Wednesday, August 14, 2013

Cost of Living

Adolf has updated last year's Coles/Countdown grocery basket and thrown in a comparison of personal tax rates and take home pay.   There's lots of talk about NZ being a 'low wage' economy so I've compared a single thirty year old middle manager in each country, paying Medicare and ACC levies respectively..  Note the difference in marginal tax rates.  You never hear NZ Labour talk about that.

The most surprising item in this basket is the extraordinary price of meat in NZ.  Beef,  pork, lamb and chicken seem to cost around forty percent more.

Oh BTW, before you all rush off to emigrate, just remember that in Australia you have state gummints which clip your ticket at every turn with annual fees for all sorts of things and large chunks of stamp duty on car and house purchases, to name a few.

All in all, you pay $90 in Adelaide for what costs you $100 in Auckland.

Hey, you never know, Holden might shift its manufacturing operation to South Auckland where it can employ people for  half the price it has to pay union organise bludgers in Adelaide.


Cost of Living Aust v NZ
Item Aust $ NZ $ Basket Aust NZ
Aged rump steak $13.50/kg $20/kg 1 kg 13.5 20
Baked beans 420 g $1.60 each $1.73 each 5 8 8.5
Bananas $4.50/kg $3.00/kg  1 kg 4.5 3
Oranges - navel $3.00/kg $2.00/kg 2 kg 6 4
Leg lamb roast $10.80/kg $16/kg 2 kg 21.6 32
Pork leg roast $8.50/kg $12/kg 2 kg 17 24
Roasting chicken  $4.70/kg $8/kg 1.5 kg 7.6 12
black tiger prawns $29/kg $35/kg .5 kg 14.5 15
Nutri-grain 805g $8.70 each $11 each 1 8.7 11
Milk full cream  $1.25/litre $1.9/litrre 2 l 2.5 3.8
Colby cheese 1kg $14.10/kg $10./kg 1 kg 14.1 10.3
Hoki $11.00/kg $10/kg 1 kg 10 10
Schnapper/Barramundi fillets $38.00.kg $50/kg' 1 kg 52 50
Premium beef mince $12/kg $13.50/kg 1 kg 12 13.5
Tip Top vanila 2 l $6.06 $7 each 1 6.1 7
eggs caged 700g $3.00 $3.90 1 3 3.9
Wolfblass Yellow C/S $16.10 $13 each 1 16.1 13
217.2 241
90%
Annual Salary $80,000 $65,000
Income tax  + levy 18747 13625
Take Home $61,253 $51,375
Tax % 23.4 21.0
Marginal rate 37% 30%


5 comments:

PM of NZ said...

You might wish to recheck your AUD$ basket prices of both your fish entries.

Adolf Fiinkensein said...

I have and hey are correct. I do confess I had to go to Woolworths to find Australian barramundi fillets. There's quite a bit of cheap bara imported from Thailand.

The hoki was listed as NZ hoki. The local version is called Blue Grenadier and is $12/kg.

What Imiss most of all is being unable to buy Tarakihi (Queen Snapper, Morwong or JackAss Fish)

PM of NZ said...

Adolf, wasn't querying the actual fish prices, but the numbers used in the basket column for A$. The Oz fish is top value/kilo compared to the extortionate rip off prices charged in NZ. Even with foreign flagged slave ships pillaging our coasts.

Somehow the $11/kg hoki ended up as $10 for a kilo and similarly, the barra @38/kg ended up at $52.

Tarakihi is always the best for Fri-nite shark and taties!

paul scott said...

Yes, I see you have Wolf blass yellow
label at $NZ13. It varies between $9 and $22. The Australians have a lot of reasonable red wines like clear skin at much lower than $16.
But as you say the acid comes in when in Australia you pay stamp duty, and water rates and the myriad of other costs imposed.And then there is the exchange rate. Alot of people come away from Australia saying it is an expensive country

Adolf Fiinkensein said...

PM

The comparison was between snapper in NZ at $50 and barra in Oz at $38.

Paul S

It would be unfair to not compare the same label. I'm told by merchants here the major factor in the price differential is excise tax and, of course, the practice of loss leading on wine by Progressive in NZ. (Long may it last.)