Retirees? What'S Your Thai Living Budget?

[mikey88]

Hi there...I would appreciate the advice of any retirees living in CM as to their weekly or monthly budget and how it's allocated. Would any retirees care to comment on a figure for a weekly or monthly budget that would cover most general living expenses. Rent is pretty clear cut so I am on top of that. I'm not a bar person, I won't be interested in a Thai girlfriend as i'm happily committed and I don't drink...so, best of luck to you, but I don't really need advice on those issues if that's your lifestyle. And one of the big issues is transport...what do I do about a vehicle....rent ..buy. New car prices are (unbelievably) high it seems in Thailand. So... any advice most warmly welcomed and i hope to be able to reciprocate on some issue someday. Cheers Mike

[IEMDavid]

50,000 Baht a month seems to be the magic amount,and if you rent maybe 15,000pm bills water,elect about 3,000pm,internet and phone about 1,500pm + running a car or motor bike and the cost of the most important FOOD around 10,000pm. then you may fancy a beer ???? and extra cost like a chick or 2 per month Price ummm sky's the limit.this is a rough guide only.oh if you have kids they will need school etc 30,000-50,000 baht each per term

[mrclough]

All cars are extremely high priced here, both new & 2nd hand.

I would advise buying new as you get warranty etc with a new car so don't have that to worry about whilst getting to grips with a new life.

I would also recommend trying to remove the mindset of comparing prices with the cost of living from wherever your home is.

If your always thinking "that only costs half back home, I'm not paying that much" then purchases will be few & far between.

As foreigners, we have foreign tastes. To cater to these tastes many things are imported and therefore much higher in price.

That said, some things are produced here and still extremely expensive lol

[LJW]

My costs are around 150,000 per month. Of course that includes my pool, my truck and 3 well paid staff, as well as daily food from MOW4u. I don't drink, never go out to eat, and my rent is only 5,000 per month. I do like to buy cameras and phones also... My utilities are expensive with water at 4,000 per month, and electricity at over 5,000 per month...

Edited October 4, 2011 by LJW

[elektrified]

50,000 Baht a month seems to be the magic amount,and if you rent maybe 15,000pm bills water,elect about 3,000pm,internet and phone about 1,500pm + running a car or motor bike and the cost of the most important FOOD around 10,000pm. then you may fancy a beer ???? and extra cost like a chick or 2 per month Price ummm sky's the limit.this is a rough guide only.oh if you have kids they will need school etc 30,000-50,000 baht each per term

Guess you didn't read his post?? He doesn't drink and and is not interested in BG's or Thai g/f's.

[NancyL]

Why have a car? It seems to be a big, unnecessary expense when there are so many living options in town and transportation via song thaew or tuk tuk is cheap and easy to find.

Hubby and I spent a month here on a recon mission in 2006, living like retirees -- i.e. getting involved in the various outside group activities of the expats club, meeting people, etc. We developed a "preliminary budget" and shared it with some of our new friends over lunch. They gave us some valuable insight. Then, armed with the budget we returned home, meet with our financial counselor and proceeded to sell our business and home and move here just as the economic meltdown started in 2008. It was one of the best decisions we've ever made.

Be sure to include costs for insurance -- medical, life, long-term care and contents of your home. Also consider the costs of maintaining your visa.

Also think about travel expenses. Will you return to your home country often? Our financial counselor had a couple other clients who retired to Thailand. He said that one couple still had issues with their lives in the U.S. and a couple of unexpected "emergency" trips back to the U.S. (to take care of aged parents and a college kid in trouble) wiped out all the savings of a lifestyle in Thailand.

[chiang mai]

Our average monthly spend in the three months we've been back in Chiang Mai has averaged THB 85k per month, in Phuket it was consistently above THB 125k per month - those figures include rent in both locations with CM being THB 8k month cheaper.

[elektrified]

Why have a car? It seems to be a big, unnecessary expense when there are so many living options in town and transportation via song thaew or tuk tuk is cheap and easy to find.

Hubby and I spent a month here on a recon mission in 2006, living like retirees -- i.e. getting involved in the various outside group activities of the expats club, meeting people, etc. We developed a "preliminary budget" and shared it with some of our new friends over lunch. They gave us some valuable insight. Then, armed with the budget we returned home, meet with our financial counselor and proceeded to sell our business and home and move here just as the economic meltdown started in 2008. It was one of the best decisions we've ever made.

Be sure to include costs for insurance -- medical, life, long-term care and contents of your home. Also consider the costs of maintaining your visa.

Also think about travel expenses. Will you return to your home country often? Our financial counselor had a couple other clients who retired to Thailand. He said that one couple still had issues with their lives in the U.S. and a couple of unexpected "emergency" trips back to the U.S. (to take care of aged parents and a college kid in trouble) wiped out all the savings of a lifestyle in Thailand.

More good advice from NancyL especially regarding insurance. I don't know anything about retirement as I am a couple of decades away from retirement age and I doubt that I would ever 'retire' anyway, but I agree that most ex-pats don't factor insurance into their monthly budget. You must have insurance in Thailand or you could be find yourself in a heap o' trouble at some point. I have more insurance policies here than I have ever had in my entire life.

The one thing I couldn't disagree with more is the notion that you don't need a car. I couldn't imagine life without a car here. I only have one friend that I can think of (he is a retiree) that does not own a car and he lives in the city but is always complaining about not being able to get things accomplished timely or if we plan to meet somewhere and it's raining, he cancels and so forth. What if you wanted to shop outside the city, go to a park or something? Are you going to take a taxi every time or transfer 2 songtaews in the heat? Why inconvenience yourself? If Thai kids in their early 20's can afford a car then certainly a retiree can. I don't know about you but I don't want to arrive somewhere all smelly and sweaty from riding in the back of a songtaew in April. I seldom use my A/C at home, but in the car -- always.

[hml367]

Why have a car? It seems to be a big, unnecessary expense when there are so many living options in town and transportation via song thaew or tuk tuk is cheap and easy to find.

Hubby and I spent a month here on a recon mission in 2006, living like retirees -- i.e. getting involved in the various outside group activities of the expats club, meeting people, etc. We developed a "preliminary budget" and shared it with some of our new friends over lunch. They gave us some valuable insight. Then, armed with the budget we returned home, meet with our financial counselor and proceeded to sell our business and home and move here just as the economic meltdown started in 2008. It was one of the best decisions we've ever made.

Be sure to include costs for insurance -- medical, life, long-term care and contents of your home. Also consider the costs of maintaining your visa.

Also think about travel expenses. Will you return to your home country often? Our financial counselor had a couple other clients who retired to Thailand. He said that one couple still had issues with their lives in the U.S. and a couple of unexpected "emergency" trips back to the U.S. (to take care of aged parents and a college kid in trouble) wiped out all the savings of a lifestyle in Thailand.

More good advice from NancyL especially regarding insurance. I don't know anything about retirement as I am a couple of decades away from retirement age and I doubt that I would ever 'retire' anyway, but I agree that most ex-pats don't factor insurance into their monthly budget. You must have insurance in Thailand or you could be find yourself in a heap o' trouble at some point. I have more insurance policies here than I have ever had in my entire life.

The one thing I couldn't disagree with more is the notion that you don't need a car. I couldn't imagine life without a car here. I only have one friend that I can think of (he is a retiree) that does not own a car and he lives in the city but is always complaining about not being able to get things accomplished timely or if we plan to meet somewhere and it's raining, he cancels and so forth. What if you wanted to shop outside the city, go to a park or something? Are you going to take a taxi every time or transfer 2 songtaews in the heat? Why inconvenience yourself? If Thai kids in their early 20's can afford a car then certainly a retiree can. I don't know about you but I don't want to arrive somewhere all smelly and sweaty from riding in the back of a songtaew in April. I seldom use my A/C at home, but in the car -- always.

I agree with Elektrified ... and I am retired. I have had a car available to me ever since I started living in Chiang Mai.

MSPain

[NancyL]

When we retired here, we figured we'd live in the city and see how life is without a car. If your budget is tight, you don't need one, but if you have the nerves to try to drive here, it could be helpful. Personally, I can't imagine trying to park a car the places where I go and I'm scared to death of the drivers in town, and the fact you have to drive on the wrong side of the road in this country.

[ludditeman]

You can get a nice little scooter in Thailand for 25k

Without expensive hobbies or socialising 20-25kbht a month would do the trick.

You would need to give us more details on your lifestyle for a better estimate

for example

Noodles and red pork 35bht, buffet lunch at the Shangrila 399bht

Mug of instant coffee at home and biscuit 5bht, fresh coffee and cake at butter is better 100bht

Tea toast and fried eggs at home 15bht, at Mad Dog 100bht

Living a retired persons lifestyle at home as you would in the west, very cheap.

But out here people tend to want better.

Eating locally available food is very cheap, but if you want imported western food think $$$

Edited October 4, 2011 by ludditeman

[chiang mai]

......or you can buy a half way decent used car inexpensively, considering the low cost of car repair at independent dealers in CM there's no reason really to always buy brand new.

[moe666]

I want to know how long a piece of string is, that is what you are asking. What is your budget, thats really the only fact you need to know and you will figure out how to live within that budget.

[uptheos]

I want to know how long a piece of string is, that is what you are asking. What is your budget, thats really the only fact you need to know and you will figure out how to live within that budget.

Good advice - why compare with others.

OP you must have been to Thailand - so presumably you have an idea of how cheap or expensive things can be.

[ARISTIDE]

Buy a small car , Chiang Mai is the capital of accident on motobike it's worth it.

Why have a car? It seems to be a big, unnecessary expense when there are so many living options in town and transportation via song thaew or tuk tuk is cheap and easy to find.

Hubby and I spent a month here on a recon mission in 2006, living like retirees -- i.e. getting involved in the various outside group activities of the expats club, meeting people, etc. We developed a "preliminary budget" and shared it with some of our new friends over lunch. They gave us some valuable insight. Then, armed with the budget we returned home, meet with our financial counselor and proceeded to sell our business and home and move here just as the economic meltdown started in 2008. It was one of the best decisions we've ever made.

Be sure to include costs for insurance -- medical, life, long-term care and contents of your home. Also consider the costs of maintaining your visa.

Also think about travel expenses. Will you return to your home country often? Our financial counselor had a couple other clients who retired to Thailand. He said that one couple still had issues with their lives in the U.S. and a couple of unexpected "emergency" trips back to the U.S. (to take care of aged parents and a college kid in trouble) wiped out all the savings of a lifestyle in Thailand.

[bluweyze]

When we retired here, we figured we'd live in the city and see how life is without a car. If your budget is tight, you don't need one, but if you have the nerves to try to drive here, it could be helpful. Personally, I can't imagine trying to park a car the places where I go and I'm scared to death of the drivers in town, and the fact you have to drive on the wrong side of the road in this country.

Thailand definitely drives on the correct size of the road!

[elektrified]

When we retired here, we figured we'd live in the city and see how life is without a car. If your budget is tight, you don't need one, but if you have the nerves to try to drive here, it could be helpful. Personally, I can't imagine trying to park a car the places where I go and I'm scared to death of the drivers in town, and the fact you have to drive on the wrong side of the road in this country.

I would be more scared of the songtaew drivers personally. Many of them start drinking lao khao early in the morning and are completely drunk when they pick you up. Many of the songtaews have bad brakes also. As for parking, it's a piece of cake. Ever tried parking in a small European village like in Spain or Italy? Ever tried to park a car in Madrid?

[WinnieTheKhwai]

Huh.. cars, expensive? I don't think cars are expensive at all. You buy some 5 year old Toyota for 450K baht, maintenance is peanuts, and 5 years later you still get 300K for it, or even if you want to sell it right the same day and you want only 250K for it then you will STILL have spent only 200K / 60 months = 3300 baht/month on owning it. Utterly insignificant, compared to the freedom and convenience it provides.

I bought a truck 10 years ago new for 650K. Can sell it today for 350K, or 300K if I want a super easy sale, with the buyer wondering if I lost my mind: 650-300 = 350K / 10 years = 2900 baht / month. In those 10 years no major expenses either; battery, shocks, oil and tires basically. If I hold on to it longer (it runs exactly the same as the day I drove it out of the showroom) the cost will go down even further.

[Galong]

I live a very comfortable life in Phuket Town for around 25,000 Baht per month. I don't drink and I don't party, but I also travel around and have a lot of fun.

My 3 bedroom house is 9,500 Baht per month and my utilities are not very high. The balance is used on food and fun.

[mikey88]

Huh.. cars, expensive? I don't think cars are expensive at all. You buy some 5 year old Toyota for 450K baht, maintenance is peanuts, and 5 years later you still get 300K for it, or even if you want to sell it right the same day and you want only 250K for it then you will STILL have spent only 200K / 60 months = 3300 baht/month on owning it. Utterly insignificant, compared to the freedom and convenience it provides.

I bought a truck 10 years ago new for 650K. Can sell it today for 350K, or 300K if I want a super easy sale, with the buyer wondering if I lost my mind: 650-300 = 350K / 10 years = 2900 baht / month. In those 10 years no major expenses either; battery, shocks, oil and tires basically. If I hold on to it longer (it runs exactly the same as the day I drove it out of the showroom) the cost will go down even further.

I can buy a brand new on the road, registered SMALL japanese car here (australia) for Baht 377,000 or $13,000 AUS (at 29 to the baht).... that's what I'm comparing it to.. Mike

[BillyBobThai]

I just had a new clutch and throw out bearing installed as well as new brakes front and rear along with resurfacing the rotors and drums and repacking the wheel bearings for 4300 baht.

Buy a second hand truck, as they burn diesel not benzine. Diesel is being 10 to 15 baht cheaper per liter.

The wife ran into a tree with the truck and had to have the front rebuilt and a new radiator and repainted the whole truck, 27,000 baht.

I eat in 99% of the time and my monthly food bill maybe 6,000 to 8,000 baht.

Good luck, I think you will like life here in CM.

[ianf]

When we retired here, we figured we'd live in the city and see how life is without a car. If your budget is tight, you don't need one, but if you have the nerves to try to drive here, it could be helpful. Personally, I can't imagine trying to park a car the places where I go and I'm scared to death of the drivers in town, and the fact you have to drive on the wrong side of the road in this country.

I guess you are American then Nancy. Us Brits drive on the same side of the road here!! But I have sent a lot of time driving in continental Europe and there is no problem switching from one side to the other (if you see what I mean). Meanwhile, traffic here is not that bad. Far worse in India or Paris. And as a cyclist, I will say safer than the UK.

[ianf]

When we retired here, we figured we'd live in the city and see how life is without a car. If your budget is tight, you don't need one, but if you have the nerves to try to drive here, it could be helpful. Personally, I can't imagine trying to park a car the places where I go and I'm scared to death of the drivers in town, and the fact you have to drive on the wrong side of the road in this country.

I guess you are American then Nancy. Us Brits drive on the same side of the road here!! But I have sent a lot of time driving in continental Europe and there is no problem switching from one side to the other (if you see what I mean). Meanwhile, traffic here is not that bad. Far worse in India or Paris. And as a cyclist, I will say safer than the UK.

As for budget, I own a house so I have utilities, maid, diesel, food. That's it really. Don't do alcohol and have a nice live in partner. 35000 per month. Plus Insurance (house, car, health) say another 70 grand per year. So under 50k a month.

Edited October 4, 2011 by ianf

[mallmagician]

Huh.. cars, expensive? I don't think cars are expensive at all. You buy some 5 year old Toyota for 450K baht, maintenance is peanuts, and 5 years later you still get 300K for it, or even if you want to sell it right the same day and you want only 250K for it then you will STILL have spent only 200K / 60 months = 3300 baht/month on owning it. Utterly insignificant, compared to the freedom and convenience it provides.

I bought a truck 10 years ago new for 650K. Can sell it today for 350K, or 300K if I want a super easy sale, with the buyer wondering if I lost my mind: 650-300 = 350K / 10 years = 2900 baht / month. In those 10 years no major expenses either; battery, shocks, oil and tires basically. If I hold on to it longer (it runs exactly the same as the day I drove it out of the showroom) the cost will go down even further.

I can buy a brand new on the road, registered SMALL japanese car here (australia) for Baht 377,000 or $13,000 AUS (at 29 to the baht).... that's what I'm comparing it to.. Mike

Same here. The Nissan March is about that price, as is the Honda Brio.... Both small Japanese cars...

The difference being, you will not lose as big a chunk of the value by driving it out of the dealers when you buy here.

Some import cars, some less popular brands, and of course second hand cars, may appear expensive when you do the "back home" comparison, but certainly not the case in many instances. Even when you do look at the more expensive side of the market here, your costs over the lifespan of the vehicle (buying it + running costs, tax, fuel, maintenance, insurance, tax - resale value some years down the line) will likely be much less than back home. As a helpful poster pointed out to you.

[sfokevin]

I guess you are American then Nancy. Us Brits drive on the same side of the road here!! But I have sent a lot of time driving in continental Europe and there is no problem switching from one side to the other (if you see what I mean). Meanwhile, traffic here is not that bad. Far worse in India or Paris. And as a cyclist, I will say safer than the UK.

The Thai's have no problem switching from one side of the road to the other either - and they never leave the country...

I personally live for the excitement and bought a 2000 Suzuki Caribian for 90K baht... The steering so wonky I can easily drive on either side of the road too

Edited October 4, 2011 by sfokevin

[WinnieTheKhwai]

Huh.. cars, expensive? I don't think cars are expensive at all. You buy some 5 year old Toyota for 450K baht, maintenance is peanuts, and 5 years later you still get 300K for it, or even if you want to sell it right the same day and you want only 250K for it then you will STILL have spent only 200K / 60 months = 3300 baht/month on owning it. Utterly insignificant, compared to the freedom and convenience it provides.

I bought a truck 10 years ago new for 650K. Can sell it today for 350K, or 300K if I want a super easy sale, with the buyer wondering if I lost my mind: 650-300 = 350K / 10 years = 2900 baht / month. In those 10 years no major expenses either; battery, shocks, oil and tires basically. If I hold on to it longer (it runs exactly the same as the day I drove it out of the showroom) the cost will go down even further.

I can buy a brand new on the road, registered SMALL japanese car here (australia) for Baht 377,000 or $13,000 AUS (at 29 to the baht).... that's what I'm comparing it to.. Mike

And your total costs owning it for 6 years and then selling/replacing it will be higher. That's what I'm saying.

Also, small Nissan March starts 380,000 (a model you don't want, admittedly), but the first reasonably specced March costs 430,000. See: http://www2.nissan.co.th/pricepage/detail.php?id=1 And that will be worth considerably more 5-6 years down the line than in Oz, AND your maintenance cost will be lower.

EDIT: Just Googled this exact car in Australia. It costs $15,990, = 463,710. Unless you want metallic paint, then it's more. So... I think 'high car prices' is pretty much a Farang Myth. (esp. when taking maintenance and resale into account)

For the cheapest motoring, wait for the new Isuzu truck (coming real soon), buy the Extra Cab model, drive for 10 years, then sell it. I dont' think that cost would upset anyone's retiring plans.

Edited October 4, 2011 by WinnieTheKhwai

[OriginalPoster]

So basically there are as many answers to who much budget you need as there are retirees. No surprise there, as how much one spends is strongly correlated to what they can afford.

For me, it my expenses seemed to be about half as much as when I was single and living in the US; now that I'm married maybe they are a little more than when I was living in the US & single. However if I had no money, I'm sure that we could live on a lot less. I certainly know enough people who live on a shoestring to know that it's possible.

Edited October 4, 2011 by OriginalPoster

[IanForbes]

My living budget is a WHOLE LOT MORE than my dead budget. When I die my pension ends and my kids get all my possessions and whatever they can sell my property for.

[OriginalPoster]

My living budget is a WHOLE LOT MORE than my dead budget. When I die my pension ends and my kids get all my possessions and whatever they can sell my property for.

Agreed. Ideally a person should spend their last dime on the day that they die and bounce the cheque to the undertaker.

[dingdongrb]

My costs are around 150,000 per month. Of course that includes my pool, my truck and 3 well paid staff, as well as daily food from MOW4u. I don't drink, never go out to eat, and my rent is only 5,000 per month. I do like to buy cameras and phones also... My utilities are expensive with water at 4,000 per month, and electricity at over 5,000 per month...

Am I confused or do you own a pool at a rental home?