Comments on: Costa Rica monthly family budget (from Al Dia) http://www.tinygrass.com/2008/04/costa-rica-monthly-family-budget-from-al-dia/ Simple living, natural learning & exploring the world Sun, 04 Dec 2011 21:38:00 +0000 hourly 1 http://wordpress.org/?v=3.3.1 By: Arp http://www.tinygrass.com/2008/04/costa-rica-monthly-family-budget-from-al-dia/comment-page-1/#comment-7098 Arp Thu, 17 Apr 2008 15:14:20 +0000 http://www.tinygrass.com/?p=507#comment-7098 <p>It's like the US then, no? Stagnant salaries and increasing cost of living for years. But you're right - why would an average family blow money on domestic help or a car? And if someone has a car, it's probably something old & easily repaired rather than something requiring a payment. Thanks for providing a more realistic perspective. I remember when I first joined <a href="http://groups.yahoo.com/group/CostaRicaLiving/" rel="nofollow">CostaRicaLiving</a> a few years ago and one of the responses I got regarding budget was some guy in Escazu with an expensive condo and 2 new cars who thought I could 'probably' get by on $4-5k a month. I don't get by on that now and I don't ever want to have expenses like that.</p> <p>As for where CR is headed is anybody's guess. The worldwide housing speculation is over and it looks like the shit is going to hit the fan over the next couple of years. Oil prices will stay high and the cost of imports will rise. All I can think is that people will need to be fiscally prudent and adaptable.</p> It’s like the US then, no? Stagnant salaries and increasing cost of living for years. But you’re right – why would an average family blow money on domestic help or a car? And if someone has a car, it’s probably something old & easily repaired rather than something requiring a payment. Thanks for providing a more realistic perspective. I remember when I first joined CostaRicaLiving a few years ago and one of the responses I got regarding budget was some guy in Escazu with an expensive condo and 2 new cars who thought I could ‘probably’ get by on $4-5k a month. I don’t get by on that now and I don’t ever want to have expenses like that.

As for where CR is headed is anybody’s guess. The worldwide housing speculation is over and it looks like the shit is going to hit the fan over the next couple of years. Oil prices will stay high and the cost of imports will rise. All I can think is that people will need to be fiscally prudent and adaptable.

]]> By: Erin http://www.tinygrass.com/2008/04/costa-rica-monthly-family-budget-from-al-dia/comment-page-1/#comment-7097 Erin Thu, 17 Apr 2008 14:57:56 +0000 http://www.tinygrass.com/?p=507#comment-7097 I think this is a sad commentary on where Costa Rica is headed - higher prices, but stagnant salaries. However, there are several things that I don't quite "buy" about the article: Average salaries take into account the "average" tico... those that get paid rock-bottom salaries. Some of my friends, who have college educations and even post-graduate degrees, make between ¢250.000-¢350.000/month. According to the study, they're about "average" in income, though we know that many ticos don't have the advantage of a post-graduate education. "Average" ticos will not have a housecleaner 4 times/month. "Average" ticos will spend nowhere near ¢11.000 on a cell phone (more like ¢6.000). "Average" ticos will certainly not have a mortgage of ¢240.000/month! Most will either rent inexpensive homes (¢150.000 or less), live at home, or live in the houses that have been left to them by their parents (no rent at all). And an "average" tico will absolutely not have a car. I understand what the study is saying, but I think it's a misrepresentation of the facts. With the above budgets in mind (including the ¢150.000 rent), we're talking a monthly budget more along the lines of ¢212.000. That's definitely scrimping a bit, but much more realistic for a family that doesn't have a whole lot of income. And it's hard, yes. But not as impossible as Al Día made it sound. <em>Erin's last blog post..<a href='http://www.gringuitica.com/2008/04/phase-three-always-a-work-in-progress/' rel="nofollow">Phase Three: Always a Work in Progress</a></em> I think this is a sad commentary on where Costa Rica is headed – higher prices, but stagnant salaries. However, there are several things that I don’t quite “buy” about the article:

Average salaries take into account the “average” tico… those that get paid rock-bottom salaries. Some of my friends, who have college educations and even post-graduate degrees, make between ¢250.000-¢350.000/month. According to the study, they’re about “average” in income, though we know that many ticos don’t have the advantage of a post-graduate education.

“Average” ticos will not have a housecleaner 4 times/month. “Average” ticos will spend nowhere near ¢11.000 on a cell phone (more like ¢6.000). “Average” ticos will certainly not have a mortgage of ¢240.000/month! Most will either rent inexpensive homes (¢150.000 or less), live at home, or live in the houses that have been left to them by their parents (no rent at all). And an “average” tico will absolutely not have a car.

I understand what the study is saying, but I think it’s a misrepresentation of the facts. With the above budgets in mind (including the ¢150.000 rent), we’re talking a monthly budget more along the lines of ¢212.000. That’s definitely scrimping a bit, but much more realistic for a family that doesn’t have a whole lot of income. And it’s hard, yes. But not as impossible as Al Día made it sound.

Erin’s last blog post..Phase Three: Always a Work in Progress

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