Most people arriving from the West think they're going to be saving a LOT of money while they're here in India, but frankly, that's not the case unless your company is paying all your expenses. As someone who has been working in India for the past ten (!) years, I haven't saved a dime. The problem is trying to live the same lifestyle as you're used to at home. For example, if you enjoyed broadband internet in the US, and 4G on your smartphone, be aware that those costs will be huge in comparison to what the average Indian would use. 2G is typical here and very cheap. Wifi access can be as little as 3,000 rupees (about $50), but Airtel's 20MBps internet access at home is a corporate account costing me over 8,000 rupees a month (about $110). And that service is never quite operational. Another thing that happens to phones and internet is, as a foreign worker on an employment visa, I need to update each account with my new residency permit EVERY YEAR. Sometimes I only get one month extension (Even when I get it to them on time, it takes six to eight weeks typically for my service to be restored.
Housing can be as cheap as 10,000 rupees a month, especially is you're willing to share, but most expats live in much more expensive places. Typical expats with company sponsors typically live in places that rent for a lakh rupees or two each month (that's 100,000 to 200,000 rupees - 2K - 4K USD). These places typically have modern bathrooms and updated kitchens with cooking gas already installed, water heaters in all the baths, appliances including ovens (what I would give to have an oven). They also typically have working air conditioners and backup electrical service whenever the electricity goes down. It will depend on where you live. In Gurgaon, that was a daily occurrence, sometimes days. In Delhi, nearly every day we had outages. Calcutta, even worse - days, weeks could go by. Pune has been the most reliable of all.
Landlords are the absolute worst. I once rented a place and during our move in, I realized we had no electricity or water. I called him up and he said that it was my problem to sort out. Thankfully, I worked at a solar powered telecom company - they installed solar power on my roof so we had a new inverter, battery packs, etc. (which were stolen twice by our lovely neighbors).
Let's talk about meals. If you like to go to nice restaurants and would like western food (italian, french, etc.) you'll pay similarly to what you'd pay at home, perhaps even more. Liquor is very expensive, especially imported liquor, so many expats will drink local. Beware some of the local liquor. I don't know if this is typical for beer (not a beer drinker) but many expats have complained that Kingfisher, the most popular local beer, had glycerin in it. Be careful of waiters bringing you bottles to finish your meal with a nice Cointreau or perhaps a Sambuca for your espresso. I mistakenly paid 3,000 rupees (again about $50) for one ounce of Drambuie. Having food at home, doing your shopping, you'll notice that most unprocessed food is very cheap and many exotic produce is locally grown here. You will pay a fortune for a box of Kraft Macaroni and Cheese or a can of Chef Boyardee - anything that is imported is at least double the cost at home. American bacon, the last time I checked, was around $15 for the package...
Transportation can also be very cheap or very expensive. If you plan to use public transport, I would stick to cabs and metros (subways) - never busses or local trains. Both are minefields for the typical traveler and very unsafe. Even long-term travellers can be caught up - my friend was on a train from Delhi to Calcutta and was befriended by a nice gentleman who wanted her to feel safe. He settled in as his ticket was for the bunk below hers. He shared his meal and tea and she was drugged. All of her valuables were stolen before she awoke. This is someone who has been traveling for years on Indian trains, and even looks like someone from the Northeast of India, so this could happen to anyone. Most public buses and trains don't have women only cars like the subways have and many men will grope you or masturbate in front of you. Hearing from other expats, worse has occurred. So I vote for safety, which means I have a trusted driver who I know will protect me. I spend about $400/month renting a shared driver and car service. It's not a nice car, but it's dependable. Most expats typically have the latest SUV or large passenger vehicle with a hired driver in a uniform. I've heard salaries for drivers are between 30,000 and 60,000 rupees ($500 - $1,000) for an English-speaking driver in Delhi.
Local labor also varies based on whether the person speaks English. Maids, nannies, gardeners, housekeepers, cooks, tradesmen - when they can speak English, they can charge a premium because most foreigners will not speak Hindi or the local language. The cheapest labor is local language since most locals won't pay more than 2,000 to 3,000 for a full-time housekeeper. The next level, typically in middle class homes, may rise to 5,000 maximum. A great English speaking housekeeper in Delhi/Gurgaon will cost you between 15,000 and 25,000, the high end if she's cooking, too. In Pune, I am spending 15K for a pair - Mother and daughter-in-law who cook breakfast and dinner, set up a lunch for me to take to work, clean, do the laundry, walk the dogs, etc. Others with small children have stated what a joy it is to have an ayah (nanny), as they never would be able to afford them at home.
Tradesmen are people who are supposed to be able to fix things. Unfortunately, most don't even have tools to do the job and try to borrow yours. Whenever I pull out my Craftsman toolbox, their eyes are amazed. I carefully count my tools before they leave.聽 If you are a foreigner, they will try to charge you exorbitant rates. Have a neighbor help you a) find a trustworthy person who won't steal your stuff while he's in your house, and b) if the neighbor or housekeeper can watch him, in their language, without them ever seeing you, your price will be very reasonable. Once they see you, the prices for parts they need get very expensive...
So India may look cheap to tourists, but living here, expecting the same comfort levels will be costly. Instead, you will need to lower your expectations, be creative in solving your challenges, and keep an open mind. If the price for something local (product or service) seems close to what you would pay at home, you're probably overpaying. Find acceptable local substitutes for your favorite brands. If you learn Hindi or the local language while you're here, even better. My son speaks perfect Hindi and when we shop, I go in speaking English and he just listens to the chatter among the shop workers. I discuss the item and when I make up my mind to purchase, he comes over and starts speaking Hindi and says "we'll take it for the cost you mentioned in Hindi, not the foreigner price".
Let me know what other items you're interested in. We've been here ten years and lived in Mumbai, Kolkata, Gurgaon, Delhi, and Pune. Cheers.
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