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Start-up costs for newbies
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nomad soul



Joined: 31 Jan 2010
Posts: 11454
Location: The real world

PostPosted: Tue Aug 23, 2011 4:07 pm    Post subject: Start-up costs for newbies Reply with quote

The topic of start-up money came up in another post and can be the most important (and daunting) factor for those starting out in TEFL. Some of us--myself included--are fortunate to receive employer-paid roundtrip flights, housing, etc., and pretty much show up in country with just pocket money for day-to-day spending/incidental expenses. (It's always smart to have emergency funds available, however.) But what about the initial costs for newbies contemplating their first TEFL job? What about the experiences of those of you seasoned TEFLers who have changed jobs from one country to another and have had to foot the bill, or who may be feeling stuck due to the costs associated with job-changing?
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Shroob



Joined: 02 Aug 2010
Posts: 1339

PostPosted: Tue Aug 23, 2011 4:12 pm    Post subject: Reply with quote

The set up costs are certainly a factor for me, I spent most of my savings on the CELTA course, leaving me with just enough to cover the airfare to my destination and and a bit extra for the first month. It's one reason I'm favouring Asia for my first job, despite the fact that most of Europe isn't interested in me due to my lack of experience, most jobs offer accommodation, so that's one big thing I don't have to worry about. I think it will be daunting enough starting in a new job, city, country and culture without the hassle of finding a home.

I know that if things are absolutely awful, my parents have enough for a return ticket home.
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denise



Joined: 23 Apr 2003
Posts: 3419
Location: finally home-ish

PostPosted: Tue Aug 23, 2011 4:23 pm    Post subject: Reply with quote

In my early days, I got incredibly lucky. When I left to get my TEFL certificate in Prague, I had enough savings to cover the cost of the course & living expenses, and me being Little Miss Sensible, I probably had enough to cover a flight home just in case. I got a job offer before the course ended, and the school paid for housing--so no awkward in-between time, looking for housing and wondering when my first paycheck would come. When I left two years later, I had accumulated a whopping $400 in savings--but that was after my flight home was paid for.

And then I got lucky again with Japan. Got a job with a phone interview that started just weeks after I finished my MA. They paid for my flight and housing. Really, it was very smooth--I landed at the airport and my supervisor met me there and took me to my fully-furnished apartment.

On to South America: I had a job in Chile before I arrived (phone interview while still in Japan--BIG mistake--should have been more adventurous and just flown down there). Neither housing nor airfare provided, but I had saved enough in Japan to cover them. Then on to Peru--again, had the job before I arrived--phone interview while in Chile. Housing provided but not paid for; flights mostly paid for.

And then Oman. Going from Peru to Oman, I was nearly penniless, but things turned out OK. Again, I had the job before I arrived (very common in Oman). They picked me up at the airport and took me to my apartment. Annual flights paid; housing provided and paid; two months of paid vacation. When I left in June, they paid for not only my annual flight, but also an end-of-contract repatriation flight. Plus a nice contract completion bonus.

And now back in the US. With the savings I built up in Oman, settling in was no problem. I got here in June and don't start working until September, and all of this vacation time is no problem financially.

There are some common themes from my experience: 1) luck. The end of my time in one country just kind of flowed naturally into the beginning of my time in the next country, and I always landed on my feet. 2) phone interviews. Not always the way to go. In some countries, they are the norm, but in others, the better options are to be found once you're in country. I was never courageous enough just to go somewhere without a job, unless you count Prague, where I went for my TEFL cert. Oh, and 3) a safety net. A lot of newbies mention that they don't have family/friends who can or will help them out. Again, I got incredibly lucky. I had people storing my stuff and forwarding my mail, and, although I never needed it, I'm sure they would have helped me if I had needed to be bailed out & flown home.

Wow, sorry to be so long-winded!

d
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denise



Joined: 23 Apr 2003
Posts: 3419
Location: finally home-ish

PostPosted: Tue Aug 23, 2011 4:26 pm    Post subject: Reply with quote

Oh, and an addendum (because my first post simply wasn't long enough!):

I waited for two years before I moved to Prague. When I finished university, I didn't have enough money saved up to be able to pay for a TEFL course & all the other necessities (flight, accommodation, start-up costs). I did generic office work for two years just to save the money. There are people who don't want to wait/hate their jobs & just want to start NOW. Those folks really need to make sure they've got plenty of luck and a safety net!

d
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nomad soul



Joined: 31 Jan 2010
Posts: 11454
Location: The real world

PostPosted: Tue Aug 23, 2011 10:26 pm    Post subject: Reply with quote

When I decided to change careers to TEFL, I was fortunate to have had a high-paying job (non-teaching related) and education reimbursement from my employer, so I didn't have any student loan debt from my masters program. I also had plenty of savings.

My first teaching job was with AMIDEAST, an American non-profit that provides EFL lessons throughout countries in the Middle East. They paid for my flight and provided housing, while I was responsible for the monthly utility and Internet bills. However, not all AMIDEAST branches offer the same benefits. Point is, if you're interested in a specific country but the start-up costs make you cry (or scream), then consider teaching in your home country or some other locale where those costs won't suck everything out of your wallet, and you're still able to build your teaching experience and hopefully, your bank account. I hate to say it, but beggars can't be choosers. Be realistic.
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ancient_dweller



Joined: 12 Aug 2010
Posts: 415
Location: Woodland Bench

PostPosted: Wed Aug 24, 2011 7:51 am    Post subject: Reply with quote

i started up in Moscow and It took about 2/3 months to get a pay check. Before that I had forked about �1500 on living and accommodation. (but you earn more than that in a month, so wasn't too bad.)

My flight was a 3 month return because i need a new visa every 3 months. (although, long story, managed to get one extended the second time)
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Glenski



Joined: 15 Jan 2003
Posts: 12844
Location: Hokkaido, JAPAN

PostPosted: Wed Aug 24, 2011 9:12 am    Post subject: Re: Start-up costs for newbies Reply with quote

nomad soul wrote:
But what about the initial costs for newbies contemplating their first TEFL job? What about the experiences of those of you seasoned TEFLers who have changed jobs from one country to another and have had to foot the bill, or who may be feeling stuck due to the costs associated with job-changing?
Do you have a particular country(ies) in mind? Answers will vary considerably.
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lucia79



Joined: 18 Jun 2011
Posts: 156

PostPosted: Wed Aug 24, 2011 1:12 pm    Post subject: Reply with quote

My first TESOL job was in South Korea. I left with only $300 for living expenses (not incl. emergency airfare) and figured that would last me my first month until I got paid, and it did. I was able to save some money while living there and paid off some bills. I even had a nice little pension upon leaving. I returned to the States and worked and less than a year later I was off to the Middle East. That move was expensive since there were some kinks (start date was moved to 6 months later which affected my departure date and job situation at the time, also I had a housing difficulty which was not school-related). However, the pay was great and any initial debt for start-up costs was paid off a few months later. After my contract concluded I changed schools, but stayed within the country and I can save a little over half my salary. My living costs are low because the cost of living is cheaper here than in the US and I'm a frugal person who believes in saving.

It's a good idea to have savings in case something goes wrong and a plan B. For example, when my Middle East job got postponed by 6 months I had to find a temp. job. My former position was already given away since I had put in my two-week notice and it couldn't be reversed. I got a temp. job and seasonal work to cover me until my departure date.
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nomad soul



Joined: 31 Jan 2010
Posts: 11454
Location: The real world

PostPosted: Fri Aug 26, 2011 11:53 am    Post subject: Reply with quote

Glenski, I posted the questions with no particular countries in mind since experiences can be just as diverse.
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Glenski



Joined: 15 Jan 2003
Posts: 12844
Location: Hokkaido, JAPAN

PostPosted: Fri Aug 26, 2011 12:09 pm    Post subject: Reply with quote

Ok, then speaking for the Japan crowd, if I may...

Start-up costs here can be pretty steep. A lot depends on how you enter the field.

1. Very, very few employers will pay airfare, so expect to get that from your own bank account. Perhaps equally few offer any paid rent.

2. Rent itself can be extremely variable, depending on location (as with other countries). Very rural settings will usually be cheaper. It depends.

3. If an employer (again, quite the diverse group, but let's just say most newbies are only going to get conversation school or ALT jobs) has an apartment to offer its teachers, it will likely be in a low-rent place, and any key money/deposits will already have been paid. If your employer somehow tries to skirt that, you could end up paying 2-5 times a month's rent just to move in. If you choose to rent something other than what has been provided (with its secondhand furnishings), setup goes through the roof with the key money mentioned above, and unless one rents a rare place like LeoPalace apartments, one will have to furnish it 100%, which means appliances, light fixtures, and everything else. Recycle shops and secondhand stores will still be there to supply things more cheaply than new items, but getting such stuff the day you arrive is logistically impossible and still a financial burden.

4. If one chooses to come to Japan to job hunt, rather than rely on hunting long-distance, kiss airfare goodbye, and expect to support yourself for 2-4 months before a first paycheck comes in. A common figure that gets thrown around (and I can provide a breakdown if you want the individual costs) is that one will have to bring US$4000-5000.

5. Do you include travel expenses to interviews within your own country? For those few employers who interview abroad (and they don't all do that in all countries), you will be expected to pay your own expenses to get there and stay in a hotel, perhaps for 1-3 days.
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nomad soul



Joined: 31 Jan 2010
Posts: 11454
Location: The real world

PostPosted: Fri Aug 26, 2011 1:04 pm    Post subject: Reply with quote

Several Japanese cities usually rank in the top 20 as some of the world's most expensive places to live. That wasn't always the situation. I lived in Japan for several years as a child, and back then, the currency rate was 300 yen to $1! And I'm not very old! Smile

So many newbies put Japan at the top of the list for their first teaching jobs, but I wonder how many fully research how much moolah it takes to live there. Imagine arriving in country to start your teaching career only to have all hopes dashed due to quickly diminishing funds.
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jpvanderwerf2001



Joined: 02 Oct 2003
Posts: 1117
Location: New York

PostPosted: Sun Aug 28, 2011 3:11 am    Post subject: Reply with quote

For the first five or so years in this teaching abroad gig, I was basically broke (up until perhaps four years ago, I never had more than $2500 in my bank account for any length of time). However, I had a small mental checklist of must-haves (or try-to-haves), financially. (I should mention here that I am lucky enough to have had family back home as a fall-back; I realize that not everyone has this.):
1. Enough money for a return ticket back home if things don't go well (whatever that means)--luckily I've never had to use money for this;
2. Money for at least a month of food, as one usually isn't paid until after their first month of work;
3. Money for at least one month's rent;
4. Discretionary money for walking around and so forth; and
5. Emergency money for possible medical reasons, at least until one's local insurance is worked out.
I realize the grand total for all of this will depend greatly on where one goes, one's lifestyle and needs, and what one's package entails. With that caveat, I would think the total for most EFL hotbeds would be somewhere in the $2000-$3000 range.
I would also recommend an emergency credit card for unforeseen issues.
Best of luck.
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jpvanderwerf2001



Joined: 02 Oct 2003
Posts: 1117
Location: New York

PostPosted: Sun Aug 28, 2011 3:15 am    Post subject: Reply with quote

(I see Glenski recommends much more than I wrote. I would think Japan would be in the higher range of countries to go teach!)
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Glenski



Joined: 15 Jan 2003
Posts: 12844
Location: Hokkaido, JAPAN

PostPosted: Sun Aug 28, 2011 3:30 am    Post subject: Reply with quote

jpvanderwerf2001 wrote:
(I see Glenski recommends much more than I wrote.)
No matter, the points you added were just as good. Maybe I just automatically assumed people would have on hand money for the things you mentioned. Many probably don't.
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nomad soul



Joined: 31 Jan 2010
Posts: 11454
Location: The real world

PostPosted: Sun Aug 28, 2011 4:05 am    Post subject: Reply with quote

jpvanderwerf2001 wrote:
Emergency money for possible medical reasons, at least until one's local insurance is worked out.


You bring up another key issue. I've known of teachers who have gotten quite sick with some nasty, exotic disease and didn't have employer-provided medical. If the teacher is paid per the hours taught and is unable to work, unless they have funds set aside for illness, they may put themselves in a huge financial hole because they're not bringing in money to now cover both their living and medical expenses.

We should also include required med exams in addition to vaccinations and other preventative health measures before arriving in country. And those expenses, especially if received in the US, can be costly.
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