Archive for category Expatriate Package
Which expat are you?
The one great advantage when you exercise is not only getting fit and in shape, but also that it gives your mind time to think. My thoughts during my last session was on the different types of Expats that you get. I am not referring to nationalities or cultures but more to the country that you find yourself being an expat in which can determine the type of expat you will be.
I determined that there are 3 types of expat country experiences:
1. When as an expat you move to a country that is similar to your own, but you are still culturally different, e.g. an American moving to Britain. Fundamentally, you speak the same language, you eat similar foods, you have similar cultural habits and have watched movies or listened to music that is, can I say it again, similar.
However, even with these similarities there are differences too, they are minute but they are there. Whether it is a word that is different but has the same meaning, e.g. Barbeque to the South African Braai, or the way you address someone from a courteous “Hello, how do you do?” to “Hiya doin?” There are differences and you can feel and do experience these within the country. Your accent is also a dead giveaway and sometimes as an expat you are shunned purely due to this basic difference.
2. The country in between two extremes, this would be the expat that moves from e.g. Australia (English being the common language) to the Middle East. Your official business language is English and most people would be able to speak and understand English, but you cannot do the same for their official language. There is a commonality that exists as well, this host country has been exposed to Western culture through trade and industry, politics and commerce. Sometimes these expats are more readily accepted as a foreign guest in their country. You are respectful of your host countries culture and traditions and are willing to emerge yourself into becoming part of the culture.
3. Moving to a country that is the polar opposite to what you are used to, your nationality is completely and utterly different e.g. Argentinian moving to China. The official language is one that most people will battle to learn, so when you are standing in a queue you haven’t got a clue what is being said around you. Your culture, traditions and habits are as vast as the Sahara Desert. You really have to acquire new skills and make major adaptations to survive. As much as this type of expat experience can be rather a challeneg, it can have surprising advantages. If you cannot understand the local language, it incentivises you to learn and forces you to be more adventurous and social in trying to fit in and develop a commonality with the local population. Expats also tend to support each other more as everyone can feel the vast divide between locals and expats. It allows groups of expats to formalize clubs that bind common interests and creates a social infrastructure of support.
There is another type of expat that we should include under number 3, this would be a person moving from e.g. China to America. Commonly when a Westerner moves to a host country as an expat there are systems set up to support these people, e.g. compounds in which to live, social groups to belong to, etc. However, this is not necessarily the case for non-Western expats when moving from their countries to e.g. America or the UK. These expats are not living in compounds or introduced to groups that are similar to themselves. They are often left to their own devices and need to find their own survival mechanisms. This type of expat experience could actually be the most difficult of all.
Which expat are you and are there more?
Denise is an Expat, Mom, Wife and Marketing Manager at http://www.xpatulator.com/ a website that provides cost of living index information and calculates what you need to earn in a different location to compensate for cost of living, hardship, and exchange rate differences. The complete cost of living rank for all 300 locations for all 13 baskets is available here.
What I wish I had known about becoming an expat
Posted by Xpatulator in becoming an expat, expatriate, expatriate engagement, Expatriate Hardship, Expatriate Package, Expatriate Pay, Expatriate Prospects, Expatriate Relocation, Expatriate Salary, expats on June 25, 2011
After blogging about the questions you should ask before and while you are becoming an expat, here are a few tips on the things you should know about becoming an expat. You are going to get hundreds of different opinions on moving, sometimes it will feel like when you were pregnant and every other person in existence, even those ones that have never gone through the experience before, are willing to dispense great tips to you. Take it all with a pinch of salt and select the advice that will best assist you in your decisions.
These are a few realities that I have picked up along my journey :
1. Will your marriage survive.
Let me clarify this statement, our marriage has been tested on many an occasion over the last 20 years.
Having our first child was probably the greatest test for us, going from being independent and care free for over 10 years together to having someone completely and utterly dependent on you was a shock. I never wanted to be a parent, then one day I woke up and decided that being a parent was all I wanted to be. I did not realize how much it would affect my husband (or not affect him) he continued through life, work and sport as though I was soley responsible for the little bundle of joy. Which I gladly did until I went back to work, then it had to become a joint partnership of feeding, diapering, cleaning and loving. We were tested for sure in those first few months and came out of it all with shining colors.
Then came the second bundle of joy, this time baby number 2 was born with physical problems, we went through 2 horrific years of hospitals, doctors, specialists, operations and more of the same. Our marriage survived all the late nights, the trauma, the emotional turmoil, soul destroying and moments of elation.
Becoming an expat is probably up there amongst those experiences, I remember standing in our kitchen after being in our new country for 4 weeks, hands on hips and shouting at my husband that this was not what I had signed up to do. Tears streaming down my face with the realization that I had left everything and everybody that I loved thousands of miles away. How could I possibly have even considered doing such an insane move.
I have in the interim heard of so many marriages that have not survived this type of a move. Wives that have not settled, continuously going home and leaving their husbands behind. Husbands left behind, who are lonely and found other acquaintances to keep them company, culminating in affairs and divorces. Children who have to live through unhappy marriages and fights.
Be sure that YOUR marriage can survive. Our marriage has, it is stronger than ever before and our children are happy, but we have had to work at it. We continuously share our highlights and disappointments with one another, we are open and honest in our communication and most of all we support each other especially when one of us is down and needs to be perked up.
2. What circumstances are you moving from and to
What are your circumstances at the moment, are you working 12 hours a day with 3 weeks of holiday a year, traveling 2 hours to and from work? Are you living in a large home with a maid and gardener, with 6 weeks of holiday a year, 2 cars and very few worries? Are you moving because you are being transferred, relocated, promoted or because you are looking for a better job from the one you are in. Perhaps you are leaving due to country circumstances, political or economic.
Consider all these factors and then look at your new set of circumstances and compare the two. Make sure that you are going to be as comfortable as you were in your old circumstances.
We moved from a big 6 bedroomed home, with a maid who lived in her own cottage, a gardener and all the other luxuries you can imagine. Every school holiday was spent on the road exploring new places (within our own country), my husband worked from home and could spend time with us, he could also go to school functions during the day, making the children’s lives as important as our own.
As expat’s we live in a much smaller villa than our old home, acquiring a maid took patience, time and it was a costly experience.
Our expat experience was fueled by the need to leave a country with a volatile political situation, where murdering someone is a common day occurrence and thought very little of. We had decided to persevere more for our children’s future than for our own.
We are happy with our decision and quite frankly a smaller home is a lot easier to maintain and makes me more vigilant in keeping the house tidy and eliminating unnecessary junk. Recapping on the reason you have made your move can also help you during those times when you want to pack it all in and just go home.
3. Education
This was a tough one. You really need to find that school that suites your child, if you move to a remote town in the middle of Africa you may not have a choice, but if you have choices take your time and find the right school.
Our children were in private schooling back at home, the sport fields were immense, lush and green with views of the city, the classrooms were kitted out with the best of everything and the children were educated for University exemption. Before we left we started the process of applying to schools, we had 6 weeks to pack and sell our belongings and move. Our applications started in the June, a month before summer holidays were to begin. Schools were filled to the hilt and there were no available spaces for our children to be slotted into at any of the schools we had applied to. We took 10th best, and this was to ours and our children’s detriment. The children lost out on a full years worth of education, as the school was not of a very high standard and it took us that long to find a better school for them to move to. The schools in comparison to our schools at home are 2nd rate, very few have decent sporting, computer, music or science facilities. Extra sport needs to be taken outside of the normal school curriculum, I was and am still not happy with the standard that they are receiving. It was not the ideal situation and in retrospect we should have taken our time with the move. Keeping the children in the school that they were in back at home and having the non working partner remaining behind to look after them.
Boarding school in these circumstances could well be a better solution when the schooling is not of a high standard.
4. Logistics
Where you live in the new country is of the utmost importance. After selecting the school, check on the distance your partner’s work is from here, then find your accommodation. It does not help if either of you are spending most of your day traveling, it is exhausting and results in a grumpy family. Children also take strain when they are either in a bus or car for hours on end, just getting to and from school. Then they still have to do homework and after school activities.
Initially we moved into a villa that was on the outskirts of the city. The school run was a 2 hour round trip, which meant 4 hours on the road for me, excluding after school activities which took place at other facilities which meant more travel time. Now, include housework, homework and cooking into the equation and by the end of each day I was exhausted and had no energy to spend fun time with the family.
Route your daily travels and find a location that will suite all family members, and remember to keep a shopping center close at hand for those last minute shops you may need to do.
Relocation companies in your new location are experienced in helping you with the logistics of your move.
5. Finding friends
It is always tough to find new friends, unless you are the extravert type that can walk into a room and know everyone by the end of the evening. Often you are faced with people from different cultures, languages and backgrounds to your own. A good start is to find an expat group that is from your own country or in a similar situation to yourself, e.g. Being a New mom, there are always Mommy expat groups to join. Then you could look at joining gyms, sport clubs or groups that have similar interests to yourself such as quilting, art, scrap booking, etc.
Find the groups that are going to interest you and your friendships will blossom, you need friends to help you through this new situation, to welcome you into a safe environment, to teach you the ropes. Friends that can direct you to the hardware store or the best doctor in the area.
I hope my tips have helped you just a little bit, I know I would have liked to have someone guide and support me on this first expat experience.
Denise is an Expat, Mom, Wife and Marketing Manager at http://www.xpatulator.com/ a website that provides cost of living index information and calculates what you need to earn in a different location to compensate for cost of living, hardship, and exchange rate differences. The complete cost of living rank for all 300 locations for all 13 baskets is available here.
The Seasoned Expat
Posted by Xpatulator in 2011, 2011 international cost of living, cost of living, cost of living allowance, cost of living calculator, cost of living index, cost of living ranking, cost of living rankings, expat, Expat attitudes, expat children, expat kids, Expat Kids Expat chilren, Expat schooling, expatriate, expatriate engagement, Expatriate Hardship, Expatriate Package, Expatriate Pay, Expatriate Prospects, Expatriate Relocation, Expatriate Salary on June 20, 2011
2. Can the animals come with, what are the laws regarding this?
2. Finding a relocation / removal company
3. Finding an animal relocation company, if you are taking the animals with
4. Buying airline tickets
5. Settling any debts that may arise while you are away
6. Setting up a way to pay for any debts that may arise
7. Saying goodbye to family and friends
8. Selecting a family member or friend to deal with any business / banking issues that may arise
From Paris with Love
Posted by Xpatulator in 2011 international cost of living, cost of living, cost of living allowance, cost of living calculator, cost of living comparison, cost of living index, cost of living ranking, cost of living rankings, expat, expatriate, expatriate engagement, Expatriate Hardship, Expatriate Package, Expatriate Pay, Expatriate Salary, expats, France, Paris on June 19, 2011
Paris the “City of Love”. Who has not wished to live in Paris once in their lives? There is a line in a Baz Luhrmann song called Sunscreen that goes “Live in New York City once, but leave before it makes you hard; live in Northern California once, but leave before it makes you soft.” I think this applies to Paris too, perhaps the saying should be “Live in Paris once but leave before it makes you too French,” unless you are French of course.
Paris has a magic about it that draws people. What is it about this city that is so special? Is it the notion that French people are undeniably romantic? Couples walking hand in hand along the Seine, sharing bread, wine and cheese in the gorgeous green parks, snuggling up on park benches in winter, whispering to each other in cafes! Or is it just that the French sound so unbelievably sexy when they speak?
I am not sure, but whatever it is I would love to live in Paris just once in my life. Paris has all the romantic attractions for me, I could imagine myself as an expat walking the streets, shopping at Galleries Lafeyette or Avenue Montaigne and Rue du Faubourg Saint-Honoré for the crème de la crème. Left bank or right bank you will have a ball.
Then there are the museums from The Louvre (which could take your entire stay in Paris to get through), Musee D’Orsay and the Centre Pompidou. The beautifully manicured parks will take your breath away and you could spend hours sunning yourself in deck chairs while life passes you by, from the elegant Luxembourg Gardens or Place des Vosges which is in the fashionable Marais quarter, and most importantly the Château de Versailles, which is opulent, fanciful and luxurious, the gardens cover more than 800 hectares – with woodland, ponds, fountains and statues. Picnicking is certainly one of the best Parisian past times that I have ever experienced.
Then there are the flea markets to browse, cafes and tearooms to experience, street markets, and last but not least the architectural wonders of the Eiffel Tower, The Opera House, Arc de Triomphe, Montmartre, Cité des Sciences et de l’Industrie, and Notre Dame Cathedral to name a few. Oh Paris, you are calling.
This is certainly not where it stops, as living in Paris gives you access to the rest of the France and well, Paris may well take you a year or two to get through, and then there is the rest of the country to experience.
Certainly enough good reasons to want to be an Expat in Paris!
But what will Paris cost you if you decided to make a career move here? What are you earning and what would you need to earn to live it up in Paris and her night clubs?
Use Xpatulator.com’s SPPP calculator which calculates how much you need to earn in Paris to compensate for cost of living, hardship, and exchange rate differences, in order to have the same relative spending power and as a result have a similar standard of living as you have where you live now. If, for example, you live in New York and earn 100,000 USD, what would you need to earn in Paris to have the same spending power?
Salary Purchasing Power Parity
| Home/Current location salary | 100,000.00 | US Dollar (USD ) |
| + Cost of living difference 4.9121% | 4,912.08 | US Dollar (USD ) |
| + Hardship Difference 0% | 0.00 | US Dollar (USD ) |
| Total | 104,912.08 | US Dollar (USD ) |
| x Exchange Rate 0.7186 | ||
| Salary in Host/New location | 75,389.82 | Euro (EUR ) |
And to end off with Baz again:
Don’t feel guilty if you don’t know what you want to do with your life…..the most interesting people I know didn’t know at 22 what they wanted to do with their lives, some of the most interesting 40 year olds I know still don’t.
As an Expat how do you communicate?
Posted by Xpatulator in 2011 international cost of living, expat, Expat attitudes, expat children, expat kids, Expat Kids Expat chilren, expatriate, Expatriate Hardship, Expatriate Package, Expatriate Pay on June 12, 2011
Before you go on an international assignment
Posted by Xpatulator in expatriate, expatriate engagement, Expatriate Hardship, Expatriate Package, Expatriate Pay, Expatriate Prospects, Expatriate Relocation, expats on May 9, 2011
The opportunity to get international experience can accelerate your career, but you should do your homework thoroughly before committing. With the shift in economic strength shifting eastward, the number of people taking international assignments is growing.
From a career perspective, the right kind of international experience is an advantage for top level executive positions. However the wrong kind of international experience can hinder your career. Are you going to be exposed to the latest technology/best practices? Is the organization held in high regard? Will the assignment look good on your CV a few years from now? Can you use this opportunity to make your mark?
An international assignment can put you in the spotlight or hide you away so that you are overlooked for future career moves. An assignment that was planned to last a year or two, could become long term, especially if you have school going children.
A successful international assignment requires several key skills.
Morocco, Rabat – Cost of Living
Posted by Xpatulator in cost of living, cost of living allowance, cost of living calculator, cost of living index, cost of living ranking, Expat attitudes, Expatriate Hardship, Expatriate Package, Expatriate Pay on November 10, 2010
The economy of Morocco is considered a relatively liberal economy. The services sector accounts for just over half of GDP and industry, made up of mining, construction and manufacturing, is an additional quarter. The sectors who recorded the highest growth are the tourism, telecoms and textile sectors. Morocco , however, still depends on agriculture which accounts for only around 14% of GDP but employs 40-45% of the Moroccan population.
Rabat is the capital of the Kingdom of Morocco. Tourism and the presence of all foreign embassies in Morocco serve to make Rabat the second most important city in the country after the larger and more economically significant Casablanca.
Rabat has an overall cost of living index which equates it with low cost of living locations. The overall cost of living index is comprised of the prices for defined quantities of the same goods and services across all 13 Basket Groups.
The latest cost of living rank for each of the 13 Basket Groups is now available.
Negotiating an Expatriate Package
Posted by Xpatulator in cost of living, cost of living allowance, cost of living calculator, cost of living comparison, expatriate, expatriate engagement, Expatriate Package, Expatriate Pay, Expatriate Prospects, global, international, International Cost of Living; International Cost of Living Index, Negotiating, world, world cost of living 2010 on June 16, 2010
Although international experience can be helpful for future promotional prospects, companies recognize that employees are cautious about going abroad for “possible future consideration”. Consequently companies usually offer employees financial and non-financial incentives to compensate for the upheaval associated with relocation abroad.
Expatriate assignments can be associated with emotional and physical hardship for the employee and their family. Companies compensate by paying expatriates proportional to the degree of hardship as well as cost of living differentials.
Often expectations for a generous expatriate package run very high, based largely on rumors and urban legend. Individuals may know of expatriates who lived the high life, tax free, and retired early after buying a large house in an exotic location. The reality is a little different for most of us.
Managing these potentially unrealistic expectations is the responsibility of Human Resources and Compensation & Benefits professionals. The challenge is to balance the needs and expectations of employees, with the financial needs of the organization. Satisfying the needs of both the employee and the organization requires designing expatriate assignments to benefit both the organization and the employee.
The amount of salary negotiated should take into consideration a number of factors such as:
• Cost of living difference compared to the assignment location
• Degree of hardship likely to be experienced
• Increased responsibilities such as having less corporate support in remote locations
Negotiating each of the above as separate amounts can simplify an expatriate package negotiation such as:
• Consistency when an organization sends people to different countries with widely different costs of living
• Helps prevent expatriates from feeling demoted upon their return to the home country because their salary was decreased significantly. It is easier to remove the adjustment made for the change in cost of living and hardship if it is separate from the salary.
Cost of living and hardship adjustments should be based on expatriate life style rather than the life style of local people. Expatriates living in some developing countries may find that local food, basic accommodation, and basic healthcare is relatively inexpensive, while maintaining their old lifestyle with imported food, “expatriate” accommodation, private healthcare, and entertainment/recreation is very expensive. The cost of living for local people is not always the same as it is for an expatriate.
The benefits offered to expatriates are most often better than the benefits offered to local employees, with exception perhaps of places such as the Middle East. Many organizations offer benefits such as tax consultation, relocation, accommodation, transport, visa, immigration, and language training.
Additional benefits that may be negotiated include:
• Cross-cultural training to help manage expatriate expectations by learning more about their future colleagues and local culture.
• A pre-assignment visit can help adjust an expatriates expectations versus the experience of other expatriates in that destination.
• Family benefits: Family adjustment and lifestyle issues are one of the causes of an expatriate not completing their assignment:
o Education for the expatriate’s children is often a deal-breaker for the family to accept an assignment.
o Helping the spouse obtain work.
• Career coaching / mentoring for the expatriate during their assignment, particularly during the first and last six months, and after they return to the home office helps ensure retention and helps manage their expectations for subsequent assignments.
• Repatriation training: Expatriate families and employees can benefit from repatriation training to help readjust to living in the home country and returning to the original work environment. This is often overlooked, while all the focus is on assisting the expatriate adjust to the host country.
A flexible approach to negotiating an expatriate package that is a win-win for both the employee and the organization is required. One size does not fit all!. A young, single accountant has very different expectations and needs compared with an older engineer with a family.
Calculating an appropriate salary package taking into account the existing salary, cost of living and hardship differences, as well as accounting for increased responsibilities may help ensure that the most important needs of prospective expatriates are addressed.
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