Still Drinking Spanish Wine

December 12, 2022December 12, 2022Melissa

A lot has changed since leaving Spain in May of 2022.

The end of an era. I came to Spain in 2015 with a couple grand in my (virtual) pocket, and by the time I was leaving, partner and toddler in tow, I had about the same. Did I make zero progress? Absolutely not. What used to support one was now supporting three. And the experience of living in Spain for nearly 7 years was priceless.

I really love the time that I spent as a language assistant in Andalucia and the Basque Country. Those two years reinforced how to budget and be frugal. The 4 years I spent at a language academy in Caceres, Extremadura taught me about self study and advancement. And finally, the year as a Director of Studies in a small town in Andalucia allowed me to thrive professionally in an environment that was also great for my then two year old daughter.

One of the hardest things about readjusting to life in the US after living abroad for so long is the sticker shock. I once wrote about spending $80 a month on groceries. In Arlington, VA, I found myself spending that in one shopping trip.

So how do you overcome such a shock when you repatriate? One trick is to convert prices into percentages. If you find that the bottle of Spanish wine you’ve grown accustomed to is now 3 times what you used to pay for it in Spain, is it still a good deal? It is if you’re earning 3 times the salary. Through this perspective, that bottle of Spanish wine was actually cheaper for me than it was when I bought it in Spain.

It’s easy to get carried away with spending when you start earning more. A lot of people fall victim to the Diderot Effect, where one nice new thing leads you to replacing your other things to match the higher quality. It often makes financial sense to buy higher quality products, as they are likely to last longer. But it’s important not to replace things before their time just to feel the high from upgrading.

I bought new shoes for work for 3 times what I would have been willing to spend in Spain. But the replacement was necessary, and a quality shoe will last a lot more miles. At the same time, I still have the same hiking shoe that I bought in 2017. I don’t plan to buy new hiking shoes just because my work shoes are a nicer quality.

This is one of the ways I stay frugal with a higher income. What are some of yours?

Pre-Departure Pantry Challenge

May 1, 2022May 1, 2022Melissa

Nearly 5 years ago, I wrote about building up your pantry on a budget. Now that I’m leaving Spain in just 4-5 weeks, it’s time to do the opposite. Care to join me in a pantry challenge? Let’s use everything up!

Although I’ve moved within Spain several times, this will be my first international move since I arrived in 2015. With each previous move, I left food behind with local friends, since pantry food was the last thing on my mind, and I never planned for it.

Teaching English Abroad Post-Covid

August 13, 2020August 13, 2020Melissa

You may be wondering if teaching English abroad post-Covid is a good idea. Will there be travel restrictions? Is my job guaranteed? Is it safe? All of these are great questions, and the answer depends not only on what country you choose, but also on the specific job. Teaching English abroad post-Covid is going to require a lot more research than prior years, but it can be done.

First you should ask yourself why you are going. Is it to earn money? To travel? To escape an unpleasant home situation?

How to Budget for a Year Abroad

January 15, 2020January 16, 2020Melissa

“Budgeting isn’t about limiting yourself — it’s about making the things that excite you possible.” The Financial Diet

Why Budget for a Year?

Moving abroad to teach English is a huge step, whether you plan to go for one year or to put down roots. How much money to take with you will depend on where you’re going, but a good rule of thumb is to save up at least 3 times your expected monthly income. Equally important is planning the whole budget for a year abroad. Download my free budget template and follow along.

American Taxes for Auxiliares de Conversacion

February 25, 2018March 21, 2018Melissa

This is not legal advice. Any information found here is a result of research and experience.

American Taxes: to File, or Not to File

American taxes for people living abroad can be complicated. Do I have to file? If I don’t, what are the benefits of filing my American taxes when it’s so much extra work? The United States requires that your report worldwide income for tax purposes. But the auxiliar income is a scholarship! Yes, in Spain your stipend is classified as a scholarship. The US, however, classifies it as income. According the the IRS, the penalties of not declaring foreign income can be steep:

Consequences for Evading Taxes on Foreign Source Income
You will face serious consequences if the IRS finds you have unreported income or undisclosed foreign financial accounts. These consequences can include not only the additional taxes, but also substantial penalties, interest, fines and even imprisonment.

There are exceptions, however. Just like citizens living in the US, US citizens and resident aliens living abroad have a minimum filing threshold. For the tax year of 2017, that minimum is $10,400. Below, we’re going to look closer at American taxes in different possible situations, and also where to put the income on your tax return (with photos).

3 Ways to Earn Extra Income in Spain

January 20, 2018January 22, 2018Melissa

This post contains affiliate links, which support this blog at no additional cost to the reader.

Finding ways to earn extra income is not a new concept to most people, from the Millennial “side hustle” to Dave Ramsey inspired “Dave Jobs,” every generation has its own methods for creating new sources of income. This isn’t any different for the auxiliar de conversacion. Here are 3 tried and true methods for earning a bit of extra money while teaching abroad, and one bonus way to start earning extra income before you even move abroad.

THE SIDE HUSTLE

According to CNN Money, 44 million Americans have a side job. Many people need these jobs just to keep up with their regular bills. One benefit of teaching English in Spain, is that you can avoid such inflated bills, since the cost of living is so much lower than many of our cities back home. As an auxiliar, you shouldn’t NEED extra income just to get by, but it can really help improve your travel opportunities. Extra income can also be used to pay down debt back home.

Chosing a community in spain - airports in spain

Airports in Spain by Autonomous Community

December 10, 2017January 19, 2018Melissa

It’s that time of year again. The holidays? Yes. But rather than a white Christmas, I’m dreaming of airports in Spain. Why? Because it’s time to start thinking about renewal as an auxiliar de conversacion. Or maybe next year will be your first year, and you’re not quite sure how to choose a region.

Since the application period will open just after the holiday season, it’s a good idea to start planning where you’d like to go now. Maybe you want to go to where the auxiliar income is the highest compared to the local residents. This is a great plan for living your day-to-day life in Spain, but what about our international adventure seeking readers?

For those of you who want to see as much as possible in a relatively short amount of time, it may be a good idea to make your regional choices based on which communities have the best access to airports.

Stocking your Starter Kitchen on a Budget

September 24, 2017January 19, 2018Melissa

Last week, when I posted about how to budget when you don’t know your expenses, a reader asked me how I get my grocery costs so low. I was able to maintain a 65 euro a month grocery budget for a year in Vitoria-Gasteiz of the Spanish Basque Country. Part of this was due to cost sharing with my partner. However, even when I shopped on my own in Huelva, Andalusia, I still averaged a budget of about 80 euros a month. How? The key here is in having a well stocked kitchen. Let’s build your starter kitchen.

What is a Starter Kitchen?

Cooking at home is one of the best ways to save money when you’re on a tight budget. But what do you do when you’re starting from scratch? Let’s say you’ve just moved to a new city. Your starter kitchen is all of the food products you will need to buy to have a functioning kitchen. Before we dive deeper into building your starter kitchen, let’s take a look at what some of my frequent purchases are and what they cost.