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Best and worst cities to get a university degree overseas

YOUNG Aussies are being caught out when studying abroad, stung by steep rental markets and unfavourable exchange rates. Here’s what you should watch out for.

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YOUNG Aussies are being caught out when studying abroad, stung by steep rental markets and unfavourable exchange rates.

In some popular destinations, students must earn more than twice the median Australian income to avoid dipping into savings or ending up in debt.

A year in New York, for example, averaged $76,140, research from international money transfer company WorldFirst revealed.

University students should consider their finances before choosing to study overseas. Picture: iStock
University students should consider their finances before choosing to study overseas. Picture: iStock

This included $46,950 in tuition fees, $19,670 in rent, $1500 in flights and $8020 in living expenses.

By comparison, the 2016 Census pegged the median Australian income at $662 a week or about $34,400 a year – including full-time, part-time and casual workers.

While the costs applied to Australian students in international degrees, those enrolled in an Australian university but spending just a semester or two on exchange did not typically pay extra for tuition.

Uni fees were charged at their Australian university rates and could be added to their HECS-HELP loan.

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WorldFirst head of foreign exchange Patrick Liddy said it was important for students heading abroad to plan their finances.

“Not only do you need to consider the cost of moving and spending (time) abroad, but many forget about the hidden costs of foreign exchange rates when transferring Australian dollars to foreign currencies, or paying for tuition costs or rent in the local currency,” he said.

“This is especially the case for popular exchange destinations, such as Europe, the US or UK, which have stronger currencies.”

Students hellbent on ticking off the rite of passage would do well to brush up on their French, as studying in Paris ($29,500) was half as expensive as New York.

It was less expensive to complete a degree in the City of Light than in Melbourne ($31,520 a year), where the cost of rent was almost triple ($14,780).

Money-savvy university students can study abroad in Paris for cheaper than in Melbourne. Picture: iStock
Money-savvy university students can study abroad in Paris for cheaper than in Melbourne. Picture: iStock

Liddy advised keeping an eye on fluctuating currency exchange rates, though.

“The Australian dollar dropped nearly 10 per cent (against the Euro) between July 2017 and May 2018,” he said.

“If this trend continues, studying abroad in Paris could easily cost 10 to 15 per cent ($2950 to $4425) more than initially calculated.”

Colleen Thornton studied for a semester at The State University of New York (SUNY) in 2012 while completing her Bachelor of International Tourism and Hotel Management through Griffith University.

She was able to defer university fees through HECS-HELP but spent about $10,000 for on-campus accommodation, flights and living expenses for half a year.

“In 2012 the Australian dollar was stronger than the US dollar so I was living like a queen,” she said.

Thornton, who now works in marketing and communications in the construction sector said the experience was definitely worth it despite the cost.

“It pushed me out of my comfort zone and helped with my confidence,” she said.

“I think in every interview when the employer looked at my resume (my time abroad) was a talking point and made me stand out from other candidates.”

Colleen Thornton (left), who studied abroad for a semester in New York in 2012. Picture: Supplied
Colleen Thornton (left), who studied abroad for a semester in New York in 2012. Picture: Supplied

Entree Recruitment general manager Megan Nicholson said as long as an overseas degree was recognised in Australia, it could work in a jobseeker’s favour.

“I love seeing candidates who have had different cultural experiences, as it shows they are open to challenges and new opportunities,” she said.

Hays managing director Nick Deligianni said although overseas degrees were not necessarily held in higher regard than local ones, time abroad could illustrate a jobseeker’s independence.

“(It can) build life experience and resilience, attributes that are highly regarded by prospective employers,” he said.

AVERAGE COST FOR AUSSIES TO STUDY ABROAD, PER YEAR

SOURCE: WorldFirst

New York $76,140

Tuition: $46,950

Rent: $19,670

Flights: $1500

Living: $8020

Los Angeles $75,990

Tuition: $50,440

Rent: $16,610

Flights: $1430

Living: $7510

London $45,720

Tuition: $26,750

Rent: $10,870

Flights: $1060

Living: $7040

Edinburgh $40,610

Tuition: $25,130

Rent: $8470

Flights: $1240

Living: $5770

Montreal $33,510

Tuition: $21,540

Rent: $4300

Flights: $1140

Living: $6530

Hong Kon g $33,980

Tuition: $21,630

Rent: $3060

Flights: $1340

Living: $7950

Melbourne $31,520

Tuition: $8980

Rent: $14,780

Flights: $240

Living: $7520

Paris $29,500

Tuition: $15,140

Rent: $5610

Flights: $1280

Living: $7470

READ MORE LEARNING AND EMPLOYMENT NEWS IN THE CAREERS SECTION OF SATURDAY’S THE COURIER-MAIL, THE ADVERTISER, THE HERALD SUN AND THE DAILY TELEGRAPH

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Original URL: https://www.dailytelegraph.com.au/business/work/best-and-worst-cities-to-get-a-university-degree-overseas/news-story/5de9510ec91091088a9fb7d0013320fb