What often comes as a shock to many teachers participating in the TESOL Course is the general, dirt-cheap cost of living that China offers. Prices are generally a fifth of what they are back home, if not less. A $5 beer back home, for example, is a meager 0.25 cents at your local BBQ hangout, the average value meal at McDonalds $1.88 and spacious, furnished one-bedroom apartments can be found for around $125 a month.
In addition to these low prices can be included the fact that the average western English teacher is making 300% or more than the city`s locals. It`s not hard to understand why many expats fall into the trap of living an over-the-top lifestyle here in the `Middle Kingdom`.
In the beginning, new teachers often arrive in China with a little home currency. Someone who brings $500 now recognizes that their once paltry sum of cash has changed from what used to be (on average) less than a month`s rent back home to what many local Chinese make in three (or more) months. This can lead to splurging.
Paying for `Convenience`
New TESOL Course teachers often fall into the trap of establishing expensive habits. These include, but are certainly not limited to, taking taxis instead of public transportation, eating out every meal, consuming familiar western products from brands of snacks and soda to fabric softener and clothing. It is often easy for newcomers to convince themselves that these extra expenses are worthwhile.
For example, when considering the perceived hassle and uncomfortable process of traveling by public transit in China, newcomers feel that the extra expenditure of taking a taxi versus bus or subway is justified. Or, when noting that McDonalds or Subway is relatively cheap when considering their monthly income, it is natural to think that the time it takes them to prepare their own food, or the initial discomfort of ordering a meal in a Chinese at the local restaurant, is not worth the extra trouble.
When in Rome...
The Chinese have a saying very similar to that of the West`s `When in Rome do as the Romans do.`: `ru xiang sui su`, which is (roughly) translated to mean: When you enter another`s village you should adhere to their customs.
Most English teachers move abroad to study a TESOL Course and teach because they want to be immersed in a different culture. However, the pervasiveness of globalization does not always force us to adhere to the ambitious goals we held before we left home. It is easy for expats to be tempted by the convenience and familiarity that earning a high salary provides: fast food, dry cleaning, quick transportation, VIP treatment at restaurants and clubs, maid service, etc. However, it should be a priority to consider how living this type of western lifestyle affects not only your experience in a China, but also your financial future.
In most cities outside of the large metropolitan centers such as Beijing, Shanghai, Guangzhou, etc., a foreigner living a modest lifestyle would struggle to spend more than 20 RMB a day. Twenty RMB a day X 30 days in a month = 600 RMB a month. Take 600 RMB and subtract it from one`s monthly salary of 4,500 = 3,900 RMB which is (approximately) $500 that could possibly be put into a bank account and saved for graduate school, traveling, a car, a house, a family, etc.
Taking into account that some foreigners will indulge in western temptations on occasion we can say that on the average foreigner living a modest lifestyle spends around 1000 RMB a month. In this case, the average teacher can still save 3,500 RMB, or $400, a month. Living in China is an unheard of financial opportunity for this reason: how much money would you have to save, or how much economizing would you need to do in the West to be able to save $460 a month? Very few people, for example, making $3,000 - $4,000 a month in the West can save $400 - $500 a month. However, in China this is quite easy to do. The trick: `ru xiang sui su`.
That is not to say that foreigners must sacrifice their familiar comforts in order to save money. Instead, learning how to economize on a Chinese budget while staying within your comfort zone is easy. Below are some ideas.
Economizing Tips
Aside from your experience in China offering you a number of unforgettable memories and experiences, it can also provide a solid financial foundation for future travels and endeavors. Establishing good habits, enrolling in a professional TESOL Course and finding a good school are key to successfully founding a solid financial future.