One or two earner families?

[Tee]

Hi all,

I have been very quiet for over 3 years as 175 PR visas have taken so long. Only now moving on categ 5 so starting to read and think about it again.

Starter question, I know child care is expensive, I will have school going kids and one small child at home. Are most of you double income families? I will obviously work once the last child enters school. At moment I work half day, taxi kids in afternoons & I have a nanny at work to look after toddler.

Applied: Aug 2009 GSM175

Husband occupation: IT Tech support engineer (may move to SALES)

Thanks!

[Gizmo]

We are a double-income family - the same as we were in South Africa.

Same as with South Africa, you can make-do on one or two incomes - it all depends though on what type of lifestyle and standard of living you want.

[Tee]

Thanks for the reply!

[Annelie Siemens]

We are a one income household, and live a comfortable life. I have started working, part time, and day care is costing me $30p/dsy(this is after my govertment allowances).

We are not going to use my money in the household yet, as i don't want to depend on it too much yet.

I work 3 days a week, 5 hrs a week, so have special time with my son, and I contibute to society via the work place.

[AllisonW]

We went from a double income family in SA to a single income family in Oz. We have three kids, aged 8, 5 and 1. We are coping very well in IT. My husband earns more then he did in SA and key, he pays far less tax. We didnt have to finance cars and have minimual debt but have really found that our lifestyle has not dropped on one salary. Its more an issue of mom coping emotionally staying at home with three kids, as being a bit difficult.

I was offered a part time job from a friend but when i looked at the cost of child care and the stress that it would place on the family i just could not justify taking it. I would have to pay for before and after school care for the oldest two and child care for baby. Add transport, work clothing, lunches etc and it would make no sense to work. Also beyond schooling i find that there is a lot of during the day stuff here for kids and I would struggle juggling extra murals, sports, kinder etc.

It has caused me a bit of angst and although hubby is so good about it, I can feel a bit negative about being at home with the kids. But next year, when my oldest two are in school from 9 to 3:30, I may have more flexibility to explore some of my own business ideas. Realistically i can only return to work full time when baby is at school.

[Tsunabi]

One income household. We are on a tight budget but if I had to fo to work (only want to work half days cause I wanna be there for the kids in the afternoon) my income will only pay for the kids' daycare/kindy since I have a 3 yr and 6 week old. Going back to work fulltime in my field would mean I never see my kids awake and the main reason I moved to Oz was to be able to live on a one income salary so I can be there for my kids.

[Donovan83]

I don't earn all that much but at the moment my partner is considering coming over earlier without a job. I'd quite comfortably be able to support us both (although that isn't ideal) - what Alison said is true about having less being drained from your account. We won't have cars (which are EFFING expensive no matter where you live), even if we rent it's actually quite cheap. Food isn't that expensive and if you live a fairly frugal life you'll be fine even if only one of you is bringing in the cash.

It's very difficult to explain why though... I think it's because in SA, you receive your income, which is then taxed to death. Then you pay for medical aid in full again (which should be covered by the tax), and then just pay most of your medical costs yourself since the medical aids don't cover much. Then you pay for security again (which should have been covered by your taxes), you pay for schooling again (which should have been covered by... yep, you guessed it, your taxes). The cost of food here is also different. If you convert it to Rand it seems more expensive, but if you compare it as a percentage of your income in dollars it's probably around the same if not even a bit less.

So yeah. All the stuff that is covered by taxes here being used for what they are meant for seems to make a big difference.

I think it would be different on a 457 though, especially since the LAFHA has all but been abolished now.

[Tee]

Thanks all. For some reason I didn't get any notifications to the rest of the replies.

Anyway that's the thing isn't it? Right now I work and do housework (maid only once weekly) and supervise homework and taxi to extra murals so I feel as though I compress 48 hour days into 24!

I have heard from many that earning over there can be eaten up by childcare etc so not really worth it until all kids at school.

Lastly I totally agree with the whole expensive cost of living thing. You can't compare according to exchange rates but rather as percentages of income. A trip to USA many years ago taught me that. Once you're earning dollars then expenses come off dollars not rands ;-)

Good discussion - thanks!

[Gizmo]

re the childcare cost - it depends on what you do. I would need to have a rugby team of kids before it made financial sense for me to stay home. As a permanent resident, even in the highest salary brackets, you are entitled to 50% of childcare fees back (up to around $7000). So, for our 1 year old, we pay $7000 per year and for our daughter in primary school (who is in before and after school care), we pay about $3000 per year. So, that is a total of $10 000 we fork out. Mimimum wage here is just over $30 000.00 per year. Entry level professional jobs start at around $60 000.00.

[Emille]

this is off the topic, but donovan how are you settling in?

[OubaasDik]

this is off the topic, but donovan how are you settling in?

See

Seems to be doing quite well.

[elliemellie]

Hi,

I think it depends on what lifestyle you want to afford

We're going on a 457, and I need to work full time, as I'm the main applicant. My husband is going to be a stay at home dad for the first couple of months.

i think we'll be able to survive on my salary alone, but whether my husband will cope with the boys and the home is another matter altogether

[Sunnyskies]

1. 
   Hi,
   I think it depends on what lifestyle you want to afford
   We're going on a 457, and I need to work full time, as I'm the main applicant. My husband is going to be a stay at home dad for the first couple of months.
   i think we'll be able to survive on my salary alone, but whether my husband will cope with the boys and the home is another matter altogether
   

   
   

Hi Elliemellie, we were in the same boat. It drove my husband nuts and he never took to housecleaning, but he does admit that his relationship with our children is way better than it was in South Africa where he was always out of the house. I would recommend factoring in a cleaner once a week or every two weeks particularly in your first months, unless you want to find yourself working fulltime and cleaning toilets on the weekend - generally cleaners work by the hour and shouldn't need more than 2-3 hours to clean a 3 bedroom house that you have kept basically under control.

[Bronwyn&Co]

There are a LOT of stay-at-home dads here. My husband also did it for quite a while, and he took to it like a duck to water, he might surprise you!

Because he was/is so much more relaxed than me, the kids loved him being with them, and he had endless patience (he is the only one that will drive to the school with a lunchbox or forgotten book or forms, I just tell them "as jy dom is...")

The housework wasn't exactly his priority but he loved grocery shopping & got quite into cooking stuff (mostly easy, lol).

Anyway, I agree that a regular cleaner is worth it! Nobody likes to be the shower scrubber. If you all just do a little bit, it will be ok.

[Tee]

Thanks Gizmo. Very interesting. My youngest will be 4 so min dae to school anyway. Tx everyone for input!

[Gizmo]

If you are moving to Perth, your youngest may be in school already (depending on when they turn 4). At 4 kids go to school a total of 2.5 days per week (from 8:30 - 3:00). So, already you only have half full time daycare per week and half before-after school care. (They daycares / before after school care fetch and carry your kids to school).

[elliemellie]

Glad to hear the men survive - the cleaner sounds like a good idea, if only for marital harmony!

I should find out about the schools, mine is turning 4 in January

[miraclebabycaw]

Not trying to be nosy and no one needs to put actual salaries, but those on 1 salary, just curious as to what you consider a "decent" wage would be for a one income salary, esp to cover 2 Adults, 3 kids? 2 Kids will be in school so daycare not an issue (the other is an adult actually but an elderly lady who doesn't eat much..we just have to have private healthcare for her, but her UK pension should cover most of the healthcare, that is why I classified her as an kid). Maybe just OHSC. There is a huge difference between a one income salary of 100 000 AUD and a one income salary of 60 000 aud so I think it is very unfair to just say it can be done without stating what the one income is?

[Sunnyskies]

Miraclebabycaw, that is a very difficult question to answer. From my observation of comments on the forum we all come from very varied backgrounds, and while some people may be happy to furnish their home from items of furniture found on the street during the hard collection period, only buy specials in the supermarket and buy their clothes at an op shop not everyone would and while many may be willing to do this on occassion it is unlikely that that would be the only way that people live.

You are right it is a very different proposition to live on a $60K salary versus $100K. However, what one person can do on $60K may be more than what you can do based on how you spend your money. You need to work out your Aussie budget as against your SA budget to see if the salary covers your needs. Remember, your third adult is also a support system so you shouldn't need to have to pay for babysitting or childcare during school holidays.

As I've mentioned before, I worked out my South African budget and then my Aussie budget (to do my Aussie budget I researched each item on the internet and determined rent, fuel, power, insurance, school fees (if kids are going to private or parish school), car, hair (yes, it got a special budget line), rego, water, mobile, medical and took a guess on food and clothes based on what I had seen when we did our LSD). I then converted my Aussie income and Aussie budget into SA rands to work out how they compared to what I was earning in SA and what I was spending in SA to determine if I thought we could live on that income. In comparing the budgets I realised somethings would cost me 30% more, such as food and clothes (not on special) and targetted these as areas to work on (ie reduce the cost of). Some things were the same, such as fuel and power (although those have become areas that we now work on).

When we got here and started earning dollars we worked out that the things that we hadn't really factored in correctly was the cost of sight seeing when it wasn't for free, restaurants and take out (so we worked out the free activities and packed sandwiches). I had also not factored in the cost of getting the house up and running again (ie buying all the basics). My biggest expenses are rent, power (gas and electricity) and food. The other expense that I found creeping up on me is the childrens' extra murals, both the children do swimming, my son plays basketball, my daughter does ballet, tap and jazz. The cost of those activities really adds up and come as quarterly hits (you pay at the beginning of each term).

We also worked out what parts of our old lifestyle were not required and adjusted the way we live (so no BMWs - just a Toyota). Yes, sometimes things have been tough. Have they been crippling? No, on the odd month when I get the gas bill and the electricity bill and the school bill all at once it is a bit of a splash of cold water, but then we take stock and make some adjustments. However, I would say that we still live a very good life and we don't miss some of the extravagences that we gave up to move here. Those extravagences that we do want (such as the children's schooling, extra murals and holidays) we budget for. Talking to my Aussie friends they do much the same.

[Nev]

This is the same offer I made on an earlier post, my wife and I live very well with annual costs of just under $50k the rest is spending money, our food comes from Coles, our meat from an organic butcher and we eat a lot of it, I am paying off a 19k second hand SUV

If anyone wants to know how that is broken down send me a private message and I will reply with the detail, you can do it cheaper but we live really well on this

[Bronwyn&Co]

This is the same offer I made on an earlier post, my wife and I live very well with annual costs of just under $50k the rest is spending money, our food comes from Coles, our meat from an organic butcher and we eat a lot of it, I am paying off a 19k second hand SUV

If anyone wants to know how that is broken down send me a private message and I will reply with the detail, you can do it cheaper but we live really well on this

I think that sounds pretty reasonable for a couple with the discipline to know when to spend & when to save.

I think it's kids that blow the budget. We must spend this amount on our 3 teenagers alone, what with pvt schools, uni, res, uniforms, books, 4 cars in the family...the list goes on & it's scary Just this month we have a semi-formal & a res ball (think prom dress, suit, shoes...) aaaagh!!!

[Sunnyskies]

Agree, it's the kids. It's the school fees, the uniforms, books, extra murals, the larger car to tote everyone around, the fuel for the large car to tote everyone around, the clothes they keep on growing out of, the parties, the food (my daughter aged 9 eats more than I do and she is a skinny thing), the extra murals, the pocket money (or if you don't insist on that the whining for the latest gadget), the duplicate costs when "I don't know where I left my ...." happens, the extra holiday costs (a weekend away for two is easy, add in 2 kids and suddenly its a major expense unless you go camping).

We love them and we wouldn't give them back, but they do make a mockery of every effort to stick to a budget without deviation.

[OubaasDik]

We love them and we wouldn't give them back, but they do make a mockery of every effort to stick to a budget without deviation.

Agreed, but as a matter of interest, who would you give them to?

Mine didn't even come with an instruction manual, let alone a return address.

Edited October 30, 2012 by OubaasDik

[Sunnyskies]

I wanted to send my first one back to where he had been hiding for the last 9 months at the end of his first week out in the open when he wouldn't stop crying but he wouldn't fit and it would have been a suboptimal result in any event.

Sometimes I think that mine were made on a Wednesday, as they occassionally are a bit defective, but as they don't come with a warranty card you can't get a free replacement.

[OubaasDik]

I wanted to send my first one back to where he had been hiding for the last 9 months at the end of his first week out in the open when he wouldn't stop crying but he wouldn't fit and it would have been a suboptimal result in any event.

Sometimes I think that mine were made on a Wednesday, as they occassionally are a bit defective, but as they don't come with a warranty card you can't get a free replacement.

You have a strange mind. I LIKE that.