a monthly ferry ticket is around HK$1200. Public transport is quick, cheap and easy.
* Food - I always avoided food from China wherever possible. This meant I was paying airfreight and mark up on food from Australia/Europe and US, making it more expensive. I'd add at least another 30% to your food bills.

Depending on the industry, you should expect a large salary increase to offset the higher cost of living in HK. Most Australians under-price themselves, in my experience.

Good luck !

Thanks Jane for your reply it was really helpful.

That was a really good point about the 12/13 salary schedule, he works for an Australian company so not sure what they would do.

Luckily I am done having babies and with 3 currently under 4, the eldest will be in kindy hopefully starting primary next year or even 2013. But will need to factor in the school fees for sure. How long ago was it that your girls went to DB school? as I have read some horror stories of schools wanting 450k debentures!

I am currently looking at 50-55k rent per month but don't want to be caught out with bills. Our monthly income will be around 121k net do you think that will be enough to cover 1 child in kindy/primary, food, helper, travel etc...

Also did you have membership at the Residents/Siena? or do you know how much that would be a month?

So many questions!

Thanks again for your help.

SM - from the 121k, do you have to pay rent? If so, I would look for something cheaper or negotiate upwards on salary, as nearly 50% of your income will go in rent. That % is too high in my opinion. I wouldn't be comfortable with anything over 30-40% myself.

Another cost you should factor in is domestic help. So worthwhile when you're away from family. It really frees you up to spen time with your children, your dh and is a good back up in case one child is sick. The minimum monthly wage is hk$4k/ month but you need to pay other costs like food and airfares home and good helpers may expect more salary. I'd budget hk$ 6k per month at least.

We moved back to australia in December after living in hk and DB for 13 years.

School debentures can be over hk$1m - Chinese international school. The problem isn't just the coat, it is getting a place which is really hard, especially on DB.