Deal or no deal?

[Anorak]

I've been offered the chance to go and work in Sydney by my current employers, and wanted to get some opinions on the the deal they're offering me.

They're going to sponsor me on a 457, and they're happy to also sponsor me for permanent residency via a 186 but I'll have to cover the costs if I went for direct entry now. The idea being they get me there sooner, but we'd get the security of permanent residency.

I'd be getting 110K (inc super) as a software engineer with myself (working), partner (not working, maybe after we are permanent), and three school age children, and we plan to rent at first.

Deal or no deal?

[Collie]

Hey Anorak,

What ages are the kids?

IMO go for the 186 ahead of the 457, more options down the line.  The company have you by the short and curlies on a 457.  Also on the 457 you'd be up for school fees AFAIK

Re salary, $110k package is about $100k gross which will give you about $6,100 into your hand per month.  Sydney is an expensive town, where are you planning on living?  Where is the Sydney office located?

You could live on that but it would be tight for a family IMO.  If your partner works that would help

Great city, great lifestyle but expensive particularly property.

$110k for a software engineer looks low IMO for the Sydney market.  Have a look at seek.com.au for comparable jobs or glassdoor for salary levels.  Talk to some IT recruiters to see what the market rate for your skills is in Sydney.

Also domain.com.au for typical rents.

One strategy could be to do the 186 option with a view to moving to a better job locally after 2 years (think it is a 2 year restriction).  You & your family would have your PR and be half way to citizenship.

See if they are willing to throw something else in, maybe pay for the flights, 3 months accomodation etc.  One-off tax deductible expense for them but will save you after-tax income.

[LKC]

I'd definitely recommend PR rather than a 457 if you can wangle it, with three school aged kids.  Fees on a 457 would be $5000 per child ($5200 from next year) plus the usual costs of sending a child to school, such as uniform/shoes (approx $400 per child), book fees, voluntary contributions (which aren't really voluntary), sport stuff, excursions etc.  

In my opinion (and experience since I live here) $110k would be tight nowadays for a family of five, and your partner may well have to work.  My OH earns a bit more than that and we can only afford to run one car and aren't particularly extravagant in our spending.  I can't work at the moment for various reasons.

Where would you be working?  That would influence where you could live, which can mean the difference between affordable and unaffordable in Sydney.

[VERYSTORMY]

I would say that would a be a very tight salary to live on in Sydney with three kids!

The last time I lived in Sydney was in 2008 and was earning $75k, but with no kids and that was so tight we ended up topping up our living costs from savings. Sydney has become a lot more expensive since then.

Don't forget while on a 457, you would need to pay for education as NSW charges temporary visa holders. This would be expensive.

Also, be very careful about 457 visas. Particularly at the moment as the entire system is in flux

[Anorak]

Our thinking was take the 457 now, but apply for the 186 as soon as possible. We know all about the risks + school fees with the 457 etc. which is why we want to pursue the 186 (even out of our pocket). The office is in Chippendale, but we know we'd be living much further out.

[LKC]

You could get the train to either Redfern or Central for Chippendale.  You could look along the T4 train line out towards Engadine/Heathcote area, which is 45-50 minutes away at most.  It is a bit more affordable out this way in terms of housing, and we have good schools, supermarkets, lots of parks plus the Royal National Park on our doorstep.  We've loved living here.  Sutherland Shire more generally has pretty much everything you'd need.