... Overall, it's good news for those who get the opportunity to be posted abroad. More than half of expatriates are not only able to invest and save more, they can also spend more on shopping and socializing while abroad.
The global expat population has continued to boom--according to the World Bank's Global Links Report 2007, the number of people living outside their home country has more than doubled since 1980 to 190 million--despite the weakening global economic climate, with companies continuing to bear the higher costs of foreign postings.
"As the world becomes increasingly globalized, companies want their managers to get a diversity of experience across the world, while employees want an opportunity to experience a lifestyle and culture different [from] their own," says Cornu.
"Particularly in financial hot spots, there is the potential to earn more and have a better quality of life."
No. 1: Singapore
Longevity: No. 6
Earn And Save: No. 2
Luxurious: No. 2
Accommodation: No. 1
The sweltering heat and sometimes baffling laws are more than offset by high-quality accommodations and the affordability of good private education, health care, and home help.
No. 2 (Tie): United Arab Emirates
Longevity: No. 7
Earn And Save: No. 4
Luxurious: No. 1
Accommodation: No. 4
With no income tax to pay, the largely young expat population is left with plenty to spend on the opulent lifestyle available.
No. 2 (Tie): U.S.
Longevity: No. 3
Earn And Save: No. 5
Luxurious: No. 6
Accommodation: No. 2
Expats often get posted to corporate headquarters and command high salaries. Especially for Europeans, who are used to the high cost of living within the euro zone, life can get a lot more luxurious in the U.S.
No. 4: Belgium
Longevity: No. 4
Earn And Save: No. 7
Luxurious: No. 5
Accommodation: No. 3
Capital city Brussels, home of the European Union headquarters, tends to attract expats for long periods of time, while decent accommodations just a few metro stops from the city center is available and affordable
No. 5: Hong Kong
Longevity: No. 5
Earn And Save: No. 2
Luxurious: No. 4
Accommodation: No. 12
Hong Kong attracts the best-paid expats, with just under 50% earning more than 200,000 U.S. dollars a year. This allows them to save, despite the London-like cost of accommodation.
No. 6 (Tie): Germany
Longevity: No. 2
Earn And Save: No. 13
Luxurious: No. 4
Accommodation: No. 12
Expats in Germany often spent several years in their postings to corporate headquarters, but the high cost of living within the euro zone makes it a tough place to save.
No. 6 (Tie) Netherlands
Longevity: No. 1
Earn And Save: No. 5
Luxurious: No. 13
Accommodation: No. 11
Like the rest of Europe, expats in the Netherlands typically spend longer at their postings, as they tend to go to corporate headquarters.
No. 6 (Tie): Canada
Longevity: No. 8
Earn And Save: No. 7
Luxurious: No. 10
Accommodation: No. 6
When it comes to accommodations, Canada can be very affordable, with the cost of a luxurious, two-bedroom apartment in the heart of Vancouver costing $1,796 a month on average, according to Mercer.
No. 9: India
Longevity: No. 15
Earn And Save: No. 1
Luxurious: No. 3
Accommodation: No. 15
Expats in India can command high salaries while still saving, but the standard of accommodation falls short of other popular destinations.
No. 10 (Tie) Australia
Longevity: No. 14
Earn And Save: No. 7
Luxurious: No. 9
Accommodation: No. 6
Expats tend to have short stints in Australia, though it's a good place to save.
No. 10 (Tie): China
Longevity: No. 13
Earn And Save: No. 7
Luxurious: No. 7
Accommodation: No. 10
Expats spend little time in China, though the relatively low cost of living and eating and drinking out still make it a good place to save.
No. 12 (Tie): Spain
Longevity: No. 12
Earn And Save: No. 15
Luxurious: No. 8
Accommodation: No. 8
The Spanish property market may be cooling, but the high cost of accommodation and tax rates makes the country the worst place when it comes to earning more and saving.
No. 12 (Tie): France
Longevity: No. 11
Earn And Save: No. 14
Luxurious: No. 12
Accommodation: No. 9
Having the whole of continental Europe at your doorstep is little compensation for extortionate rent and costs of living, reasons expats tend to spend a limited time in France.
No. 14: U.K.
Longevity: No. 10
Earn And Save: No. 6
Luxurious: No. 15
Accommodation: No. 13
High labor and accommodation costs make having home help--or luxuries such as a swimming pool--unaffordable. All in all, it's the worst place to go if you're looking for a more luxurious life.
1 comment:
I agree that Expats generally save and make good money while abroad. However it is important to look at the relative spending power of your salary before accepting an assignment. My view is that exchange rates give misleading salary comparisons because they do not reflect salary purchasing power differences. Exchange rates are volatile as they are based on short-term factors and are subject to substantial distortions from speculative movements and government interventions. Salary Purchasing Power Parity (SPPP) is the rate of salary purchasing power given the relative cost of the same basket of goods at the exchange rate versus one US Dollar. SPPP conversions allow cross-country comparisons of salary levels free of salary survey market and exchange rate distortions. You can get a more accurate SPPP comparison of your equivalent salary in another country using www.xpatulator.com
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