Living Costs in Sydney

Hi eveybody.

Been offered a job with an employer based in Sydney.

Base salary is $92k.

I'm trying to come up with a cost of living in Sydney so I can determine how far my money goes in the city.

I need to be based near Barangaroo as this is where my employer is. In terms of living costs, how much will gas, electricity and water cost for a single person living in either apartment or house?

Also, which areas should I avoid being based? I've heard Parramatta, Liverpool and Kings Cross should be avoided.

Cheers

If you need to be near work (i.e. walking distance) then type 2000 into either domain.com.au or realestate.com.au rentals sections (this is the central sydney postcode). Otherwise if you don't want to live in the CBD then it is probably worth doing a search on here to get an idea of the different suburbs as there are lots and all have different styles.

Water is generally included here (particularly in apartments which is what you'll get in the centre) but if it isn't then as a renter you will only at most be charged water usage which is peanuts. Electricity & gas will really depend on the amount you use but probably not much difference to the UK.

HI Shie,

I too, am moving to Sydney in a few weeks and thought you might find the article below useful. I found it at the following site:

Living Cost in Sydney: 2010 Version -

Entertainment

The fact that Sydney is quite expensive should not prevent you to enjoy live. Go out to the beautiful beach such Bondi, Manly, Coogee, and many other will be the cheapest option as probably you just need to pay for the parking and your lunch. Going to the cinema to enjoy the latest movie will cost you around $20 per person (not including beverage/snack). Kid go to “playland” (Lollipop, Clown Town, Jitterbug, etc) will set you back about $15 per kid.

I suggest to spare at least $150 a month for your family fun.

Internet and Mobile

Internet connection is getting cheaper. With $50 you can get unlimited download (it’s actually 130GB full ADSL2+ speed and 1Mbps shapping after that – 1Mbps shapping is practically very fast , hence can be consider unlimited – see TPG). For mobile phone, there are literally hundreds of plan out there, one of the value is to have post paid contract for 24 months with $29 cap per month that will be more than enough for most people. Three have such plan with very good handset free.

Education Expense

For you with kid on school age education expense is something that you need to be considered. While public school is free, Catholic school will charge around $600 per quarter and private school can charge much much more than that. So, beside the school fee, be prepare to spare at lease $500 per kid per year for uniform, stationary, excursion, etc which is extra from school fee.

For you with kid under 5 years old, you need to pay the expensive child care service to look after your kid while you are at work. Or alternatively one of the parent need to be at home (not working) to look after the kid. The rate of child care center is about $75 a day. The government will refund 50% of them (until certain limit) – so, you need to have enough cash flow while waiting for the quarterly refund. For the calculation on table I will put one school age kid and one under 5 kid.

Additionally, you might need to pay about $25 “after school care” per day, if you cannot pick the kid about 3pm (15:00) from school. This service is also 50% quarterly refunded.

School & Child CareFamily with 2 kidsMisc Expenditure per year$500Monthly Cost$167After School Care per day$25Monthly Cost$542Child Care per day$75Monthly Cost$1,625

Total Monthly Cost$2,333Will be refunded$1,083Net$1,250

Catholic School Fee per quarter$600Monthly Cost (Optional)$1,200

Health and Tax, Health Insurance (Optional but highly recommended) and Other Insurance

Australia is one of the country that has high tax. Average Australian will pay at least 30% of salary to tax office. The maximum is 45%. So, if you are employed with $60,000 p.a salary, expect only take around $40,000 home.

But with the high tax, come the benefit: if you are permanent resident that live more than 2 years in Australia – with some condition, of course – you will be eligible for social security payment (or “dole”) if for some reason you are unable to work. And the best part is: medical facility is generally free.

If you feel sick and need to see a doctor (General Practitioner), just go to a clinic that do “Bulk Billing” and you will pay nothing for your visit. The same thing apply for more serious matter as operation / surgery, etc. Just show your “medicare card” – Medicare also over delivery and other hospital services such blood work, etc. Unfortunately medicare did not pay for your medicine (although some is subsidized). So, prepare to spend around $200 per year to all this cough syrup, panadol, some ointment, etc…

For non resident, say tourist – expect to pay around $150 to visit a doctor and thousands of dollar just to spend a night in a hospital.

So if all medical bill will be generally free, why we need to purchase private health insurance ? Some of the important reasons:

1. If you don’t have private health insurance, the government will charge 1.5% extra from your income as “medicare levy”. So, with $60k p.a you will pay $900 extra tax. If a health insurance for family is $200 per month, total $2400 – then you don’t have to pay that $900. Yes, you still have to pay additional $2400-$900 = $1500 per year for insurance, but rather than giving $900 for government, it is better spend it for your own benefit.
   
2. You are covered for emergency transportation. The medicare will cover your hospital bill, but if you need helicopter to transport you in emergency you need to pay that helicopter bill – as well as normal car ambulance. If you have private health insurance, you don’t have to worry about this.
   
3. You have additional “benefit” for day to day health related expenses such as: spectacle or contact lenses, remedial massage, physiotherapy, podiatrist, chiropractor and dentist cost. Although highly depended on the “plan” that you sign up with, these “perks” is quite worth it if you use some of the mention above. For me, since both me and my wife wear glasses, go to remedial massage from now and then, occasional physio due to sport(mostly golf) injury, some chiro treatment for bad sleeping position, regular dentist visit, etc, this “perks” value to more than $1000 per year.
   

Summary

BachelorCouple With No ChildFamily with 2 kidsMonthly Cost

Accommodation & Utility$1,300$1,757$1,867Transportation$166.67$666.67$666.67Health Insurance$100$200$200Food and Groceries$200$400$5002 dine out per month$50$75$100entertainment$50$100$150Internet(usually included)$49$49Mobile$29$29$29$29$29School & Child Care$0$0$1,250

Monthly Cost$1,896$3,305$4,840Yearly Cost$22,748$39,664$58,084

Salary Projection$32,497$56,663$82,977

Above is the summary of all discussion in this article. Note on the last row is the salary projection that you need to ear to cover the expenses assuming 30% income tax.

If you just arrive in Australia for the first time, expect 2-3 months before getting decent job. For some reasons, if your experience was just from overseas, it will be quite difficult to find similar job in Australia. Usually it takes 2 step behind to go 1 step forward. So, in term of money, prepare at least 3 months full cost plus the capital expenditure on your first arrival.

Minimum Cash on ArrivalBachelorCouple With No ChildFamily with 2 kids$5,687$22,466$28,071

Once arrive in Sydney, first thing you do after a good night sleep in hotel is: go to bank and open account there. The big 4 banks in Australia are: Commonwealth Bank, Westpac, ANZ and National. Where you open the account is immaterial as you can withdraw and do any other service on different bank. The 2nd step will be securing your home – find a rental place !

Yes, it’s not that cheap to live in Sydney – considering also Australian Dollar is now almost in parity with US dollar. But it’s better to prepare more than living miserably in a great city.

Hi,

I just wanted to add my bit :-) I have only been in Sydney 1 week - and working and living in the CBD at the moment however have got a flat share that I am moving into in Bondi at the weekend.

I work in recruitment, and had a good social life in the uk, I lived in Ilkley, quite an expensive part of leeds and I would say to anyone coming out here not to worry about the cost of living. Its really not that bad, I have found a lot of things to be cheaper than the UK even in the City, and you can travel out to the suburbs and get cheaper stuff.. I would say the key is not to convert back to the english pound, you are getting paid in dollars so the cost of living is in dollars. Its really not as bad as people would have you believe and infact I think I will be better off here.

Dont know if thats helped at all, but I know that before I came I was getting a lot of "everything is so expensive in sydney, and dont buy clothes etc there" Sure if you shop at gucci its going to be pricey, but there are bargins to be had like any city :-)

Hi Huddy,

I think I might have been reading one of your posts earlier in the week. Didn't you go out there on your own?

I'm from Middlesbrough and was offered the job out in Sydney nearly 4 weeks ago. I still haven't decided whether I want to go.

I'm a bit worried because it's such a big move for me - I've never done this sort of thing before and don't know exactly what to expect. I'm in an ideal position - single, no mortage/house to sell, no kids, no debt etc etc so I could just pack my bags and go. I have a dog which I'd like to bring with me so that complicates things a little.

My biggest concern is going over there and not settling. I could give up everything here (job, car, flat etc etc), go over there and not settle - then I'd have to come back and start all over again.

Also bringing the dog back to the UK could be a difficult situation to deal with.

The other concern is not knowing anyone over there. A few of my friends are based in Brisbane and Perth but I don't know anybody in Sydney - how easy would it be to socialise and make friends over there?

The company who have offered me the job have been really good. They haven't pressured me for an answer and provided a lot of things to help me settle in. They have given me 4 weeks free accommodation, a relocation consultant as well as other benefits - I know you'd probably say I was lucky but I'm still unsure what to do

Hi ! :-)

Yes I moved out here last wednesday on my own, I am 28 single and I too had a dog.. I actually gave my dog back to the person I got her from - this was a little heartbreaking, but I have come over here to work 8.30-5.30 and didnt think it would be fair to leave her at home, and also with so much to see in the city I didnt really want to feel tied by anything. Plus it can cost around $4k.

I suppose only you can decide what to do, I too have never worked abroad and I am VERY close to my mum and grandma, and had a very strong friend network back home. I knew that I had to try working in Sydney, and just got for it, I sold everything and have been here a week at the moment.

I feel at the moment, its the best decision I have ever made - however my thoughts all the way through have been, I would rather be 65 and say " I went to work in Sydney, and loved it, but it didnt work for me" rather than "I was offered a job in Sydney, and didnt take it as I was too scared, and now regret it, and am too old/tied to do it"

As I said I have been here a week, I went out last sunday with 3 people from here, who were all like minded and we had a good laugh, then last night I went out with a girl I met through here and I think we will turn out to be partners in crime :-) so similar - I am not used to house sharing, but I promised myself I would do this for the first 6 months so I could meet people and I have managed to get a share down at Bondi with an aussie girl, who its going to introduce me to people and go out together. So whats that?! 5 friends in a week - we are all going out friday after work too.. and have arranged going to the cinema/theatre in a week or so to.

I presonally would say go for it, there is so much to do here as a single gal and it seems safe.

I know that I will have a mixture of emotions over the coming months, and have come over on a 4 year 457 - I have said no matter what I feel like in a few months I will give it at least a year - but who knows I could continue to love it and stay forever.

Plus that relocation package is great ! I only got 2 weeks.

I suppose you just have to ask yourself if you are 110% content with life in the UK, I know I wasnt and thats why I wanted to try something new..

Let me know how you get on and what you decide and if you want any advice or help, please just ask :-)

HI Guys,

I am due to start a new job in Sydney anytime soon (just awaiting my start date). Shie I have been through every emotion possible with regards to this move and the only way I have managed to come round to a decision is to know I will give it a go for 12 months. If I love it...bonus, I'll stay longer! If I hate it, I'll handle it and organise to return home knowing that I grabbed an opportunity but it wasn't for me. Huddy summarises it perfectly!

I am single, with no mortgage, my friends are married/coupled up, with kids so I reckon this is a great opportunity for me to branch out, in a beautiful city, full of new, interesting people but it doesn't stop me feeling terrified about the whole thing.

It is comforting to know and hear from others who have made the move and seem to be loving it already...Huddy I hope it all goes well for you and Shie...it's your life. You will handle whatever is thrown your way and sometimes you just gotta take a leap!

oh and as a plus, give me a shout when you get here - we are all up for a good laugh !:-)

Shy Mocha, I'm in the same position as you. My pals are all coupled up/married and I'm the only one who is single - a good opportunity to get out there and meet new people I guess.

Huddy, we'll meet up and you can have a laugh at my querky dress sense once you see me.

Cheers

Darren.

Hi,

I know this is a slightly old post but I'm moving out in two weeks to Sydney and am also in a similar situation to some of you (28, single and don't know many people in Sydney). It would be good to hear how you've settled in? In addition my company weren't able to secure that much of a relocation package for me and as a result I'm having to sort out all of my accommodation, I'm trying to decide whether I book a B&B for two weeks or a month until I can find myself a house share....any suggestions?

Thanks,

Olly