How much salary shall I ask for to live comfortable in Louisville? (Lexington: sales, real estate)

[Wrashed]

Dear Gents,

I have been offered to transfer from the middle east to the states ( Louisville- Kentucky) and I have no idea about the cost of living, taxes or anything in the states.

So I would like to know How much amount per month will spend in the following:

1. Food and drinks for (2 Adult and 1 child). (cook at home weekdays and go out weekends).

2. Renting a two bedroom apartment in a good area (very safe, decent, not crowded and nice neighborhood) in Louisville.

3. Electricity, Wifi, Phone Bills.

4. Transportation ( Two options: 1. How much per month if I Buy a car with installment plus gas, 2. Use metro).

5. Cost of private kindergarten and schools in Louisville for my child in the area of shelbyville road, What about Public kindergarten and schools are they good in Louisville or I need to go to private kindergarten/schools.

If I miss something extra please let me know.

Also, I have some queries regarding the taxes,

1. Do taxes for the family are less than for a single?

2. If taxes are less for a family, what is the average percentage in Kentucky ? and is there any website to calculate for a family.

3. How do they collect the taxes? Will I pay every month a certain amount or every year? The company informed me that I will take my salary bi-weekly so this bi-weekly salary will be after taxes or before taxes.

In General from your experience, How much salary shall I ask for to live comfortably with saving in Louisville (Please note that I will be the only income to my family, my wife won't work)

I need also some websites for renting places in Louisville.

The last question, Is Louisville a good and safe place for a small family and raise a child (girl)

Based on the answers, I will ask for the Net salary (Take home income).

Your cooperation and support, are Highly appreciated.

Thanks Again to All.

[CraigCreek]

I live in Lexington but can answer a few of your questions.

Louisville is a good place to raise children - some neighborhoods are better for families that others, however. You mentioned Shelbyville Road - this is a good area. Some of the public schools in Jefferson County (Louisville) are better than others. There are also good private schools. The public schools offer kindergarten for five year olds but a private kindergarten might work better for your daughter, if it's close to home. Lots of churches have kindergartens. Louisvilleans can give you more information about this. There are also beautiful parks and good museums in Louisville, places your little girl would enjoy. There's also a good public library system with activities for children in each branch.

There are some smaller towns close to Louisville which might work well for you - no doubt Peter will suggest a few. In what part of Louisville will you be working?

You will pay federal, state, local, and sales taxes, plus taxes on your car and any real estate you own. Since you plan to rent, you won't have to pay real estate ("property") tax.

Federal and state income taxes (and perhaps some local taxes) will be withheld - taken out of your paycheck - before you get it. The taxes withheld should be listed on your paycheck stub. Your employer will provide you with a form listing what you were paid and what was withheld each year so you can figure out your federal and state income taxes, which are due on April 15 each year- you still have to send in a report each year, even if you don't owe taxes because they've already been withheld.

Property taxes are usually due in November, but I am not sure if this is the case for Louisville/Jefferson County. You will receive a bill in the mail for these, with the amount you owe stated on the bill. Sometimes you get a small tax break if you pay these taxes early.

If your salary is your only source of income, it should not be difficult to figure out your taxes. You and your wife would file jointly - with only one form. Your child is a "deduction" - you get a tax break for her. There may be other deductions as well - if you have to take a class for your job, for example, or must attend a conference, the cost of travel, accommodations, food, and registration is deductible unless your employer pays for you. It's a business expense, and that makes it deductible. Some such expenses are deductible but others are not.

There are tax accountants who can do this for you for a reasonable fee, and since so much of this is new to you and it can be confusing even for those of us who have paid taxes for many years, I'd suggest getting a tax accountant to do it for you. Moving expenses may also be deductible, but since two countries are involved, I am not sure, but the tax accountant would know.

You also will pay state sales taxes on whatever you purchase at the time you buy it, with a few exceptions - there are no taxes on food and prescription medicines in Kentucky.

Good luck with your move - welcome to Kentucky!

[JaxRhapsody]

Louisville is supposed to be an affordable place to live, but I'd say no less than $15hr and the most decent cheapest apartment or house you can rent, say 450 a month, mind your electricity usage. As a starter. LG&E likes to rape people on utility bills.

[Wrashed]

Thank you guys, But I would prefer numbers for the cost to have good estimate.
I'm an engineer with 10 years of experience, so what will be the salary which can support me and my family and also what is the percentage of the taxes

Also i have done quick search regarding crime rate and found it high, is it true ?

Your quick response is highly appreciated.

[jtintheville]

Without exact numbers i would say you would need a minimum of a $60,000 salary to support this lifestyle. A nice 2 BR apartment in a good area such as St. Matthews would be at least a $1000 a month, probably more plus utilities.Figure 150.00 for utilities and cable/phone/wifi would probably be another 200.00 a month You would probably need an automobile, so figure that cost, roughly $300.00 a month plus $150.00 a month for insurance if you have a good driving record.That's still not everything and you are already at 1800.00 a month.If you make 5000 a month you should net around 3000 a month so you will still be tight at 60k per year. Also you will pay less taxes for having more dependents on federal and state taxes, other local municipal taxes do not take that into account. But a good experienced engineer should easily make that much salary or more.

[LeoDaVinci]

OP, I don’t live in Kentucky, so I’ll just comment on general issues affecting anyone moving to the United States from overseas.

1. You may want to negotiate a health insurance plan (private coverage) for yourself and the rest of your family as part of your compensation package. That can be expensive but it’s needed, and a good employer will agree to pay most of the cost.
2. Yes, a married taxpayer with one child will pay less income tax than a single person. To qualify for available tax credits and deductions, your wife and child need to obtain an Individual Taxpayer Identification Number (ITIN). It’s a tax processing number issued by the Internal Revenue Service (IRS) to the foreign family members of a green card holder - you, in this case. Anyone preparing income tax returns can help you obtain ITINs.
3. You’ll arrive to the USA without a credit history or a credit score. Not many financial institutions will lend you thousands of dollars to finance the purchase of a car. Those that will lend you the money will probably charge you upward of 20% interest on the loan. Additionally, you’d have to spend a lot on car insurance, since you’re a new driver in the USA, and you’d probably pay dearly for having a brand new Kentucky driver’s license with no driving record.

Maybe someone else can help you find good residential areas near convenient bus routes, so that a car won’t be needed the moment you arrive in the US. Good luck!

[PamelaIamela]

Not for nothing, but everyone on CD is not a 'gent'.
That being said, it might be better to indicate what your gross income will be and then folks can chime in to advise you on what you can afford.
Have you ever visited our country before? You might wanna do that to see the lay of the land, especially with regards to social customs and culture.

[Wrashed]

Thank you very much for your responses and great information, and I do apologize PamelaIamela.

So I will say my estimates and please correct if I'm wrong.

1. Food, drinks and hang out per month for two adults and one child 900 $, is it enough?
2. Rent 2 Bedroom apartment in a Very good, safe and clean area in Shelbyville road around 1000$, is it okay?
3. Pocket money for each one in the family around 300$.
4. Utilities, electricity, Phones, Bills around 300$.
5. Buying car with installment around 300$ monthly.
6. All taxes around 25%.

The company mentioned that I will contribute in the medical insurance about 250$ for (employee + family) for every paycheck, that's means I will be 500$ each month as my paycheck is bi-weekly so if my salary is 70,000$ around 6000$ will be deducted from my salary for the medical insurance?, so that means the medical insurance is not included in the package ?

Thanks again for your responses and advices.

[Electrician4you]

Originally Posted by Wrashed

Thank you very much for your responses and great information, and I do apologize PamelaIamela.

So I will say my estimates and please correct if I'm wrong.

1. Food, drinks and hang out per month for two adults and one child 900 $, is it enough?
2. Rent 2 Bedroom apartment in a Very good, safe and clean area in Shelbyville road around 1000$, is it okay?
3. Pocket money for each one in the family around 300$.
4. Utilities, electricity, Phones, Bills around 300$.
5. Buying car with installment around 300$ monthly.
6. All taxes around 25%.

The company mentioned that I will contribute in the medical insurance about 250$ for (employee + family) for every paycheck, that's means I will be 500$ each month as my paycheck is bi-weekly so if my salary is 70,000$ around 6000$ will be deducted from my salary for the medical insurance?, so that means the medical insurance is not included in the package ?

Thanks again for your responses and advices.

Well they pay a portion of the insurance. Most c9mpsnies pay a portion these days. Very few pick up the whole tab. I guess the “good” thing is the 6k you pay its pre tax so you’ll pay less taxes.
I would ask for a minimum of 80k a year. I’m not going to come work for you and struggle financially while busting my butt.

[CraigCreek]

Your utility budget is too low.

You need to include car maintenance, clothing, furniture and other household items you have to purchase in at least your initial budget. If you rent a furnished apartment, you will pay more rent but not have to buy furniture, obviously. But furniture is a one-time expense for the most part. You can save on furnishings if you get some things at yard sales or second-hand or thrift shops. Get new mattresses and linens and new cookware - other items can be found on the secondary market at a big savings. There are also big sales a few times a year at furniture stores. Older furniture is often better made than much of the new stuff, so you get better quality pieces for less money.

The same applies to children's clothing - get new underwear, shoes and socks plus a few special dress-up outfits, and look for clean, gently used good quality outgrown clothing at yard sales for every day.

$300 per month in "pocket money" for a kindergartner?! No way! Unless you're including toys, picture books, clothing, food, kindergarten tuition, and so on. Most five or six year olds get no more than a dollar a week for an allowance - "pocket money" that they can spend any way they choose - if they get an allowance at all, with parents paying other expenses.