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Australia: From lucky country to land of rip-offs


ozziepom

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I have been hoist by my own petard. I will say more once I have finished tea, baked in a 'DARK' oven. :wacko:

 

Pass the whinge powder Harpo...

 

 

You were ripped off with a duff bulb then.........................or is it just that your oven needs a good clean out? :biglaugh:

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Guest pomgoddress

when I first came here food was much cheaper than UK especially meat Now it is more I think Premises cost the earth for shop keepers and wages as well but they do make about a 300 per cent profit on imported Chinese clothes. Now no one is buying any the prices are going right down. I buy my new stuff in Cotton On

mostly but not everyone can get into their stuff. I am a large in their and I am not overweight.

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when I first came here food was much cheaper than UK especially meat Now it is more I think Premises cost the earth for shop keepers and wages as well but they do make about a 300 per cent profit on imported Chinese clothes. Now no one is buying any the prices are going right down. I buy my new stuff in Cotton On

mostly but not everyone can get into their stuff. I am a large in their and I am not overweight.

 

That's the trouble with Chinese made textiles. I'm a large in European but I have to buy XXL to fit into anything here. I think they model their outsize stuff on 5ft fellers weighing 40 kilos wet through.

 

Actually, I lie................I really am an XXL but have to buy a chinese bell tent for a beach robe.

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You are quite right - prices are plummeting at the moment in the retail sector.

 

 

when I first came here food was much cheaper than UK especially meat Now it is more I think Premises cost the earth for shop keepers and wages as well but they do make about a 300 per cent profit on imported Chinese clothes. Now no one is buying any the prices are going right down. I buy my new stuff in Cotton On

mostly but not everyone can get into their stuff. I am a large in their and I am not overweight.

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I'm sorry, but I think it's totally ridiculous to compare using a salary-based conversion. So for example, my salary is now 3.75 times what I was earning in the UK, if you just do a straight numerical division and ignoring the currency (you're suggesting that the average for this figure is about 2.2). If you take into account the current exchange rate I'm now earning 2.4 times my UK salary. So if I bought something in the UK that cost 1% of my salary, it does not mean I am happy to spend 1% of my salary here on the same item. If I was happy about that, it would mean that I would be satisfied by having the same standard of living as I had in the UK and having the same proportion of spare money each month. However I did not come here to have the same standard of living, I came here to earn more money and save more money. I don't want to spend $10k on a crap second hand car. I don't want to pay at least $75 each when we go out for dinner, and I don't like paying $100 a month for my phone and broadband!

 

As it is, we are saving more than we ever could in the UK, but we are also spending a lot more on day to day essentials. But just because we're saving more, doesn't mean Australia isn't a rip-off. It just means we earn a hell of a lot more here, and the exchange rate is in our favour when it comes to sending money back for the mortgage and student loans etc.

 

 

Not sure if I have interpreted your post accurately but think you may have misunderstood the idea of converting on average salary difference. It isn't to say you should be happy paying 1% here regardless of how high your salary is. The point is when trying to compare cost of living overall it makes more sense to use the difference in the average salary, whether it is 2.2, 2.7 or whatever and comparing from there. ie If after multiplying out the average salary difference (not your salary difference) the price is higher than it cost more here, if less than it is cheaper.

 

It is an inexact science but far more accurate than using the exchange rate which is simply meaningless in these comparisons. If the pound drops in half tomorrow my cost of living in australia will obviously not double as a percentage of salary the next day and the cost of living wouldn't halve in the uk either even though an exchange rate comparison would say otherwise.

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Do they also have that small town effect in the UK?? Prices being higher etc....I suppose it is relatively easier to get to civilisation and thus cheaper prices though

 

Yes the same effect is noticeable in the UK however there aren't many places which are remote enough to show it. Those that are include the Western Isles of Scotland.

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Guest Guest 47403
Do they also have that small town effect in the UK?? Prices being higher etc....I suppose it is relatively easier to get to civilisation and thus cheaper prices though

 

They definately do with fuel prices they can often be 1-2p a litre more expensive in more rural areas not sure how it can be justified as nowhere apart from certain parts of Scotland is really isolated.

 

Can't say I've seen it with food, stayed in a small town in Scotland in the summer and super market prices were pretty much on par with what we pay at home.

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Guest The Ropey HOFF
Not sure if I have interpreted your post accurately but think you may have misunderstood the idea of converting on average salary difference. It isn't to say you should be happy paying 1% here regardless of how high your salary is. The point is when trying to compare cost of living overall it makes more sense to use the difference in the average salary, whether it is 2.2, 2.7 or whatever and comparing from there. ie If after multiplying out the average salary difference (not your salary difference) the price is higher than it cost more here, if less than it is cheaper.

 

It is an inexact science but far more accurate than using the exchange rate which is simply meaningless in these comparisons. If the pound drops in half tomorrow my cost of living in australia will obviously not double as a percentage of salary the next day and the cost of living wouldn't halve in the uk either even though an exchange rate comparison would say otherwise.

 

 

Your right fish the current exchange rate is pointless and its best to use the average wage conversion............. whether its 2.2 or 2.7 it IS a starting point for us would be migrants in trying to work out costs in Australia. I don't know why people get so worked up over it and become personal, this equation helps people, its as simple as that and we all know that not everyone earns even the lower rate of 2.2, its no different here in the uk, many don't earn the national average wage, its common sense they don't, but we are working on averages and most folk on here are skilled migrants, so it stands to reason that they will be earning at least the 2.2 equation. I helped someone who was emigrating and was offered a wage of $45,000 and thought it was worth £30,000 using the current exchange rate, but when i pointed out that the rate was at least $2.2 to £1 to make the cost of living similar and it was equivalent to nearer £20,000. The guy thanked me big time, he said i saved him and his family from being skint in Australia and it made me feel good that i had helped them, which is the whole point of this great site. I say this to any would be migrants, make sure you get an equivalent wage in Australia paid at least 2.2 times more than your wage in the uk, if not you will struggle. Best of luck and merry christmas folks.

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Guest guest59177
Your right fish the current exchange rate is pointless and its best to use the average wage conversion............. whether its 2.2 or 2.7 it IS a starting point for us would be migrants in trying to work out costs in Australia. I don't know why people get so worked up over it and become personal, this equation helps people, its as simple as that and we all know that not everyone earns even the lower rate of 2.2, its no different here in the uk, many don't earn the national average wage, its common sense they don't, but we are working on averages and most folk on here are skilled migrants, so it stands to reason that they will be earning at least the 2.2 equation. I helped someone who was emigrating and was offered a wage of $45,000 and thought it was worth £30,000 using the current exchange rate, but when i pointed out that the rate was at least $2.2 to £1 to make the cost of living similar and it was equivalent to nearer £20,000. The guy thanked me big time, he said i saved him and his family from being skint in Australia and it made me feel good that i had helped them, which is the whole point of this great site. I say this to any would be migrants, make sure you get an equivalent wage in Australia paid at least 2.2 times more than your wage in the uk, if not you will struggle. Best of luck and merry christmas folks.

 

You need the average after-tax wage to get any meaningful comparison.

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I'm as honest as the day is long - its just a coincidence that yesterday was the longest day though you would not have known it here in Sydney as it was overcast most of the day!

 

Anyway, it is important that people know the good and the bad about living in Australia, especially the risks of buying bulbs...:laugh:...it may affect their plans...am taking one of my little 'uns to the dentist today so will have the whinge powder back out later on, bringing festive joy to the PIO masses.

 

aww flea :hug: you shouldnt of told them!!
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Not sure if I have interpreted your post accurately but think you may have misunderstood the idea of converting on average salary difference. It isn't to say you should be happy paying 1% here regardless of how high your salary is. The point is when trying to compare cost of living overall it makes more sense to use the difference in the average salary, whether it is 2.2, 2.7 or whatever and comparing from there. ie If after multiplying out the average salary difference (not your salary difference) the price is higher than it cost more here, if less than it is cheaper.

 

It is an inexact science but far more accurate than using the exchange rate which is simply meaningless in these comparisons. If the pound drops in half tomorrow my cost of living in australia will obviously not double as a percentage of salary the next day and the cost of living wouldn't halve in the uk either even though an exchange rate comparison would say otherwise.

 

I agree its more useful to use the 2.2 comparison than the current exchange rate. But someone in an earlier post mentioned using a ratio of the item to your earnings to compare prices - that's what I think is barmy!

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it feels very surreal indeed being told this country isn't expensive by people who don't actually live here!:biglaugh:

 

Ah well, they would know of course, some of them have even been here on holiday, and as for this tosh

http://www.couriermail.com.au/money/money-matters/from-lucky-country-to-land-of-rip-offs/story-fn3hskur-1226221363501

they obviously haven't got a clue, what would they know about Australia, next time they should check their facts out with someone that doesn't live here. :biglaugh:

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Just bought the mother in law a last minute Christmas present a couple of days ago, didn't have time to order online so went to local bookshop to get her a copy of Mao's Last Dancer which cost me $35 AUD (compared to the £6.99 they're charging on Amazon UK). In anyone's book, that must qualify as a slight rip off.

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Just bought the mother in law a last minute Christmas present a couple of days ago, didn't have time to order online so went to local bookshop to get her a copy of Mao's Last Dancer which cost me $35 AUD (compared to the £6.99 they're charging on Amazon UK). In anyone's book, that must qualify as a slight rip off.

 

Oh well, they won't be around for much longer.....

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You've got to read the report. It makes some interesting comparisons which, to be honest, you can spin both ways.

 

http://www.cis.org.au/images/stories/policy-monographs/pm-125.pdf

 

But whatever, Bunnings replaced my oven bulb for free and have a great offer on masonary paint at the moment: 6L for $70. Now there is a topic for discussion - the price of paint.:policeman:

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The 30-day rule is explained on page 5 of the report.

 

Just bought the mother in law a last minute Christmas present a couple of days ago, didn't have time to order online so went to local bookshop to get her a copy of Mao's Last Dancer which cost me $35 AUD (compared to the £6.99 they're charging on Amazon UK). In anyone's book, that must qualify as a slight rip off.
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Guest The Pom Queen

It seems that even the large companies like Harvey Norman are agreeing it's cheaper to have an online store based in Ireland and sell games back to Australian Consumers.

The co-founder of Harvey Norman has been highly critical of the rise of international online shopping, which he says is threatening Australian jobs and businesses.

In particular, he is concerned that online purchases under $1000 do not attract a GST, creating an uneven playing field for local retailers.

 

But now the company has joined the offshore online retailing world by launching a shopping portal, based at a Harvey Norman outlet in Ireland, to sell GST-free computer games to Australian consumers. Mr Harvey says it's highly likely the company will soon start selling tax-free laptops, computers, digital cameras, mobile phones and iPads on offshore websites.

 

Mr Swan defended the GST threshold on goods bought offshore, saying a Productivity Commission report into the issue found it wasn't the cause of retailers' woes.

"I can't remember a Christmas where Gerry Harvey wasn't whingeing," he told ABC Radio today. "Back when we put the original stimulus package in place he spent a lot of time whingeing about that, but ultimately it did lift consumption in Australia."

 

Mr Harvey responded, saying he wasn't a whinger and just wanted to protect the whole retail sector, not only his business. "To call me a whinger when you are poll-driven, that's just an illusion," he told ABC Radio. He told Mr Swan: "I've been telling you and your government for a long time ... you have a major problem: the GST. You thought it was more important to think about the votes you were going to get."

 

Mr Swan said the Government was working its way through the Productivity Commission's recommendations. "It found the cost of actually applying the GST to sales below $1000 was prohibitive," he said. "It's not a panacea for some of the challenges retailers face at the moment."

 

Mr Harvey said the commission's report was a waste of time and that he hadn't bothered to read it.

He said that when the commission's staff interviewed him as part of the consultation process, he got the impression they had "a pre-determined point of view". "I think it cost us a lot of money for the Productivity Commission and I think we got nothing out of it," he said. Mr Swan pointed out that not all online shopping was done on overseas websites, saying many of the parcels arriving at post offices came from Australian stores.

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Guest The Pom Queen
I'd be perfectly happy to buy more online from Australian retailers if they actually had a decent website. As it is, most of them tell you to phone or visit the store for prices!

They are doing a lot better, when we first came out I don't think they had heard of websites.

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