# offer feedback...



## eddie79 (Mar 25, 2014)

I recently received an offer to work for a company in UAE as a manager. I am being offered close to 520,000 AED/annum, about $142,000. This includes housing, school, transportation allowances. I am currently making $112,000 in the USA where I currently work. Is this a decent offer? I have a wife and 2 children (1 child is of school age)

Not sure if this is big enough offer to make sense to make this whole move from US to UAE.

Any advice/feedback?

Thanks,

Eddie Babcock


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## neola (Jan 2, 2014)

Its a tough decision indeed. I have friends who worked and live there together with their family. Cost of living is not high but standard of education is not as in US.


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## Mr Rossi (May 16, 2009)

IMO, no


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## expatteacher2014 (Mar 18, 2014)

Bit of a generalisation about education: there are some excellent schools, lots of ordinary ones and some bad ones, as everywhere.

I guess it depends on what motivates you to think about moving ... or would you find other life rewards from moving your family to the desert?


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## Fat Bhoy Tim (Feb 28, 2013)

What's the companies child education benefits like? 

Between the foreign-earned income exclusion and Dubai housing allowance, you can write off around $160,000 in taxes - so that cash will be yours. However you'll get hosed on education a lot of the time. 

My employer has a 75% contribution for up to 3 children aged 5-18, with the employee paying the remaining 25% - an policy this generous is however rare.


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## TallyHo (Aug 21, 2011)

neola said:


> Cost of living is not high.


Er? What?


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## TallyHo (Aug 21, 2011)

You can survive off that package in some comfort. 

The better American schools are between $18-25K per year. A three-bed villa will cost you between $40-$60K for the year. 

If you're frugal and sensible you can put aside a decent amount each year even though most of the tax savings in coming to the UAE will be gobbled up by school fees and the high cost of housing. But you won't be worse off until your second child is of school age.

By the way, you already sound reluctant enough in your original post. What does your gut instinct tell you? If you have a stable job with good prospects in the US is it worth it to move your family overseas for marginally more money? How much do you relish the chances of an adventure?


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## vantage (May 10, 2012)

neola said:


> Cost of living is not high .


???????????


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## Fat Bhoy Tim (Feb 28, 2013)

TallyHo said:


> You can survive off that package in some comfort.
> 
> The better American schools are between $18-25K per year. A three-bed villa will cost you between $40-$60K for the year.
> 
> ...


I wish I lived in a world where $30k was marginally more.


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## Mr Rossi (May 16, 2009)

Fat Bhoy Tim said:


> I wish I lived in a world where $30k was marginally more.


Of course it's a lot but 30/12 = 2500 USD per month.

While an extra 9000 AED would certainly sort me out at the moment I don't think it's worth uprooting an entirely family for, given the hassles of living here.


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## INFAMOUS (Apr 19, 2011)

Not worth it in my opinion... You can try to negotiate for more. Remember you'll only be tax free on the first 100k being from the US.


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## TallyHo (Aug 21, 2011)

You're right that $30K isn't marginally more.

But take the current income of $115K. My guess is that his child is in a state school in the US. He probably lives in a decent house in a pleasant neighborhood. 

He'll be looking at spending $20K for a school in Dubai if he wants the American curriculum. Housing will probably be much more expensive here than in the US unless he comes from New York or California or the DC area. After he's paid for schooling and the extra cost in housing, how much better off will he really be? The tax savings will be something but odds are he'll lose that incentive once the second child hits school age. 

Then you have to offset any potential employee benefits such as 401K matching, social security and whatnot, that Americans don't get in the UAE. 

Then we have to factor in the risk of redundancies and unexpected unemployment, which is common enough in the UAE. Give up a stable job at a good income for the prospect of saving an extra $10K a year? 

If he really wants this job and thinks it'll be a great career move and relishes the prospect of living abroad and has a sense of adventure, then go for it. But I can still see why some people will say, nah, not worth it. 

There can be many mitigating factors that only the OP knows that could have a definite impact on whether it's a good offer. If he's making 115K while living in a cramped 2-bed apartment in high-tax, high-cost Manhattan, then yep, Dubai might be a good move. But if he's coming from, say, Houston, it's probably not enough money to make the move worthwhile if his goal is to save a lot of money. 





Fat Bhoy Tim said:


> I wish I lived in a world where $30k was marginally more.


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## Fat Bhoy Tim (Feb 28, 2013)

INFAMOUS said:


> Not worth it in my opinion... You can try to negotiate for more. Remember you'll only be tax free on the first 100k being from the US.


+ 57k for housing/rent.


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## Fat Bhoy Tim (Feb 28, 2013)

TallyHo said:


> But if he's coming from, say, Houston, it's probably not enough money to make the move worthwhile if his goal is to save a lot of money.


I'd move to Kabul to escape Houston, but that's just me.


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## INFAMOUS (Apr 19, 2011)

Fat Bhoy Tim said:


> I'd move to Kabul to escape Houston, but that's just me.


Where's the dislike button? :fish: Hell Yes Texas! You've probably never even been.


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## ccr (Jun 20, 2010)

INFAMOUS said:


> Where's the dislike button? :fish: Hell Yes Texas! You've probably never even been.


Forgive him, he is from Scotland. And probably very happy not living there anymore...


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## ccr (Jun 20, 2010)

eddie79 said:


> ...I am being offered close to 520,000 AED/annum, about $142,000. This includes housing, school, transportation allowances. I am currently making $112,000 in the USA where I currently work. Is this a decent offer?


For $30k more, and you have to pay for children school fee (American School of Dubai is ~$20k+ / year / child), an apartment for 3 (assuming 3) is ~$40k / year (+/- $15k) and 1 or 2 cars (same prices as US)... And not a lot less on US tax, you won't save much or any.

I don't know which industry you are in, but typical US expat packages that I am aware include lots more (i.e. 100% school fee up to 3 children, separate housing + full utilities, tax reimbursement, transportation allowance, etc)


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