accommodation question

[marv]

HI, I'm hoping for some clarification from those more experienced in international schools and their packages.
I've been offered a position and in the package they have stipulated a monetary figure as a rent allowance, however they say I have to stay in accommodation allocated by the school, paying the allowance to a landlord of their choice.
Is this normal? I'm really uncomfortable with a) committing to living somewhere in which I have no say, and b) having a non-work related matter determined by an employer.
Maybe I'm naive and this is the done thing with international schools and I have to like it or lump it? Any insights greatly appreciated!

[justlooking]

Pretty typical. Has been that way in all of my IT posts. You may be able to take a cash allowance after a year or two- that's also pretty typical. Wouldn't hurt to ask.

[Cheery Littlebottom]

Fairly standard. Sometimes this can work in your favour as the school can actively keep up a pool of reliable landlords who want to stay on good terms with the school and therefore keep the properties in good order. I suppose there is a chance it's all a scam with school employees pocketing kickbacks. If it's a good school and not for profit, the former is more likely. If it's some fly by night money making dive then it could be the latter.

[shadowjack]

Most IS I have been at either (a) provided housing; or (b) gave a housing allowance. I have not heard of many schools where you got an allowance but you had to stay in designated housing. You might want to ask some questions of teachers at the school to see what is up. It might be as simple as the school runs a bus and they only run it to one area. It might be that it is housing close to the school to make it easier for first year teachers. Ask and find out.

[Micky]

I agree with shadowjack. I would find it quite unusual to receive a stipend and then be told where I have to use it. I am curious, does the stipend cover the rent or will you have to add to it? If it covers the rent I would be fine with it as it would be the same as having your housing paid in full but having to live there. However, if it doesn't cover it and you still have to live there I would be really skeptical as a stipend is generally paid so the teacher has some choice in where and the quality of his/her accommodation.

[marv]

Thanks everyone for your replies, much appreciated.
It is a good school, good local and international reputation, and I don't think it's a scam. But I too find it strange that they would call it a rent allowance, rather than saying housing is provided. As far as I know no additional rent would be required from me (but I'm not certain of that).
I just feel very uncomfortable with the idea of having to live in an apartment and a neighbourhood which I may not like, having no alternatives and being contractually bound.
Those of you who were given housing, did you feel at all similar, or am I being fussy and ungrateful? And how did the housing turn out?
Thanks again!

[wntriscoming]

I've been very pleased with school-selected housing. More than happy. Some people complain about EVERYTHING, though. I remember my first school that provided townhomes. 2 story, 3-bedroom, 2 1/2 bath, Western kitchen...and one of the other new teachers complained about how it was smaller than her home in Minnesota. Good Lord...maybe she should have just stayed there.

I find it a LOT less hassle to just go with what the school gives you. It's awesome going straight from the airport to YOUR place. You don't have to worry about rent each month, finding a place that you like, etc. I do think perhaps you are being a bit fussy. Go in with the attitude that it's going to be fine, it's not a forever home you're living in, and it's FREE. Woo-hoo!

I do find it strange that they give you rent money and then say you have to live in specific housing. Agreed with above posters.

[vandsmith]

it's kind of weird they give you the money to give to a school preferred vendor/landlord.
it could be something to do with local taxes on the landlord's part.
i had something similar done in korea a long time ago, and i thought it was strange at the time also.

anyways, as long as you're not topping up rent, the place is in good order, and
maintenance is done when needed, i'd say loosen up a bit and enjoy it!

btw, is this in china by any chance?

v.

[sid]

You may want to keep US taxes in mind here.
If you are simply given accommodation, you can reasonably claim its "for your employer's convenience" and not have to include it as part of your salary, so no US taxes due.
But if they pay you an allowance, even just as a theory on paper, it is part of your salary and taxable. It could push you over the exclusion amount.

[marv]

Thanks again everyone who has contributed, I appreciate all the insights.
Yes, it appears it is for tax reasons.
I know I need to lighten up...it's just that I've lived in some awful apartments in some awful neighbourhoods abroad (which at least I could leave relatively easily) I'm not keen to repeat that, particularly if I'm tied into being there due to a contract with the school.
I guess I should ask the school for information on the accommodation before dismissing it...or just trust that it'll be ok and go along with it (gulp!)

[PsyGuy]

Its not common at all, the kind of program you describe is more prevalent in lower tier schools. As SJack stated, you either get provided housing or you get a housing allowance (assuming you get housing), if you get an allowance the school may offer you the option of selected properties they have a relationship with, or they may have a relocation agent/service that is familiar with what westerners want.
Some schools because of visa and credit issues may require teachers reside in provided housing their first year or first contract, with the option of an allowance afterwards.

In lower tier schools that provide an allowance but dictate the property, their is usually a very cozy relationship with the property owner, and you really have no recourse, should something go wrong with the apartment or the housing. The school is probably getting a tax bennfit of kickback with the arrangement.

Lastly, the income tax issue is not an issue, your not going to get a W2, or a 1099, your income is whatever you want to report it to be, if you want to include your housing include it if you dont, dont.