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18

Sending an Expatriate from Seattle to Tokyo:  Typical Expenses

DIRECT COMPENSATION COSTS

Base salary$150,000

Foreign service premium    25,000

Goods and services differential  120,000

Housing    97,000

Hypothetical U.S. taxes  (38,000)

COMPANY-PAID COSTS

Education (for 2 children)$  30,000

Japanese income taxes  115,000

Transfer moving costs    47,000

Miscellaneous costs    85,000

Working spouse allowance    75,000

Annual home leave expenses15,000

Add’l insurance, pension, & evacuation coverage    20,000

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