How much money you need in a month?

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chi chi
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How much money you need in a month?

Postby chi chi » Tue Sep 17, 2013 12:34 pm

We had this topic before but because prices in Peru have changed considerable in the last few years, our outgoings are changed.

My expenses:

rent: 0 (I own my home)
food and groceries: 500
fuel and maintenance for motorbike: 120
wáter, electricity, cable tv: 110
leisure activities: 100
clothing: 60

Total: 900 a month

As the prices have gone up, I eat less out and my motorbike trips have become shorter to cut fuel costs.
Nightclub visit have become rare and I buy less beer. (luckily, as I have to lose weight and it's better for my health too).
I buy less food at the supermarket but more at the mercado. I like it more. Supermarkets are more impersonal. The mercado has some folklore.


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Re: How much money you need in a month?

Postby TShadow » Wed Sep 18, 2013 2:11 pm

Well in Italy I came along with spending more or less 1000 Euros each month including rent, food, Internet and leisure. Here actually it goes like this:

rent: 1800 (at the moment 0, but only at the moment)
food: 1000
internet: 129
bills: 200 (water/electricity)
extras: 500

That's nearly the same amount I needed in Italy.
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Re: How much money you need in a month?

Postby mammamia » Wed Sep 18, 2013 5:33 pm

Well, many Americans and Europeans believe that Peru is a "cheap" country to live in. I can tell you they are wrong. Prices of some items (especially exotic fruit and vegetables) might be lower than in the US and EU but gas, Internet, even flight tickets cost sometimes more than those in the above mentioned countries. And if you are considering Peru as a place to move to and live happily and spend little, you'd better reconsider it in favor of Honduras, Costa Rica or even Bolivia.
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Re: How much money you need in a month?

Postby KenBE » Wed Sep 18, 2013 7:12 pm

mammamia wrote:Well, many Americans and Europeans believe that Peru is a "cheap" country to live in. I can tell you they are wrong. Prices of some items (especially exotic fruit and vegetables) might be lower than in the US and EU but gas, Internet, even flight tickets cost sometimes more than those in the above mentioned countries. And if you are considering Peru as a place to move to and live happily and spend little, you'd better reconsider it in favor of Honduras, Costa Rica or even Bolivia.

It all depends on the kind of lifestyle you want. I could live a lifestyle I am happy with in Peru (Trujillo) for about 1900 soles a month (500 euros or about 700 us dollars). It all depends on what you are happy with.
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Re: How much money you need in a month?

Postby mammamia » Wed Sep 18, 2013 8:03 pm

KenBE wrote:
mammamia wrote:Well, many Americans and Europeans believe that Peru is a "cheap" country to live in. I can tell you they are wrong. Prices of some items (especially exotic fruit and vegetables) might be lower than in the US and EU but gas, Internet, even flight tickets cost sometimes more than those in the above mentioned countries. And if you are considering Peru as a place to move to and live happily and spend little, you'd better reconsider it in favor of Honduras, Costa Rica or even Bolivia.

It all depends on the kind of lifestyle you want. I could live a lifestyle I am happy with in Peru (Trujillo) for about 1900 soles a month (500 euros or about 700 us dollars). It all depends on what you are happy with.

Maybe, USD700 a month is good enough for you but you'll have to agree with me that for many US citizens looking to retire and used to living in nice suburbian homes outside Atlanta, Seattle, Houston or Washington DC the lifestyle you are happy with won't seem too attractive. So, my advice for those people would be to go with Honduras or Bolivia (Costa Rica and Paraguay are getting expensive too) when they choosing the place to retire in Latin America.
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Re: How much money you need in a month?

Postby KenBE » Wed Sep 18, 2013 8:18 pm

mammamia wrote:
KenBE wrote:
mammamia wrote:Well, many Americans and Europeans believe that Peru is a "cheap" country to live in. I can tell you they are wrong. Prices of some items (especially exotic fruit and vegetables) might be lower than in the US and EU but gas, Internet, even flight tickets cost sometimes more than those in the above mentioned countries. And if you are considering Peru as a place to move to and live happily and spend little, you'd better reconsider it in favor of Honduras, Costa Rica or even Bolivia.

It all depends on the kind of lifestyle you want. I could live a lifestyle I am happy with in Peru (Trujillo) for about 1900 soles a month (500 euros or about 700 us dollars). It all depends on what you are happy with.

Maybe, USD700 a month is good enough for you but you'll have to agree with me that for many US citizens looking to retire and used to living in nice suburbian homes outside Atlanta, Seattle, Houston or Washington DC the lifestyle you are happy with won't seem too attractive. So, my advice for those people would be to go with Honduras or Bolivia (Costa Rica and Paraguay are getting expensive too) when they choosing the place to retire in Latin America.

Yes, if you want to live an upper middle class lifestyle in Peru it will cost more. I still think it would come out a bit cheaper compared to the US/Western Europe though. Isn't Honduras extremely dangerous?
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Re: How much money you need in a month?

Postby chante » Wed Sep 18, 2013 11:09 pm

We (my husband & I) live on $1,700 a month in Arequipa - up from $1,400 four years ago.
Costs: rent $500/month - includes utilities, internet, cable.
We average $40/day for everything else: transportation (we walk lots, take combis, but also take taxis), food - buy a combination of market and supermarket food - mainly local not imported, except for Chilean and Argentinian wine. Both in Canada and Peru I cook from scratch without much packaged, canned food. I also buy good coffee at a speciality store rather than the supermarket.
We go out to restaurants regularly and other entertainment - although a lot of the music, etc. in Arequipa is sponsored by the Cultural Centres and is free.
That also includes hair cuts, clothes, and other miscellaneous expenses.
We could cut down on many of these and still live okay. but we think the cost of our lifestyle is reasonable for us.
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Re: How much money you need in a month?

Postby teamoperu » Thu Sep 19, 2013 9:17 am

Chi Chi, your budget sheet misses many items:
Your housing is not free. Your invested capital to buy it, money that could be used to earn more money, so you have to include a “lost opportunity cost”.
What about home insurance, maintenance, repairs, improvements, furniture etc. costs.
Transportation: Depreciation of the moto, maintenance, repairs, and SOAT insurance?
Health: what about life insurance, health insurance, doctor visits, eyeglasses, eye care, dental care, (times two, you and your wife)
Hygiene: maybe you cut your own hair, but likely your wife would like to go to the hairdresser once and awhile or even get her nails done.
Celebrations: what about Christmas and birthdays gifts and celebrations, maybe something nice for your wife, go out rather than sit in the patio drinking beer? Gifts for family at home?
Entertainment: You gave no entertainment costs, surely not. Do not know what your pleasures are or your spouse's, but hobbies, movies, books, whatever.
Education: Of course with kids this is a big item, but even childless couples like to take a course or two, develop hobby, a career change or opportunity for your wife?
Communication: Fijo and cell costs, equipment deprecation and replacement, monthly fees, internet fees, LD calls home seem not to be listed.
Travel: Living in remote Tarapoto surely you must escape and go for the good life in the big city, so travel costs to Lima a few times a year would be a big hit to your budget.
Travel: Another big hit as an expat would be travel home to family, at least once a year or for some of us several times.
Charity: Some people tithe to the church, others of us feel it responsible to give to charity at out host country.
Papers: Cost of acquiring and renewing CE, taxes etc. (and likely for you a trip to Lima for this?)
etc....

Edited to add: Also Chi chi you are always mentioning how corrupt all police and official are... over and over and over again, yet you do not have a line item for coimas in you budget :)
Last edited by teamoperu on Thu Sep 19, 2013 2:16 pm, edited 1 time in total.
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Re: How much money you need in a month?

Postby TShadow » Thu Sep 19, 2013 12:02 pm

There is something more chi chi, you actually seem to be a healthy human being, me too, but my girl friend even with her already expensive health insurance is paying a lot for medicines and her health, all of this would have been free in countries like Germany and Italy. She is fortunate that she has the money, for me it would mean that my quality of life here in Lima would go down the drain.

Due to this fact I'm overthinking my staying here.
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Re: How much money you need in a month?

Postby chi chi » Thu Sep 19, 2013 4:42 pm

TShadow wrote:Well in Italy I came along with spending more or less 1000 Euros each month including rent, food, Internet and leisure. Here actually it goes like this:

rent: 1800 (at the moment 0, but only at the moment)
food: 1000
internet: 129
bills: 200 (water/electricity)
extras: 500

That's nearly the same amount I needed in Italy.


I guess that you live in San Isidro or Miraflores and eat out every day.
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Re: How much money you need in a month?

Postby TShadow » Fri Sep 20, 2013 11:41 am

No chi chi, I live in La Molina, and I never go out eating or to bars. I cook my own meals, I make my own Pisco Sours or better Pisco Maracuya, I take advantage in buying at Plaza Vea or Wong when there are offers, I make my own Pizza which is an attraction as are my homemade cakes.

I'm having exactly the same lifestyle I had in Italy, only that there I went out from time to time with my friends, I also had a 500 cc Scooter and a car.
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Re: How much money you need in a month?

Postby chi chi » Fri Sep 20, 2013 11:47 am

TShadow wrote:No chi chi, I live in La Molina, and I never go out eating or to bars. I cook my own meals, I make my own Pisco Sours or better Pisco Maracuya, I take advantage in buying at Plaza Vea or Wong when there are offers, I make my own Pizza which is an attraction as are my homemade cakes.


How can you spend 1000 soles a month on food then? And 1800 on rent?
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Re: How much money you need in a month?

Postby TShadow » Fri Sep 20, 2013 2:44 pm

I don't know, if you wish I can send you my receipts, I still have them from last month and this month still is not over. Guess my over 100 kgs need some food, and I'm still working out, so I do burn some calories :-)

My flat was $650 that's nearly 1800 Soles, not even a nice one, terrible bath and terrible people living in the building, but it was a safe place.
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Re: How much money you need in a month?

Postby teamoperu » Fri Sep 20, 2013 9:09 pm

Well, my monthly budget is about 10x your (underestimated) budget ChiChi. But each to his/her own, according to their ability. About 30% of that goes to helping others / charity... which doesn't seem to appear as a line item in your monthly budget calculations.
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Re: How much money you need in a month?

Postby Sergio Bernales » Sun Sep 22, 2013 12:26 am

I find that by no matter how much my income rises, my spending usually manages to exceed it, but when my income drops, my spending stays exactly the same.
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Re: How much money you need in a month?

Postby curlyguy18 » Tue Sep 24, 2013 7:35 pm

I'm with Sergio. Also, the more money you make, the more money you spend. And as a consequence, the more problems you have!

To answer the question, I live on around 3,400 soles a month. I live at home with my uncle and his wife and we share bills and other expenses. Being single and having no kids, I can pretty much do whatever I want.
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Re: How much money you need in a month?

Postby sbaustin » Tue Sep 24, 2013 8:31 pm

Sergio Bernales wrote:I find that by no matter how much my income rises, my spending usually manages to exceed it, but when my income drops, my spending stays exactly the same.


This is a personal thing as I don't have a set salary and my spending is pretty flat month to month whether I make a lot of money or zero depending on when client pay cycles/etc.

Unless you live with family, housing at least for me is the largest expense following by transportation and food.
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Re: How much money you need in a month?

Postby sidro » Fri Sep 27, 2013 5:41 pm

Okay, Folks. You have to get your act together before you move here to live permanently. I sent my wife here a year before to have our house constructed, to her specifications of course, then she purchased our furniture, essentials, and automobile. Started our savings account in the bank of best return. I cashed out my stock, and placed in that bank. Retired from my career, and started my S. S. draw. We live very well on about $1500 a month, and save some on the side. Because of the house, car, furniture, and other essentials being bought and paid for up front, we do live well. Budget consists of what is coming in, and what is going out. It applies to anywhere you live. Do the math every month, and you can live fairly well on about $1200 a month when principal ítems are purchased clear and free in the beginning, but still save for the unexpected. Common sense rules life.
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Re: How much money you need in a month?

Postby chi chi » Sat Sep 28, 2013 2:47 pm

sidro wrote:We live very well on about $1500 a month, and save some on the side. Because of the house, car, furniture, and other essentials being bought and paid for up front, we do live well. Budget consists of what is coming in, and what is going out. It applies to anywhere you live. Do the math every month, and you can live fairly well on about $1200 a month when principal ítems are purchased clear and free in the beginning, but still save for the unexpected. Common sense rules life.


If you own your home and bought all other things upfront, then for sure you can live well of $1200 a month.

My budget is around $350 a month and I live well. I cook at home, shop at the market, drive a motorbike (cheaper to run than a car) I also bought my car, furniture and household items all upfront.
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Re: How much money you need in a month?

Postby tupacperu » Mon Sep 30, 2013 9:21 am

chi chi wrote:We had this topic before but because prices in Peru have changed considerable in the last few years, our outgoings are changed.

My expenses:

rent: 0 (I own my home)
food and groceries: 500
fuel and maintenance for motorbike: 120
wáter, electricity, cable tv: 110
leisure activities: 100
clothing: 60

Total: 900 a month

As the prices have gone up, I eat less out and my motorbike trips have become shorter to cut fuel costs.
Nightclub visit have become rare and I buy less beer. (luckily, as I have to lose weight and it's better for my health too).
I buy less food at the supermarket but more at the mercado. I like it more. Supermarkets are more impersonal. The mercado has some folklore.


Taxes on your home?
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Re: How much money you need in a month?

Postby teamoperu » Mon Sep 30, 2013 10:28 am

chi chi wrote:
sidro wrote:We live very well on about $1500 a month, and save some on the side. Because of the house, car, furniture, and other essentials being bought and paid for up front, we do live well. Budget consists of what is coming in, and what is going out. It applies to anywhere you live. Do the math every month, and you can live fairly well on about $1200 a month when principal ítems are purchased clear and free in the beginning, but still save for the unexpected. Common sense rules life.


If you own your home and bought all other things upfront, then for sure you can live well of $1200 a month.

My budget is around $350 a month and I live well. I cook at home, shop at the market, drive a motorbike (cheaper to run than a car) I also bought my car, furniture and household items all upfront.


Your budget is $350 a month... I can do way better that, a budget of $100 a month (as long as, like you, I don't include all exepnses)! 8)
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Re: How much money you need in a month?

Postby chi chi » Mon Sep 30, 2013 11:14 am

tupacperu wrote:
Taxes on your home?


The autovalue and arbitrios are 156 soles a year.
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Re: How much money you need in a month?

Postby mammamia » Mon Sep 30, 2013 5:39 pm

chi chi wrote:
tupacperu wrote:
Taxes on your home?


The autovalue and arbitrios are 156 soles a year.

Lucky you are! I pay S/.880 a year and I don't live in Lima either.
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Re: How much money you need in a month?

Postby chi chi » Mon Sep 30, 2013 7:50 pm

mammamia wrote:
chi chi wrote:
tupacperu wrote:
Taxes on your home?


The autovalue and arbitrios are 156 soles a year.

Lucky you are! I pay S/.880 a year and I don't live in Lima either.


You must have a big home then. Which area do you live?
Here in Tarapoto, people are even complaining that they have to pay so much. A large number of people is behind in payments.
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Re: How much money you need in a month?

Postby mammamia » Mon Sep 30, 2013 11:47 pm

chi chi wrote:
mammamia wrote:
chi chi wrote:
tupacperu wrote:
Taxes on your home?


The autovalue and arbitrios are 156 soles a year.

Lucky you are! I pay S/.880 a year and I don't live in Lima either.


You must have a big home then. Which area do you live?
Here in Tarapoto, people are even complaining that they have to pay so much. A large number of people is behind in payments.

My home isn't small: 2 floors, a large garage. And still I'm lucky enough to pay ONLY S/.880 becuase my neighbor next door who owns a three-floor house has to pay S/.2200 a year. And he is 3 years or so behind in his payments.

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