Job Discussion Forums

[dmocha]

I don't regret the first 20 years which were spent in EFL. I do regret the final 10 years grubbing for ESL work in Canada at all levels (except K-12 for which I am not qualified) as it prevented me from adjusting to economic reality and getting a 'real job'. Just to make ends meet I taught a dog's breakfast of subjects and at some unsavoury places too.

My point is that if you come back you may need to completely re-invent yourself. Aside from the longer term question of pensions, what to do to make ends meet in your home country will be a big issue.

Even if you pick the low-cost option of retirement or semi-retirement (possibly with PT or at-home teaching possibilities) in a low-cost country you'll eventually end up in your home country. At that point your health will be at its poorest and, unless you plan carefully, so will you.

It is true that unless you are living in your home country you probably can't contribute to the national pension plan in whatever form. Others, who stayed at home, will at least have built up some equity in their homes to help out their retirement. None of this was apparent to me when I was teaching abroad. A big part of �reverse culture shock� was learning these hard truths.

[fladude]

A 401k without matching funds is a terrible idea. If you look at how they performed the past 10-12 years, they did nothing. A lot of the problem is because of ETFs and other high speed trading models which literally suck the profit right out of the industry. However, you could buy your own stocks in companies which pay dividends. This is the way to go if you are not receiving a matching fund from your employer. There is essentially no reason to use a 401k if you don't get matching funds.

So set up an online trading account. Do some research. Look at the charts. If the price of the stock is way up, don't buy it. If its low, consider it (just make sure it isn't going under). Then find out what the dividend is. If it has a nice dividend buy it. You do have to pay capital gains tax on dividends, but at least you got something in return for your investment (which you might not have with a 401k).

The international school I am working at next year is owned by a US Corporation and pays into US Social Security oddly enough. I actually asked them to just give me the money instead but they don't offer that option. I don't have any faith in SS. Just look at what is going on right now and it is pretty scary. The US Federal Reserve put inflation at about 1 percent, even though the US Dollar lost 14 percent of its value against the Euro and Yen just last year alone and both the cost of food and gas skyrocketed. With inflation adjustments like this, you might receive your SS benefits but they won't be worth anything. You will be living like a pauper in a shack.

I know people disagree with me on that, and that's cool, its a big world and we can all have our own opinion. I've made my choices and plan on going all out with them. The only thing I invest in back in the USA is guns and ammo which I stash with family. The currency of the 21st millennium.......

[cmp45]

[naturegirl321]

I think I've finally figured out what I want to do when I grow up. The end of this year marks 9 years of TEFLing and with this new MA I'm studying, I've decided I want to be a type of college guidance counselor. Or HS guidance counselor. Not sure if that's the job. BUt the peopel that basically guide people through college, help them get all their credits, graduate early, do internships, study abroad, etc. Basically help them organise themselves.

I love organising, I might as well get paid to do it. I'd like to get out of the classroom as well.

Thing is, I'm not sure when I'll be able to do that. Or where. Can't do it here in Korea, that's for sure. Maybe in five years or so.

[fladude]

[naturegirl321]

Darn. I'm getting an MPET, master in Professional education and Training, maybe that'll work. I'm nearly there to be acertified teacher in the US, I've got my certs of eligibilty. I just don't know if we'll be going to the US to live though.

Any idea what the pay is like?

[wiganer]

I worked with one of the Ravenhead pensioners (he wasn't a pensioner then)
who paid into a pension scheme all his working life only to be jobbed near the end. And he was very bitter about it and I didn't blame him. He worked from 15-60 at the same glass factory, clocking in, doing overtime, working hard, taking his 4 weeks holiday and being a good lad only to have been jipped right at the very end.

http://www.liverpoolecho.co.uk/liverpool-news/local-news/2007/06/27/mp-joins-ravenhead-lost-pensions-battle-100252-19363618/

Robert Maxwell did it to the Daily Mirror pensioners. What it goes to show is that you can't rely on that safety net in 30 years from now. Even if you are paying in, there is no guarantee you are going to get a return. The best thing to do of course is upgrade your qualifications at every opportunity which will get you the better jobs and of course more opportunities. If you stay on in TEFL with just an unrelated degree and CELTA over the long term, then yes, that is being very silly.

Another thing that isn't mentioned is what about us who have married partners from the countries that we taught in? It is not like I am going to take my Chinese wife and mixed race kids back to a council estate in Wigan! Because I miss home and family? Ridiculous indeed! You make your bed but it is better to lie in it sometimes - just sometimes!

[Evanzinho]

Does anyone on here invest their money they make in TEFL-ing into Real Estate?

After two year of working in Korea, I saved almost $27k USD, so I figure to save at least 13k this year, maybe more if I can get the overtime hours.

Anyway, I'm going back to Korea soon to do a third year there of teaching and when I come back to the States next year I'm planning on buying a property (all cash, so no mortgage) and using it as a rental property to generate passive income while I go back to Asia and continue to teach. Then when I do decide to move back permanently to the USA I can use that property as my residence, if needed. Or, depending on how the market is doing, I can continue to invest in more properties while I live/teach abroad.

Does this sound reasonable, or am I overlooking something? I hold an active Real Estate license in my home state so I've looked into various angles of this idea.

[dmocha]

A better approach is this: put the full downpayment on a property, keep it mortgaged, use an agent to manage the tenants (agent gets 5% or so of the rent). By doing this you can make tax claims of the interest, improvements to the property (including normal wear and tear, repainting etc), the agent's fees etc. When you get enough for the next downpayment, repeat. Better using say $100,000 to lever 4 properties with the tax advantages and eventual rise in value, than tying all your capital up in one property that just generates income (rent) with no expenses to offset the income. I'm actually doing this so I know what I'm talking about here. The actual how and how much will vary locally.

[Hod]

[naturegirl321]

[nickpellatt]

I dont have any provision for retirement. I dont own property, and I am highly unlikely to ever own it, truth be told. Its just too expensive in the UK, and even if I was lucky enough to save $100,000 from working in Korea (or another job that pays well), it wouldnt be nearly enough to buy a simple one bedroom apartment in my hometown.

If was was really concerned, I would enrol on a course to gain qualified teacher status in the UK, and spend the rest of my working life teaching in the UK, building a state school teachers pension pot, and enjoying the generous salary and holidays that teachers get in the UK.

BUT, if I did that, I would be committing myself to a job I dont want to do. I have pretty much zero interest in teaching UK state school kids, negotiating OFSTED paperwork and expectations, and putting up with all the other nonsense that goes with it. The idea of a teachers pension is nice, but the idea of wasting the remaining 25 years of my working life to get it, holds considerably less appeal.

I like what I do now. I love being in class, even when they are bad classes. Do I wish things were a little different sometimes? Sure I do, but you have to play the cards you dealt I reckon. I've spent a lot of my adult life swimming against the tide, and for one reason or another it just earnt me a lot of stress and a less than satisfactory life. Since 2006, when I first got involved in EFL, my life has improved quite a lot, and its certainly more enjoyable and stress-free. Im doing everything I can now to stop swimming against the tide, because the sky is blue, the sea is warm, and Im bobbing along quite happily.

My retirement isnt going to be comfortable. I'll get my UK state pension (recently government announcement proclaim this to be worth �155 per week for a single person by 2015) and I dont really think Ill have much else. For my life in my retirement to be any different, Im going to have to make lifestyle choices and sacrifices I am not prepared to make.

[wiganer]

[Hod]

Not aiming at you Mr Wiganer, but you have to admit a lot of TEFLers have flimsier than flimsy finances.

Qualifications hopefully increase income, but then some folk rent a bigger apartment, buy a car and end up no better off.

Some sort of financial planning would be nice too. Also, �pension plans� doesn't have to mean paying into a traditional scheme, which is tricky for UK non-residents anyway (uh oh, another reason to delay things). Property, as you say is one possibility. Any sort of saving or investment will pay off. The problem is, though, most people grossly underestimate how much they should save for retirement.

[Zero]