Money
You can pretty easily save at least $1000 a month in Korea. You can do this while still going on day trips, or even overnight trips out of town, on a regular basis. This is because your pay will be high, while your tax rate and general expenses are very low.
Money may be a key motivator to coming to Korea. If you are like I was living in Canada, it was payday to payday. That was even with both my wife and I having solid, well-paying jobs. Yet, it was still impossible for us to get ahead. There was always something coming up such as a renovation to our house, a car repair, or a “needed” item. All of these expenses are gone in Korea. Not only will your lodging be paid for, you won’t be comparing yourself to people who have more than you. This will limit your feeling that you need something that someone else has.
Here are the basics you should know about money.
Income
- You will earn at least $2,000 a month on your contract.
- *** You will also receive a month’s pay at the end of your contract.***
- At some schools you can get overtime if you want. The pay depends on the contract, but can always be negotiated and I suggest being firm.
- *** This is a great travel fund to go anywhere in the world at the end of your contract.
Expenses
- Utilities – Electricity, water, cable TV, land phone and Internet = $120/month.
- Tax rate is only 3-5%.
- Housing – paid for by the school.
- Transportation – less than $50 for the month. [Link - transportation]
- Food – some schools provide free food or very inexpensive cafeteria food. [link – Grocery Shopping] [Link – Dining out in Korea]
Total fixed expenses = $400 a month.
$2000 (income) - $400 (fixed expenses) = $1600/month of disposable income. (DI)
$1600(DI) - $600 in entertainment expenses = You are saving $1000/month!
We came here with $38,000+ worth of debt, and it will all be paid off after only 14 months. I shudder to think how long it would have taken us if we didn’t make this trip.
FYI - You can use a Visa card at some larger stores, but for the most part it is a cash society. Before you come to Korea, bring at least 4-6 weeks of money to live off. I suggest $500 - $1000 if you can. Order the Korean won at least 2 weeks prior to leaving.
Links - [Housing] [Grocery shopping] [Dining out] [Entertainment options]
