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How do Air NZ and other Kiwi pilots fare?

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How do Air NZ and other Kiwi pilots fare?

Old 20th Nov 2011, 18:08
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How do Air NZ and other Kiwi pilots fare?

Was in NZ recently for the RWC. Prior to that I was on holiday in Australia, nice except for those pesky flies and loud ozzie women. I found that many things were far cheaper in Australia than in the so called Godzone. I don't think that the slight further end of the world across the Tasman Sea should account for much difference in freight charges; I found Kiwi made stuff cheaper in Australia than in the Godzone.

I stayed away from the touristy places and yet found that the average kiwi boke generally pay much more than an average Yank or even a Canuck. A real eye opener; I wonder what kind of money the average Air New Zealand pilot makes to have a fairly good life.

The South Island has amazing sceneries and great oudoors. A great place to retire to, but with that kind of cost of living my nest egg ain't gonna hold up for too ong.
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Old 20th Nov 2011, 18:37
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You're not wrong. I worked there for a few years and it is difficult for the average Kiwi to get ahead.There is litte discretionary spending money left after the tax man and the basic costs of living are satisfied. The up side is that it's a great place to live as you saw.
The top tax bracket kicks in at $70,000 and is 38%.
If you earn $100k like I did you'l pay about 28k in taxes from your salary.
I paid about $1000 pa in taxes on petrol.
About $7000 pa on GST
About $1000 on ACC.
So all up I paid about $37000 in tax I reckon, leaves you with $63,000 to play with, rent was about $15000 and food and utilities about $13000. That leaves about $35,000 pa or $670 a week to buy clothes and go away for holidays and put petrol in the car etc etc etc ie to live on. Thats about $500 USD a week discretionary, and as you saw, that gets eaten up pretty quick.
I found that I couldn't save and live the lifestyle I wanted at the same time so I left. Tough choice though as it is a great place to live.
Why it's so expensive I'm not sure. I know that they spend over 25% of their GDP on welfare but I don't know how that would drive prices up, seems to me it would just reduce productivity of the place.
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Old 20th Nov 2011, 19:33
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Its now 33c in the dollar , over $70K

Income tax rates for individuals (Find out about)

Otherwise, agree with Framer. Helengrad's 9 year long social engineering experiment f*d the place, making it a politically correct/MMP/green/anti-farming/anti-smacking/anti-airforce/Winston pleasing welfare state where it is nigh on impossible for business to succeed.

Last edited by waren9; 20th Nov 2011 at 19:45.
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Old 20th Nov 2011, 19:45
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Thanks for that warren, I used the calculator to work it out for when I was there and it came in at $29k paye on $100k, if I was there now and earning the same it would be 24k. An extra $5k would help although I think they may have given with one hand and taken away with the other as the ACC levies seem to have increased. Still, it would be an extra 4k a year I think.
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Old 20th Nov 2011, 20:16
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A quick search shows that the average nz salary as of three days ago is $51,100 pa. From the calculator that results in $8350 paye tax. leaving $42,750.
Subtract $10,400 for rent
$7800 for food
$2600 for power/phone/gas
$2600 for petrol
$1000 for insurance
$1000 for WOF/Rego/Maintenance

and you're left with $17,350 discretionary = $333 dollars a week or $260 USD.
So if you were an average New Zealander just looking after yourself, and never went anywhere or did anything, you chose to rent a place for $200 a week (average for one bedroom flat is $245, 2 bdrm is $309) never went to the movies or bought a pie from the bakery, never drove to the beach for a weekend or bought Christmas presents for family, you could potentially save $17k p.a.
I feel sorry for anyone on less than the average wage.
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Old 20th Nov 2011, 21:20
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ACC levies have gone through the roof since the labour government nearly bankrupted it.
And GST is now 15% rather than 12.5%

Its in one hand and out the other.
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Old 20th Nov 2011, 21:39
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I don't know where they get there average pay rates from. All the years I lived there I never knew anyone (including myself) other than drs and lawyers who earnt anywhere near the so called average. Miss the fishing but don't miss working 7 days and two jobs just to break even.
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Old 20th Nov 2011, 23:27
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Look at my location ..the land of high bills and low pay..you Aussies would spew if you saw our (monthly) power bills..in the early noughties we got working for families ..middle class welfare ..now 70% of kiwi families are beneficiaries! It was a nice top up at the time but its like heroin..try live without it now! The more you earn the less handouts ..a real disincentive! Wages have gone backwards in the last 15 years against cost of living in a big way!! That's why Jetstar will do well here..lowest cost wins in NZ every time
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Old 20th Nov 2011, 23:53
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loud ozzie women
As opposed to the ball-breaking, pushy
Kiwi women...........
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Old 21st Nov 2011, 00:21
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Could be worse ... could be one of the clever young "c" cats who went overseas in the '90s thinking we was all gonna get some sneaky jet time and get a few English pounds in the bank and win the lottery ...

... and ever since then we've all been looking on in horror as the exchange rate has doubled and the kiwi house price has tripled ... getting back home seems like even more of a distant pipe dream, than it did 20 years ago
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Old 21st Nov 2011, 02:31
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You could try to be a struggling CCat now on probably less than minimum wage weekly.

It ain't fun.
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Old 21st Nov 2011, 03:53
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You get paid..score?!!
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Old 21st Nov 2011, 03:59
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totempole,

I don't think NZ has ever properly recovered from the late 80's. There is a huge lack of capital by virtue of its small population and only a small group of exceptionally intelligent and talented entrepreneurs overwhelmingly outnumbered by a huge group of 'low productivity' suits and business owners. Middle-class welfare as it's put only seeks to address the low pay rates in NZ and hasn't necessarily worked. The current Government has failed just as much as the previous 3.

That all said, I was in Canada a week ago and I've got to say I was surprised by how expensive it is. Flights alone were phenomenally expensive, especially when compared to the US (although a much larger and competitive market). Entry into Air Canada is 2 years probation on CAD 36,000 - seriously !

Combine that with the need to buy huge amounts of winter gear just to survive I actually couldn't work out how my friends and their friends actually managed to survive.

I don't think I could afford to live in New Zealand or Canada, both beautiful countries.

Last edited by Massey058; 21st Nov 2011 at 04:08. Reason: Spelling
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Old 21st Nov 2011, 09:39
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I'll start with a proviso that I've only ever worked and lived in NZ, but have visited a lot of overseas countries and looked pretty closely at their living costs.
I agree that it is not cheap to live in NZ, but I don't think it's as expensive as a lot of people make out. Bearing in mind the exchange rate, a typical grocery shopping expedition is similar in price in NZ, the UK or Australia, and not much more than the US. Even Hong Kong isn't cheap if you shop at the western type supermarkets (but look at the cost of accommodation!) Lots of products are swings and roundabouts...less for some things but more for others. I live in Auckland, so housing is expensive if you want to live somewhere nice, but nice suburbs are expensive in other places too. Cars used to be very expensive here, and new ones still are, but 5 to 10 year old used cars are really cheap. Education is cheap and the State schools are pretty good. Private schooling is expensive, but that's a luxury and not a necessity.
The exchange rate against the UK pound was always around 33p to the NZ$, but it's now around 50p, so no wonder it's tough for kiwis who want to return from the UK.
With regard to the "average wage" of around $50k, most "airline" pilots are on much more than that, and most GA pilots would be close to it. OK, you are not going to earn much as a basic C-Cat instructor, but you never really did, even back "in my day".
Like any country, there are expensive places, and cheaper places, with the big cities being the most expensive. Life is much cheaper in rural areas, but that is not always an option for folk in our industry. It all depends on what you want and how you want to live your life.
I wouldn't want to live anywhere else, but nothing is for free....I'm sure I could make more money elsewhere, but that's not the aim of my game.
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Old 21st Nov 2011, 12:28
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Can't believe noone has said it yet, but, if you think NZ is expensive then don't bother coming near Australia.

Having lived a fair mix of each in the last few years in each, I can tell you the following:

Groceries: 20% cheaper in NZ. (Oz supermarkets are taking the piss in my opinion!)
Beer: 30-50% cheaper in NZ.
Real estate: 30-50% cheaper in NZ.
Telecommunications: on par.

Can anyone tell me what exactly is more expensive in nz compared to oz? Can't think of anything myself.

Btw. Beer. In oz a 24 pack of coopers is around $43. $19 something goes to the brewers and the rest to our taxman. That is why even after shipping the kiwis can buy it for less in a supermarket!

Lifestyle and all in mind, yes, I'd do exactly what I do now for 30% less in nz because it would buy me the same if not better a living.
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Old 21st Nov 2011, 19:11
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Originally Posted by distracted cockroach
With regard to the "average wage" of around $50k, most "airline" pilots are on much more than that, and most GA pilots would be close to it.

I agree with most of your post but the reference to GA pilots in NZ being on close to 50k - try halving that figure and then you'll be close. I know a good amount of GA pilots in NZ and most are earning under 30k and the ones with slightly larger operators and doing ifr ops are approx mid 30k.

Nice thought though.

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Old 22nd Nov 2011, 02:22
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In oz a 24 pack of coopers is around $43
Who drinks Coopers? Seriously. I agree though that beer prices have steadily crept up a significant amount in recent years. Long gone are the days of buying a slab for under $20. Still plenty of cheap wine around though.

The last time I was in Auckland, quality house prices seemed high, but at least there was no stamp duty when purchasing, nor any capital gains tax for investors (though you'd still pay it if you were living in Oz).

Cars in NZ used to be uber-expensive but since the country has been awash with 2nd hand imports from Japan for so long now, new and used prices seem a lot more reasonable these days.
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Old 22nd Nov 2011, 02:37
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Who drinks Coopers? Seriously.
What? Coopers is no good? Maybe I've been overexposed too much to bad Asian beer but I thought it was pretty alright.
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Old 22nd Nov 2011, 02:42
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Nothing wrong with EITHER place
OZ is a little more exotic perhaps.
Lets see whats left after Joolias crew fix everything
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Old 27th Nov 2011, 08:15
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According to wikipedia, both Aus/NZ spend on welfare as a percentage of GDP is virtually the same. As someone who spends a lot of time in both places I don't subscribe to the theory that Aus is a more affordable place to live.

I reckon if you earn the same number of $ in either country you will be able to afford a similar lifestyle (forget about the exchange rate).
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