How much money do you earn? And how do you spend it?

[hj007]

I stay in Germany aged 42. I earn 12000 euros per month. Tax is about 40%. I can travel for free on on public transport. Car is provided (bmw electric), cellphone and laptop all covered. I work 35 hours a week and get 3x bonus. Also a holiday allowance 1 month pay). And my mortage rate is 1.8%.

I spend about 600 euros on food per month and then about 400 on healthcare and 1000 on pension.

Also studyinf further. University in Germany offers free bachelor education. Well just pay 100 euro admin fees.

Which town are you in? And which towns do you know are doing well back in Germany?

 

[hj007]

Aus has medicare but you need to think of these things as a safety net. For instance if you get into a car accident you will be admitted and receive surgery or whatever most likely straight away. However, to give an example of where it fails, a guy at my work has a GF who needs surgery because she injured her thigh. She has had to quit her job as a restaurant manager as she can't stand for too long anymore and she is on the waiting list for surgery; she doesn't even have a date yet. This means she could effectively be out of work that she is qualified to do for years. It's for this reason that I have private hospital cover in case of something like this so I can a) pick my surgeon and b) pick my date instead of being on a waiting list. There are other caveats though. If I need emergency medical attention it is easier to tell them I have no private cover if they will treat me immediately as then most/all of it will be covered by medicare, while if I go in for the same thing and tell them I have private cover, the private cover will pay their rates and I will be billed the rest as a private client. What they refer to as "extras" here (day-to-day doctor, specialists, optometry, dentistry etc) is an absolute waste of cash and you get nothing for it. Went to the dentist last year August, got a teeth clean and a filling. Of the $500 bill, medical paid $30. My extras cover cost more than that each month.

Thanks for the earlier reply. I think it's right to think of it as an extreme safety net if things go really poorly. I wouldn't trust our state hospitals to provide that same safety net at all.

Good to know you're liking Aus - I feel that it helps that although things are expensive but you generally get what you pay for. I'm thinking in SA it's a bit of a vicious cycle in terms of poorly paid menial labour and pathetic education opportunities reinforcing each other. Low inflation is a wonderful concept though, because it encourages you to save cash rather than spend it like here.

Ultimately the crime-less living is for me always the biggest draw to any developed market.

 

[krycor]

I see their mainstream media is starting to take note of the coming crisis..

 

[^^vampire^^]

I see their mainstream media is starting to take note of the coming crisis..

Yeah there is definitely some major problems coming Australias way. Biggest problem is people very readily accept debt here; hell you can buy your fridge and other home appliances on a 5 year interest free loan if you want. People are not clued up about money here, just like everywhere else in the world (and they have massive gambling problems too). The repo rate is 1.5% or there about and housing is extremely expensive. This tells me that you can only expect the interest rate to increase and soon. Most people don't understand these things and so go and buy at the top of their lending capacity when the interest rate is at an all time low. It's been said that a massive amount of people here will default if the interest rate goes up by even 1%. There is also a massive issue with people wanting to buy investment properties and there are always seminars on how to buy investment properties and get renters to pay the homeloan. There are 18 and 19 year olds with 3 investment properties but no income and no way to service the debt if there is no actual renter.

The housing market is expensive in Aus but if you buy smart you don't have an issue. I can currently afford to service triple my home loan repayment as a worst case scenario and I've bought my house as a home that I plan to live in until I retire. Whatever it's worth when I get there is what it's worth and I'm not hinging on it as my retirement plan like so many others here have. At the end of the day a home is actually a liability and needs to be treated as such and cannot form any basis of your prolonged well-being otherwise you fall pray to harsh economic changes.

 

[OrbitalDawn]

Personally Europe is better than Aus. Soery been there. Lonely place. Your road trips are really long. New Zealand is cold and miserable. But very far away. It seems closer but its not. Unless you buy a new house you will afford a house falling apart with no insulation (and yes it can get icey cold)

That's a fairly meaningless generalisation. NZ is not "cold and miserable". Auckland's temperature is both warmer in winter and cooler in summer than PTA or JHB, with about the same rainfall as CPT. The south island is notably colder, though, especially the southern tip of the south island.

I don't own property yet, but both the houses I've rented have been in tip top condition, as are the homes of everyone I know (owners and renters). Building regulation requires insulation anyway, so landlords have to install it if they don't already have it.

* Gardens sizes: gone are the days of big gardens. Back in the day the average Aus dream was a big house with a massive garden. The Chinese have all but destroyed that now and a tiny shoebox will cost you $300-$500k, no garden included.

This has nothing to do with "the Chinese". It's boomer speculators and NIMBYs stopping urban densification, combined with endless sprawl being ridiculously unsustainable and bad for cities and people.

Exact same thing is happening in Auckland, San Francisco, Sydney, Vancouver, and loads of other cities in the world.

 

[krycor]

Yeah there is definitely some major problems coming Australias way. Biggest problem is people very readily accept debt here; hell you can buy your fridge and other home appliances on a 5 year interest free loan if you want. People are not clued up about money here, just like everywhere else in the world (and they have massive gambling problems too). The repo rate is 1.5% or there about and housing is extremely expensive. This tells me that you can only expect the interest rate to increase and soon. Most people don't understand these things and so go and buy at the top of their lending capacity when the interest rate is at an all time low. It's been said that a massive amount of people here will default if the interest rate goes up by even 1%. There is also a massive issue with people wanting to buy investment properties and there are always seminars on how to buy investment properties and get renters to pay the homeloan. There are 18 and 19 year olds with 3 investment properties but no income and no way to service the debt if there is no actual renter.

The housing market is expensive in Aus but if you buy smart you don't have an issue. I can currently afford to service triple my home loan repayment as a worst case scenario and I've bought my house as a home that I plan to live in until I retire. Whatever it's worth when I get there is what it's worth and I'm not hinging on it as my retirement plan like so many others here have. At the end of the day a home is actually a liability and needs to be treated as such and cannot form any basis of your prolonged well-being otherwise you fall pray to harsh economic changes.

Yah my point is things are not greener everywhere, there are often weeds and as long as you aware of issues each country has before emigrating you can make a choice with the least regret and with a game plan. In the Aus case I haven’t checked what their foreign and local debt levels are and their USD reserve or debt holding it.. all three I’d suggest people check along with property market before moving.

So yah the property issue in SA is not entirely unique.. it’s a global issue thanks to the USD reserve and their ridiculous debt & deficits. Even there it’s coming out everywhere that they are at best 1-2yrs from a major crash and re-evaluation of USD value. I reckon trump and his trade wars and immigration changes to H1-B1 visa (if you aren’t in the system already it may be too late) in the next week or two.. have sped up their decline.

 

[whatwhat]

There is also a massive issue with people wanting to buy investment properties and there are always seminars on how to buy investment properties and get renters to pay the homeloan. There are 18 and 19 year olds with 3 investment properties but no income and no way to service the debt if there is no actual renter.

SA is the same with everyone buying property to be paid off by renting it out.

Lessons will be learnt.

 

[GoB]

Have you ever seen house prices decline for extended periods? No, it goes through cycles and people get burnt buying at the wrong time.

If you check e.g. the 60 minutes Australia interviewee... He wants to sell his house for $1.2m in a remote suburb with a median price of $800k. Shouldn't even be news.

For South Africa.. I don't even see Cape Town property as overpriced. I think it may even be a good time to buy if prices don't grow for a year or two.

 

[Yirhu]

gross R7300
nett R6700,
no pension fund, medical aid or any sort from company like you well educated folks get but it's just PAYE, UIF and Skills Development levy that are deducted from my salary.
rent R550( yeah I live in a matchbox in a very shitty place but things will be better someday)
groceries R1200(max)
R2500 sent home to help parents every month
R1500 savings
the remaining is for prepaid data and airtime and other miscellaneous things money can buy. I don't drink or go out so coolios for me. I'm an apprentice by the way, my trades are electromechanician(2 trades in one) and can making(one trade). saving up for a diploma and eventually a btech in electronics industrial automation

 

[maumau]

WOW! R2 500 of your salary goes home. That's a big chunk of salary.

They must be proud of you ☺. Sounds as if you can improve your knowledge and climb the employment ladder so good luck.

 

[surface]

There are 18 and 19 year olds with 3 investment properties but no income and no way to service the debt if there is no actual renter.

Wow - 3 investments properties at 18/19 year old. How do they do it - neutralise their parents and get inheritance?

 

[^^vampire^^]

Wow - 3 investments properties at 18/19 year old. How do they do it - neutralise their parents and get inheritance?

Hah you'd think. Generally kids work at McDonalds etc here from about 16. Some of them horde all that money then use it for a deposit and get their parents to sign surety or cough up the rest of the deposit. They then get a tenant to cover all or most of the monthly expenses. After that they wait a year for housing prices in the area to increase and then lend against the increase of value in the property to put as a deposit on the next place and so it goes. Great idea until one place doesn't have a tenant, interest rates change drastically or some other tragedy. Then they are millions in debt and no way out.

 

[phil77]

Hah you'd think. Generally kids work at McDonalds etc here from about 16. Some of them horde all that money then use it for a deposit and get their parents to sign surety or cough up the rest of the deposit. They then get a tenant to cover all or most of the monthly expenses. After that they wait a year for housing prices in the area to increase and then lend against the increase of value in the property to put as a deposit on the next place and so it goes. Great idea until one place doesn't have a tenant, interest rates change drastically or some other tragedy. Then they are millions in debt and no way out.

I'm quite impressed with these 18/19 year olds. Yes its risky but usually the risky stuff brings high rewards. At their age i didn't have such a business mindset. Good for them.

 

[greenfields]

Throw away account:

Software Engineer, 35.

Gross: R103,040
Nett: R68,879

No benefits so from pocket.

 

[CamiKaze]

Throw away account:

Software Engineer, 35.

Gross: R103,040
Nett: R68,879

No benefits so from pocket.

Tech stack?

 

[mushroom]

Throw away account:

Software Engineer, 35.

Gross: R103,040
Nett: R68,879

No benefits so from pocket.

did you now just lock on the website so that you can vang a brag??? i think the ppl just come on here to brag but the reason the guy did make this page is to get tips from the mense not to brag by the mense asablief tog

 

[Pho3nix]

Tech stack?

No benefits makes me think Contractor at R650ph

 

[greenfields]

did you now just lock on the website so that you can vang a brag??? i think the ppl just come on here to brag but the reason the guy did make this page is to get tips from the mense not to brag by the mense asablief tog

Stop being so salty.

 

[greenfields]

No benefits makes me think Contractor at R650ph

No I am not a contractor.

 

[mushroom]

Stop being so salty.

i dont vang a pyn its that i dont like the ppl that brag plustens why must i be salty my uncle is togma also ritch and he dont brag and i can go there by him anytime to swim in his pool or whateva so plz