Would it be wise to move back to Ireland for a 100k job?

The Irish Property Bubble (2006) The Republic of Property
#1

Hi all

I may have an opportunity to move back to Ireland (Dublin) in the next few months, for a job that pays 100k pa. It would be a very interesting job, with relative security. I am currently in the UK, and me and herself have always aspired to move back to Ireland at some point. We are getting on and this is probably the last decent opportunity.

100k sounds like a lot, but we would, based on relatively detailed research, need to borrow 300k to buy a house at some point. Renting for 1-3 years would not be a problem and, having read this site and other valuable resources, seems prudent. The ration of house prices to incomes does not seem to have balanced out yet. I grew up in D6 and would ideally like to live there or nearby.

My concerns are what is the cost of living like? I am a frequent visitor to Dublin, but as a tourist, staying with the auld pair so I think I am fairly insulated from the real costs of living here. Herself tells me I am insulated from many aspects of reality but that’s a different story.

I am thinking about things like utility bills, food shopping, day-to-day life. Many of the things we tend to do in Dublin are free but walking through Stephen’s Green or up Bray Head is not likely to be a nostalgic thrill when you actually live in the place. We have two kids and would lean towards private education (I am ready for all you can throw me on that one).

My concerns are more related to whether we would have a decent standard of living on that money, rather than whether the principle of moving back to Dublin is a sound one.

Anecdotally, it seems like prices have become slightly less stupid and friends who live in Dublin point out that people actually shop around these days (as if this was some realisation akin to the world being round). However, it would be really useful to have the insight of the pinsters.

More generally, I credit the pin with helping me stay away from some potentially stupid decisions in 2005-2007, as the well-informed caution I read here made me realise that the party could not last. I am not sure if being right is much consolation but you were definitely right.

Anyway, please fire at will and all advice is welcome. Thanks in advance. 8DD

#2

You’re right to be worried about living in 100K.

Will you have a single income? Or will your wife also be working?

I would consider 100K, 55K ish after tax, as too little to even consider private education for 2 children.

Things are expensive here, cars, maybe 2 cars, plus tax and insurance.
Health insurance is a con.
Other things that cost a lot - GPs, broadband, phones, commuting, food, electronics, clothes etc.

Sorry if this message us a little stop start, I’m using a phone.

#3

The cost of living has definitely decreased over the last 5 years, right across the board. If you were living in London then i think you will find it significantly cheaper here, despite some things (as bren says GPs, or anything semi-state…) still being too expensive.

I have previously considered moving to London for more money, but the cost of property (renting or buying) and higher day to day expenses means i think i would have to get 40-50% more to maintain the same lifestyle.

Also cost of private schools should be a plus for here. As far as i was aware they are much more expensive in the UK. My uncle lives in London and they were talking about £15k per child for a day student, and this was a the lower end of the market, the top schools are more like 30. He was considering sending them to Dublin as boarders in Rathdown and Blackrock just to save money!

#4

I suppose it depends, Arsenal on how you define cost and living, and what you have to buy into to live here. If this site shows anything, it is that the cost of living here has damn all to do with money.

#5

Pip pip,what ho old bean, jolly boatey!!

#6

The OP said UK, not London.

I live in SE England and Ireland is more expensive. The real killers are health, cars, road tax and insurance. Public transport is cheaper in Ireland, but that’s about it.

He would be very well insulated with a salary of 100K, and correct me if I’m wrong but my understanding is that private education is 3-5K, so should be easily doable. He would not be able to afford it in the UK where it costs upwards of 15K.

OP I would take the opportunity. As you say, you’re getting on, and how likely is that chance going to come around again. Sounds like now or never.

#7

There was a previous thread (which I can’t find, but I’m sure someone will link to) which had a table of expenses for an emigrant moving home. IIRC, the headline taxes weren’t the main issue but rather all the stealth taxes and inflated prices in protected sectors. Start adding in tolling on the m50 and the untolled portions of the motorway network and the new household tax and that’s a further 1/2% of pretax income gone depending on how much you drive. Health insurance has also shot up in the last two years.

#8

Hi Arsenal

Net pay rather than gross pay is what counts. As a PAYE worker on a relatively high income (nearer 60 than 100k), I get rather tired of hearing how Ireland is a ‘low tax economy’ and Irish people are ‘undertaxed’ when half my income disappears before it gets anywhere near my bank account. Plug your income into the PWC tax calculator and subtract another 10% (for whatever reason, the PWC calculator always seems to be over optimistic as to the amount you will in fact get to keep of your total monthly salary).

Car insurance, house insurance, mortgage protection insurance and health insurance are all remarkably expensive. GPs visit and medication can add up quickly for a family of four. Childcare is very costly (you haven’t said whether your wife will also work). Utilities and food have definitely come down in the last few years and costs are reasonable - you can get good deals on broadband/mobile phone/landline/TV packages. Petrol is expensive and car tax can be extremely expensive depending on the engine size/emissions profile of your car.

Private secondary school education: your view on whether this is costly or not will depend on whether you have been budgeting for full time pre-school child care or not. A rough estimate of costs for a school in D6 and surrounds would be 5 - 6k a year. As someone who is paying 24k in after tax income on childcare, I personally can not wait until my children start secondary school …

I moved back to Ireland last year and have kept a record of family expenditure for the year (family of two adults, one pre-schooler, one primary schooler, living in Dublin), and I can PM you the results if you want.

#9

€61k - www.hookhead.com