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4,500 Pesos a Month?!
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carolync



Joined: 24 Jan 2007
Posts: 38
Location: Phoenix, Az

PostPosted: Tue Jan 30, 2007 3:11 pm    Post subject: 4,500 Pesos a Month?! Reply with quote

The Culturalingua job I'm looking into pays 4,500 pesos a month. They cover rent, but I will have to pay my share of the bills for a house with other teachers. Right now, my car payments at home are $180 a month, not to mention insurance. I know the cost of living in Mexico is pretty low, especially in the small towns. But, is this do-able with my car payments? Should I just sell my car, since I don't plan on taking it to Mexico?
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speedie



Joined: 22 Apr 2004
Posts: 6

PostPosted: Tue Jan 30, 2007 3:20 pm    Post subject: Reply with quote

I'm not sure that's doable even without the car payments. I hope you like rice and beans!
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Guy Courchesne



Joined: 10 Mar 2003
Posts: 9650
Location: Mexico City

PostPosted: Tue Jan 30, 2007 3:38 pm    Post subject: Reply with quote

Sell the car. You'll find it liberating, despite that being counterintuitive. You'll help the environment, save on road tolls, insurance, gas, and parking.

4,500 is not a lot and you may struggle, even in lower cost-of-living Mexico. If you could supplement with some private classes, you can bring that up to maybe 7,000 pesos per month, though that isn't very easy in small towns.


Last edited by Guy Courchesne on Wed Jan 31, 2007 1:34 am; edited 1 time in total
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DavefromWandsworth



Joined: 10 Dec 2006
Posts: 33
Location: Morelia, Mexico, currently.

PostPosted: Tue Jan 30, 2007 3:59 pm    Post subject: Reply with quote

I agree with Guy.
Life here can be very nice indeed with capital (and it needn't be much), so sell the car and enjoy your time in Mexico. I am.
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MamaOaxaca



Joined: 03 Jan 2007
Posts: 201
Location: Mixteca, Oaxaca

PostPosted: Tue Jan 30, 2007 5:39 pm    Post subject: Reply with quote

How long are you looking at staying in Mexico?
I know that the answer can change at anytime, I arrived in 1998, planning to stay a year...

But if you are thinking less than a year, keep the car and take the job. If you are looking at longer than a year, sell the car and keep job hunting there are better jobs out there.

I think I sent you a pm about one didn't I? Wink
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J Sevigny



Joined: 26 Feb 2006
Posts: 161

PostPosted: Tue Jan 30, 2007 5:48 pm    Post subject: Reply with quote

I've never been attracted by those low-pay-with-free-rent deals. It usually means you don't get to decide where or how you live and it always means you get a crummy salary.

So you'll be making 4,500 pesos a month. Is that before or after taxes? If you take another 15 percent or more off for taxes, that leaves you with a little more than 4,000 a month or 1,000 a week.

But if you take out another 2,000 for youre car payment ($180 plus whatever it costs you to wire money home, that leaves you with 2,000 a month, or about 500 pesos in spending money a week. That's really stretching it.

If you eat out once a day at a cheap, corner restaurant that sells comida corrida for 30 pesos, you're down to 350 a week. What about the cost of haircuts, laundry, and maybe a beer on Friday? Not to mention two more meals a day? What about a phone card once a month to call friends and family in the states? Will you need to go to the cibercafe once a week?

I say pass on this one.
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Phil_K



Joined: 25 Jan 2007
Posts: 2041
Location: A World of my Own

PostPosted: Tue Jan 30, 2007 6:32 pm    Post subject: Reply with quote

A car isn't a financial asset as such, but anyway, it isn't a good idea to live off capital. These jobs annoy me, $4500 is an insult and is typical of the Mexican attitude of paying as little as possible rather than paying top dollar for top people, thus improving their business.
I say lokk around a bit more - there are companies that pay well.
Besides, having a car (which I bought new in Mexico - they are very cheap) is much more liberating and help you integrate into the country.
Sorry, Guy, but at 44, I am no backpacking fly-by-night, this is my life!
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J Sevigny



Joined: 26 Feb 2006
Posts: 161

PostPosted: Tue Jan 30, 2007 10:19 pm    Post subject: Reply with quote

Not sure if this was intentional stereotyping but the statement about low pay being "typical" of a "Mexican attitude" is pretty broad. Especially when you consider that many of the worst-paying schools are owned by non-Mexicans. Especially when you consider that some of the highest paying learning institutions here are 100 percent Mexican, such as Tec de Monterrey.

I'm not sure either that companies in the States are looking to pay "top dollar for top people." I see a lot of layoffs and cost-cutting in the USA, along with experienced, older employees being pushed out to make room for recent grads who don't demand as much pay as veterans.

I think the idea that companies should invest as much as they can in the best quality workers is an ideal more often expressed by employees than managers or owners, who generally need someone who can get the job done, so the business can stay opened, so payroll can be made.

That said, there are a lot of cheapskates and con-artists everywhere in the world, and 4,500 pesos is not a living wage.
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DavefromWandsworth



Joined: 10 Dec 2006
Posts: 33
Location: Morelia, Mexico, currently.

PostPosted: Tue Jan 30, 2007 10:26 pm    Post subject: Reply with quote

Quote:
A car isn't a financial asset as such
,

Why isn't it? (It�s usually capable of generating cash, by being sold).

Quote:
it isn't a good idea to live off capital


Why not? For hundreds of years the independently rich have done just that, living off the proceeds of capital (often in the form of interest or dividend payments) rather than endure the indignity of being employed.
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delacosta



Joined: 14 Apr 2004
Posts: 325
Location: zipolte beach

PostPosted: Tue Jan 30, 2007 11:50 pm    Post subject: Reply with quote

4,500 a month is really low, small town or not. Taking out your share of bills and car payments of around 1,900 would make it quite challenging to live on, unless you are into extreme hermit like frugality. Forget about creature comforts and travelling
Do you have any experience? If so I wouldn't even consider it.
Making car payments on a car not being used makes no sense either.
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Guy Courchesne



Joined: 10 Mar 2003
Posts: 9650
Location: Mexico City

PostPosted: Wed Jan 31, 2007 2:15 am    Post subject: Reply with quote

Quote:
Sorry, Guy, but at 44, I am no backpacking fly-by-night, this is my life!


Hmm..no need to apologize, I understand. But, I'll point out that instead of a backpack, I sport a briefcase, and an environmental conscience...but no car. When I said liberating, I was referring to things like guilt and parking headaches.

Quote:
Why isn't it? (It�s usually capable of generating cash, by being sold).


But only at a loss. A car is always a liability, not an asset, from a non-business point of view.

Quote:
Not sure if this was intentional stereotyping but the statement about low pay being "typical" of a "Mexican attitude" is pretty broad. Especially when you consider that many of the worst-paying schools are owned by non-Mexicans. Especially when you consider that some of the highest paying learning institutions here are 100 percent Mexican, such as Tec de Monterrey.


Good point indeed. I think Phil is referring to a characteristic of capitalism and not so much of Mexicans. 4500 is not a top dollar (actually, pesos in Mexico) job and won't attract top folk.
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carolync



Joined: 24 Jan 2007
Posts: 38
Location: Phoenix, Az

PostPosted: Wed Jan 31, 2007 4:15 am    Post subject: Reply with quote

Thanks for the advice, guys. I'm 25 and don't know how long I want to stay in Mexico. Atleast a year. I want to travel to other countries with TEFL too. Even if I come back to the US soon, I don't want to live anywhere that I need a car. I grew up in Phoenix, where driving through heavy traffic everyday is the norm. I'm sick of it! I'm also ok with simplifying my life and the "back-packer" exhistence. But, I want to be able to atleast cover my expences and have a little fun too.
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Sgt Killjoy



Joined: 26 Jun 2004
Posts: 438

PostPosted: Wed Jan 31, 2007 8:33 am    Post subject: Reply with quote

Avoid the job. 4500 pesos a month? Ok great they give you a shared apartment with other teachers? How much is that really worth, 1000 pesos? So you are up to 5500 pesos. Woohoo! You could make as much money waitressing in Mexico and you would probably have a better experience.

I do have 1 question for forum regulars, over on the winnipeg thread, ls650 said New York School is one of the lowest paying schools and they have been lambasted for paying 5000 pesos with room. Why isn't anyone lambasting this school that pays 4500 pesos with room?
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Ben Round de Bloc



Joined: 16 Jan 2003
Posts: 1946

PostPosted: Wed Jan 31, 2007 1:35 pm    Post subject: Reply with quote

Guy Courchesne wrote:
Quote:
Why isn't it? (It�s usually capable of generating cash, by being sold).


But only at a loss. A car is always a liability, not an asset, from a non-business point of view.

In general, I agree with this, Guy, but it's not always true. I sold the first vehicle I bought in Mexico for more than I had invested in it. That included all costs: maintenance, repairs, insurance, and the difference between gasoline vs. public transportation during the time I had it.

I'm still driving my second vehicle, which I've had for about 7 years now. It costs me about the same for gasoline as bus fare would cost to get to/from work. The difference is that I can drive to work in 15 minutes, while it takes two buses (5 pesos a bus and the fare will increase again soon) and at least an hour to get there without a car. On days when I work two shifts, it would cost me 40 pesos in bus fare and about 4 hours of my time to get to/from school as opposed to about the same or less than that for gasoline and less than an hour of total driving time.

During my time living in Merida, I've had jobs that I would have had to turn down if I hadn't had my own transportation, because there wasn't enough time between jobs to rely on public transportation. My job at the university used to be like that, back when I had to travel to different campuses spread out all around the city.

Having said all of this, I still use public transportation a lot, mainly when I don't have to get anywhere at a certain time, and when I don't have to carry a lot of stuff with me.
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Guy Courchesne



Joined: 10 Mar 2003
Posts: 9650
Location: Mexico City

PostPosted: Wed Jan 31, 2007 2:08 pm    Post subject: Reply with quote

My opinion is very much colored by living in Mexico City where public transportation is dirt cheap and fast. 2 pesos for the subway, 2.50 for a bus. A car in Mexico City is only just slightly faster than walking here, and parking is pretty much an Olympic sport.

Quote:
I sold the first vehicle I bought in Mexico for more than I had invested in it.


You must have lucked out on either your selling price or low repair costs (was it a chocolate?). Cars depreciate in value 30% each year or so, by the book anyway, and insurance, maintenance, and gas costs add more to that number. Assets stay flat or increase in value, like a home. A car drops in value, even if it sits in the garage unused, at least as an accountant would tally it.

That all changes though when you have kids, I'll admit.
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