Cost of Living Adjustment - HK to Tokyo

[mikebyrne]

Hi,

I am being transferred from a HK investment bank to Tokyo and just wanted to know if anyone had a ballpark figure for a cost of living adjustment that I should expect?

Do most expats being transferred get an adjustment to their salary or an extra allowance?

Any ideas/advice would be much appreciated.

Cheers

[Katanga]

Mike

I have moved the other way i.e. from Tokyo.

Key things to ask for:

-housing is about the same assuming you are at the mid to upper end. You will probably get better in Tokyo for the same.
-school fees can be steep - about JPY3m
-day to day living costs depend on what you eat and how you live but western good are not cheap e.g. bread, butter, cereals etc.
-cars are very cheap; stick to a japanese car
-petrol is about USD1.10 per litre
-taxis are very expensive, starting at JPY660 but the public transport system is very good and cheap
-air travel from Jpn is a bit expensive so see if you can annual travel allowance.
-expect to pay a monthly rent of JPY500,000 for a nice apartment of about 1500 sq feet in a cool area
-utility bills will be much much more than here. Allow for about USD750 per month as you will be running air con for about 4 months and heating for about 3-4 months.


Overall, if you can squeeze out a 25-30% cost of living differential, you will be living very well.

Also ask what your tax situation will be. Jpn taxes are slightly higher.

Feel free to PM me if you need any more info.

thanks

[chancellor]

Katanga,

do you prefer life in hong kong or tokyo?

[Katanga]

Mate

Honestly its swings and roundabouts.

If you like the outdoors, and the culture than Japan is the place to be.

Great for week-ends away, people really friendly, food is great.

HK is easier but highrises all over, polluted etc. I do however, like the convenience of HK, get by with English etc.

If you are in an Inv Bank then getting Jpn under your belt does your CV lots of justice.

Do u have a family or single ? If the latter than even better - you'll love Jpn.

[Earthman]

I'd lived in Tokyo for closed to 5 years before moving here. The insight provided by Katanga is pretty accurate. For me, I still prefer the life in Tokyo. It was so much better that I once called it home.

The first year could be really frustrating for not able to understand people or getting around efficiently. Once you get past that, it is an intresting place to live. Service are top-rated everywhere.

You're going to love it.

Mate

Honestly its swings and roundabouts.

If you like the outdoors, and the culture than Japan is the place to be.

Great for week-ends away, people really friendly, food is great.

HK is easier but highrises all over, polluted etc. I do however, like the convenience of HK, get by with English etc.

If you are in an Inv Bank then getting Jpn under your belt does your CV lots of justice.

Do u have a family or single ? If the latter than even better - you'll love Jpn.

[greentea]

It is not surprising to understand that Japan is better than HK in most cases. At least, it is a very well-developed country and much spacious. What you need to adjust is the cost of living for about at least 20% higher.

[JonnyC]

I didn't spend that long in HK until I had to come Tokyo and I only got here on wednesday night, but I've been to Tokyo before and it is an expensive place. I would take a look on the Robert Walters website at their international salary surveys and compare the 2 locations for your job. I think a 20% adjustment is a bit on the low side, I'd ask for 40% at least, I went to the supermarket yesterday and the price of western goods is ridiculous (over 3 GBP for a small jar of pesto or bolognese sauce for example) so if you like western cooking it could get expensive. The transport in Tokyo is also more expensive, an underground train ticket the same distance as say central to causeway bay in HK will be roughly double the price in Tokyo (160-190 yen), it's still cheap compared to other cities like london though.

I also hope you're good at languages, to truly get the best out of Japan I think you really need to speak the language ( I don't and I know I'm missing out on a lot)

[freeier]

i'd think the tax is much higher.
at levels where u can afford 500k yen of housing, the tax is probably around 30~40% and that's quite significant compared to hk.

transportation and food are higher.
so i'm trying to figure out how to negotiate a better package to go there.. hmmm

[greentea]

Of course, if you have to stick to the Western stuff (imported goods), please prepare to give at least 30% higher than HK for the cost of living from HK to Tokyo.

[Earthman]

Of course, if you have to stick to the Western stuff (imported goods), please prepare to give at least 30% higher than HK for the cost of living from HK to Tokyo.

You would be fine with even a 15% adjustment but of course the higher the better. Tokyo is not so much more expensive than HK. Income tax is a few % higher than in HK.

80sqm(nett) 2BR apartment near Tokyo tower with 1 parking lot cost JPY300-400K.
Lunch is about JPY1,000.
Daily work commuting paid by the company (by law).
Happy hour in Roppongi, JPY500 per drink.
Dinner at a cosy restaurant cost around JPY5,000 per person with drink.
Downtown parking is JPY200-250 per 20 minutes.
Movie cost JPY1,500-1,800 per ticket.

If you are broke before the end of the month, JPY350 will get you a large bowl of japanese beef rice with green tea.
Supermarket provide discount up to 90% for unsold packed cooked food before closing for the day. JPY300 is what you need for dinner.

The best thing in Tokyo is no tips require and they stil serve you like VIP.