Tracking My Finances: A Year of Living in Taiwan
As a personal finance enthusiast, I’ve been tracking my expenses, income, and savings for a couple of years now. One of the most fascinating aspects of this exercise is observing the year-to-year fluctuations in my financial situation. Recently, I had the opportunity to live in Taiwan for almost an entire year, which provided a unique chance to compare my expenses with those from my previous home in Houston.
Understanding the Cost of Living
Before making the move, I used online cost of living calculators like Expatisan to estimate the difference in expenses between Houston and Taipei. According to these calculations, living in Taipei would be around 14% cheaper than Houston. However, I needed to determine my average cost of living in Houston to get a better understanding of the actual difference. After reviewing my past expense reports, I found that my annual expenses in Houston ranged between $21,000 and $23,000.
My Expenses in Taiwan
Fast forward to my year in Taiwan, where my total expenses came out to $18,996.87. Here’s a breakdown of my major expense categories:
Housing
I lived in two shared apartments in Taipei, with monthly rents of $383 and $367, respectively. The second apartment was a great deal, as it included utilities and was closer to my office, allowing me to walk or bike to work for free.
Transportation
Taipei’s public transit system was one of my favorite things about living in the city. With an EasyCard, I could use the metro, bus, trains, and rentable bikes across Taiwan. The low fares and concentrated city layout meant I spent an average of $60 on transportation per month. I also inherited a bike from my old roommate, which further reduced my transportation expenses.
Food and Dining
Eating out was a big part of my life in Taipei, thanks to the affordability of local dishes, which often cost between $1 and $3. I stuck to local cuisine, with occasional splurges on non-Taiwanese food. My monthly expenses for groceries and dining out ranged from $145 to $270, with an average of $222. While I did cook occasionally, it was nowhere near as frequent as when I lived in the U.S.
Travel
Although I didn’t take any international trips, I traveled around Taiwan to visit family, participate in races, and play tour guide for visiting friends. This led to inconsistent travel expenses, ranging from $50 to $250 per month.
Miscellaneous
One significant expense was getting Lasik surgery, which cost around $2,900, including follow-up appointments. This was a personal choice, but one that has been worth it. Interestingly, it accounted for around 15% of my total expenses for 2018.
Lessons Learned
Some personal finance experts claim that living overseas can significantly reduce expenses. While Taipei’s cost of living is higher than some parts of the U.S., it was still true in my case. However, finding a more affordable lifestyle abroad depends on where you’re from and where you’re moving to. I didn’t move to Taiwan solely for financial reasons, but also to improve my Mandarin and indulge in the island’s culture. Overall, I’m glad I made the decision, both personally and financially.
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