As more and more expatriates are required to negotiate their expat’s package aka expat’s benefits, we have compiled some information on this regard for those in need. Without a firm knowledge about different expat’s allowance and costs-of-living in the host country it’s close to impossible to negotiate an advantageous expat’s package.
If you are looking for a professional assistance in negotiating your expat’s package or would like to get a costs-of-living analysis, contact us today.
While many corporations have international mobility guidelines and policies in place and as such expat’s packages are hardly negotiable, many other companies are open to discussion. In the latter case, transferring employee needs to understand the costs-of-living in the host country first as well as installation costs before accepting or not the offer.
The first step in negotiating an expat’s package is collecting information about full costs of the move and installation in the host country. Even if the cost of actual move of the belongings is fully covered, there are many other hidden costs that should be considered i.e. storage cost for goods to be kept in the home country, duties and other costs related to cross-border shipments, move of art pieces to name a few.
Another big chunk of installation costs include relocation and/or real estate agency fee. These costs depending on the country and city you are moving to, can vary between couple of hundreds to thousands of euros.
Additionally you shouldn’t forget to pay the premiums for various types of insurance.
International School Fees & Tuition
As many bi-lingual schools are not necessarily following the IB curriculum, the prices for so called international schools vary a lot. Moreover, some schools are able to get subsidies from the local governments and hence are becoming more cost effective.
For the fees & tuition cost structure is so different from school to school, it’s quite important to understand which costs are refundable when the child leaves the school. We advise to find out the details of the schools bus fees, lunches, learning materials and extra-curriculum activities as these can be often forgotten in the whole calculation, but can make up a sum considering the annual payments.
Our cost-of-living analysis generally is divided into 3 sections: general living (food, leisure and personal care), transportation and property rental prices.
Consumer products, groceries, personal care items and services as well as restaurants and leisure expenses constituting general living section are calculated based on statistical models and indexes. We usually present it as a range rather than a median.
Living abroad is a challenge and it needs time to find oneself in the new environment. As some countries are objectively speaking harder to live in than others, the industry established various expat’s allowance to make up for these hardships.
More about different types of typical expat’s allowance you can find in our section Expat’s Beneftis&Finance.