Moving to Delhi and a few questions about cost of living

#1 Apr 28th, 2016, 08:59
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  • Mel77 is offline
#1
Good day,

We are a family of 4 considering a move to New Delhi this summer. We are in the midst of discussing our package and benefits and I wanted to get a feel of what is the norm for expats to be able to survive on in Delhi. The position is a senior one country representative level.

So the benefits for all international staff are standard.

1. Rental allowance (they have not specified how much as yet but I think 4K USD per month)
2. 75% of school fees reimbursement (we would opt for the American Embassy School)
3. Annual economy class ticket for home leave plus dependents
4. Full medical cover, SOS for employee and dependents
5. Relocations, storage and repatriation costs
6. Pension fund
7. COLA

So my question is keeping the above benefits in mind would a net salary of $10,000 USD per month (120k per annum net) be sufficient to survive in Delhi as well as leave enough for savings? Or should we be negotiating for more? Any help and advise I can get will be highly appreciated.

Thanks,
Mel
#2 Apr 28th, 2016, 09:13
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  • prince09 is offline
#2
Net salary of US10k per month with all those benefits mentioned for a family of four will give you a comfortable life in Delhi.

You can try negotiating a higher salary If that's possible but otherwise I don't see any issues with the offer.
#3 Apr 28th, 2016, 09:27
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#3
Thanks. How much higher would you say? My current salary is 13k net per month (156k net per annum) but I get none of these benefits. but my main objective to take this position is to be able to save money each month which I currently don't. So that is why the salary has to be competitive no matter what the benefits. The benefits are standard for most expats moving anywhere in the world, nothing special or over the top. Advise?
#4 Apr 28th, 2016, 09:45
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  • vaibhav_arora is offline
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Are they giving you 10K USD in hand excluding the rental allowance?
Also, how much is that 25% component of the fee - i.e. the portion of the school fees that you're responsible for?
Edit: My understanding of Net is that you're not liable for tax in India or in Canada - is that so?
#5 Apr 28th, 2016, 09:50
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  • capt_mahajan is offline
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Also, how much do you expect/want to save? And an idea of lifestyle expectations in India.. help in the house, entertainment, travel in India, shopping etc... there is considerable difference in costs between a typically Indian and an expat lifestyle, all other things being equal. (although this is fast narrowing)
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This is computer generated drivel. No signature is required.
#6 Apr 28th, 2016, 09:59
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#6
That is correct. The salary would not be liable for tax hence I put a net amount. The benefits are all given on top of this pay not deductible from the salary. My contribution to the fees would be approximately 13k USD per annum. They have not clarified if the rent will be paid with the 10k making it 14k or it will be a direct lease with them. Either way it doesn't matter because rent in Delhi will cost me at least 3k for a 3 bedroom home.

I am looking to save at least 3k/4K per month minimum.
#7 Apr 28th, 2016, 10:09
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  • vaibhav_arora is offline
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If the rent is exclusive of the salary then with a 4K savings expectation you should be fine. Try getting a direct lease - that way you dont have to foot the security deposit. 4K will get you an independent floor (but not a row-house) in south delhi, not too far from chanakyapuri (where the Embassy school is) - but not in Chanakyapuri.

Just to be clear - the issue with that patch of South Delhi is the availability of houses - there are very few. Your allowance is generous otherwise. Traffic in Delhi is horrendous and the current state govt is experimenting with an odd-even rule hence I'd recommend finding a place close to work and children's school to minimize commute.

You'd save 4K easily even if you go out two or three times a week - as long as you dont go out all the time to a five star hotel only.

Captain should know about golfing - I'm too young for that sort of stuff
#8 Apr 28th, 2016, 10:21
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What is the odd even number? One other thing I found out is that for some people they give car also but not sure if that is applicable to us as yet. We are not a fancy family and do not eat out that much. We are vegetarians and do not drink too. So lifestyle it's will not be fancy. We would like to travel within India but will not be looking at 5 star hotels.

The areas to live we are looking at Vasant Vihar, Jor Bagh, Shanti Niketan or Anand Niketan. From what I hear expats are leaving Delhi by numbers his summer due to the hype on pollution so the rental market is down and about to go more down. So we should not have a problem finding a decent flat. I don't think we want to live in the diplomatic enclave in a bubble, until I become an ambassador to Canada, those plans are out LOL

Your advise is very much appreciated. Thanks
#9 Apr 28th, 2016, 10:29
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  • capt_mahajan is offline
#9
-crossposted, please read my next post #10 in conjunction with this one-

I stopped golf long ago. Elitist, useless and consumes too much of land and natural resources- and my time.

I am thinking 10k-300 (school, monthly)=9700 k
which is about 650000 INR
Want to save 270000 (4k US)
which leaves 380000 rupees a month to live

Yes, saving 4k (or even 5k ) should not be a big problem. Your bigger household expenses will include domestic help, driver(s), electricity (I suspect you will use airconditioning heavily about 7-8 months a year), eating out (as Vaibhav said), kids activities and shopping (if you are heavy shoppers of expensive brands), but even after all that, 4-5k is on. And even if you throw in travel within the country.


Do browse the forum if not already done so, there have been many similar queries in the past. Probably in the same expat subforum
#10 Apr 28th, 2016, 10:30
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  • capt_mahajan is offline
#10
Random google about odd even. Is from December, but rule has been reinstated recently

http://indiatoday.intoday.in/story/d.../1/541371.html\

PS, After reading your last post about lifestyle, I would say that your 4k saving expectation will translate into a higher number in reality. Maybe even 30 percent or so higher. (I think I am being conservative here)

PPS: I would negotiate for two cars with full costs including fuel, maintenance and drivers. Standard in your kind of position, and you will need two. At a crunch, I would take one and see how it goes.
#11 Apr 28th, 2016, 10:49
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#11
Oh well, maybe it will benefit somebody else

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