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american grad - salary in hong kong v. usa

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  1. #1

    Join Date
    May 2011
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    american grad - salary in hong kong v. usa

    Found this forum and was reading up a lot and got some great answers. But I'm still a bit up in the air so I'd thought maybe you guys can offer me some advise.

    I'm just graduating university and am deciding between two opportunities right now. Both within corporate finance. But it breaks down to either a 28,000 HKD salary a month in Hong Kong. Or a $52,000 USD annual salary in New York.

    Also the Hong Kong position includes a rental reimbursement scheme which allows you to pay reduced taxes by claiming up to 40% of your salary for rent and then I guess not paying taxes on that amount. A pretty new concept for me so not entirely sure how that works. Maybe theres an american expat out there who can help me compare my end result take home pay in both cases.

    As a 22 year old guy my main concerns right now are beginning my career and having a good time. Definitely to involve a bit of going out and drinking on the weekends haha.

    I've gone through a lot of posts and most I seem to find are families heading over asking this similar question. But as a single guy bringing in 28,000 HKD a month how would I fare in Hong Kong? Especially in regards to living expenses and maybe even best areas to live, optimally with a roommate, as a young expat.

    I could answer all my questions for New York. But its a bit harder for Hong Kong. Would love some advise, but I must say I have been to Hong Kong before and could definitely see myself having an incredible experience living there.


  2. #2

    Join Date
    Oct 2005
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    28k a month with rent to pay doesn't exactly leave you with a lot.

    What kindof social life do you live in the U.S?

    Typical night out in HK can cost anything from $300 to upwards of $1000 depending on where you go. These prices are in $HK by the way.


  3. #3

    Join Date
    May 2010
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    Hi Jeremyh,

    I'd be interested to know how you managed to find this corporate finance job being a fresh grad... jobsdb? scmp? company website?

    thanks


  4. #4

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    Jan 2005
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    Unless you can live like a local, I'm afraid this salary may not give you what you would like to live in HK. However, if you want to get an overseas experience and possible a career development in Asia, I would encourage you to try.

    Is it possible you take the position in NY first, then after a few years you may able to get a transfer to HK with an expat package?


  5. #5

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    Aug 2009
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    what ridiculous answers above!

    28k for a fresh grad is perfectly ok. your tax will be next to nothing, housing for say 10k/month (way good enough for fresh grad) leaves you like 15k to blow away every month. enjoy!

    (separate note, i would always take the corp finance job in asia. that's where the future is)

    Mat and dipper like this.

  6. #6

    For a 22 year old sharing a flat 28k is just fine. Housing isn't exactly cheap in NYC either unless you work in NYC and live in Jersey, ugh. Don't analyze it too much at that age. Get out here and have an adventure and if things go belly up you'll laugh about it in your 40s...

    Satay Sue and PDLM like this.

  7. #7

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    Mar 2006
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    Quote Originally Posted by cookie09:
    what ridiculous answers above!

    28k for a fresh grad is perfectly ok. your tax will be next to nothing, housing for say 10k/month (way good enough for fresh grad) leaves you like 15k to blow away every month. enjoy!

    (separate note, i would always take the corp finance job in asia. that's where the future is)
    Asia is where the future is at Cookie, can't agree more.

    But for me that doesn't necessarily say make your first job here in Asia other than the fear of not taking an offer might mean few or no offers later on.

    While this young grad doesn't speak to the bigger issue of what kind of role the OP will play, this is where the decision to move here or not should be at least equally pivotal.

    Who you work for and what can you learn to start out is crucial in business.

    I can't speak for corp. finance groups here but I have come across some young ones who were putting in hours for the sake of putting in hours as they were in global firms with local managers - not sure what they learn that way. This was when they had no M&A work going on at all - just appearances which is what turned this local manager's crank.

    Learning would be a key factor in any advice I'd give.

    Secondly and part of that is learning and working with western trained/influence management. That is essential if you want to progress to more senior leadership roles.

    I would be interested in a key question that I know in North America you'd get an good answer to and that is: Where do the new hires in the firm progress to when they master those roles? Ask that question of both as if the Asia job says it is mostly out of the firm then they best be going to super jobs.

    On balance, Cookie could be right. Get to Asia when you have the chance but consider these other points of view.

  8. #8

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    Fully agree with Cookie here.

    Folks, he is 22 y old. At 22 w/o any exprience 28K is good. Not to mention this is a starting salary (I'm in banking and since I join the industry in 2006 my salary as been multiplied X times)

    OP, on the tax thing you are bit wrong (you can check the inland revenue website to be clear on this) but on 28K your taxes will anyway be very low.

    You can find decent flat (for a 22 year old, not for a family of 4) for 12K or below (i'd say from 8K to 12K depending on your location and requirememt)


  9. #9

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    Jeremyh -

    Considering your age and the fact that you just finished up school, I'm going to assume that you haven't really been too accustomed to a lavish lifestyle... I'm guessing you lived the normal college lifestyle that most of us did... The extra 20 bucks laying around was a god send for buying beer for the football games each and every Saturday!! Anyway, I'm just a few years older than you and lived in Chicago (the cost of living is somewhat similar) and I wanted to let you know that 28k per month is fine.

    Hong Kong is beyond convenient, find someone to share a place with and your housing budget will be significantly less... I was able to find an apartment for 11k total a month, with it being a 2 bed and sharing with a friend my housing expense is 5500 HKD per month. That would leave you with a few utility bills, and plenty of money for you to have a lot of fun. Just some info about the apartment, so you don't think it's some hole in the wall, it's located in Tai Kok Tsui - 35th floor, balcony (view looking at the harbor/central), club house, mall downstairs, close to two different mtr lines, mini bus stop downstairs... it has every convenience you can think of... it's just not Central, but i can be there in 20 minutes or so

    For me, Hong Kong is cheaper in every way compared to Chicago beside the housing...

    From a financial standpoint, 28k/month is beyond easy to do... (don't let anyone tell you it's not) Your main concern should be if moving to Hong Kong is something that you want to do... I have yet to meet someone who regretted moving here... everyone seems to just love it!

    Feel free to private message me if you want more information... I'm 26, lived in Chicago the past 3 years, and moved here in January... so maybe I could give you some insight from a younger perspective.

    Best of luck to you...

    FYI - here is a link to my building... http://en.wikipedia.org/wiki/Metro_Harbour_View

    Last edited by barnesc; 24-05-2011 at 11:52 AM.
    Fiona in HKG likes this.