Reasons for R2A - few cases ...

I am pretty sure many of the folks thinking about R2I have this question on mind - how successful other R2Is have been. Want to jot few lines on my exposure on this area, which might be of help.

I have seen many cases where people who did R2I have settled down, kids have grown up and have returned to US for education, even parents have moved back. Also, there are cases where only kids have gone outside and parents are content in India, where they got a chance to spend good amount of time with their families and parents.

Here are few of the cases where R2I folks did R2A (or R2 any other country) in a shorter amount of time...

Case #1: Funds for kids education in US: As you might be already aware, kids primary education in cities like Bangalore is expensive (anywhere from 1.5 - 4 lakhs/year). Once they are out of 10+2, there is a lots of competition for undergraduate courses (like Engg/Medicine - however, there are lots of options as well). Getting to IIT is out of reach for many kids due to severe level of competition (and reservation seats). If you are thinking of undergraduate studies for kids in US(or other countries), it can be quite expensive- think of 30-40K $/year in USCs. Hence, you may need $$$ earnings (or enough $$$ savings) instead of rupee earnings!. This was the reason one of the families went back after few years so that they have enough funds for kids undergraduate education.

Case #2: Work atmosphere: In a second case, a family did R2A due to uncomfortable work situation. As you might guess, the work environment is not as professional as in western countries here in India. So, if you are getting to a new job, you may have to deal with work dynamics (and lots of political environment, which offsets many people). In this case, family decided to go back rather than fight with the environment in a new company.

Case #3: Kid went for undergraduate studies: Kid got into a very good school in US and parents followed him, kid being the only one. 

Case #4: Kid started in 9th grade and only one spouse moved to India: In this case, the kid was pretty grown up. Dad had to stay back due to work opportunities. They had a home back in US. I am sure kid missed the US friends and atmosphere, having been grown up there. And, it was easy to move back - R2I was more like a vacation!

I am sure once folks do R2A, they stop reading R2I blogs. However, if you one of the R2A cases and your 'heart is still here' (!), please add few lines as comment to reflect on why you did R2A. That will help other readers to make their choices.

R2I Budget Spreadsheet ...

In the previous blog entry, I mentioned about doing a budget when you are evaluating R2I to see how much funds you have, how much you will earn over the years and save, how much you will need over the years. 

If you are planning to return after doing few years of R2I, it is critical that you need this evaluation to see whether you will have enough $$ when you return overseas again. Without doing this exercise, you might get caught off guard only to realize that you don't have enough funds to get back - staying in a country like US can be expensive unless you have enough funds to support you.

Following is a spreadsheet that I am providing as a sample for you do such calculation. Please try and provide any feedback to improve this sheet for others.

https://docs.google.com/spreadsheets/d/1qGAhSa8VcetBa9I3cH9b-_9vvubMTr1mH30-nWHueIc/edit?usp=sharing

First sheet tracks US funds in $
Second sheet tracks India funds in Rs.
Third sheet tracks any real estate investment you have, in Rs.
Fourth sheet shows your overall long term/short term positions.

Fifth sheet is the key sheet - which calculates your needs over years + earnings. You will have total needs at a certain point of time using this method.

R2I thoughts in 2016 ...

One of the readers asked this question, which made me to write after a long time. Those comments indeed help to spend some time again on the blog :-)

Anyway, looking back in 2016 - not many things have changed from my perspective. On the +ve side, I still feel this was the right decision to move back and stay here. On the -ve side, you see progress in India but at a very slow pace, which doesn't give a good feeling about doing a permanent R2I. In places like Bangalore, you can see lakes are dying, pollution/traffic is increasing, roads are getting worse, trash everywhere and you don't see not much happening from the government side - they are still debating about expensive watches! Unfortunately, these are the things on which you don't have much control, as I had mentioned in one of the previous posts. 

Hence, as I mentioned in one of the earlier posts, don't burn the bridges - do R2I once you have the option of returning if R2I doesn't suit you or some factors change in India. But, at the same time, don't take the approach of keeping legs in 2 boats during R2I - I have seen many R2I case failing and people returning in a year or so.

About the first point - multiple factors here. One thing you need to consider is whether you are doing R2I permanently or have thoughts of getting back after few years once kids have grown up. I personally think giving a change for kids to go back outside of India is a good thing - they need to see and learn in the education system outside India. (by the way, whoever said Indian education system is the best is totally wrong, IMO, at least as compared to US system. That is a topic by itself). If have concrete idea of staying here and kids settling down in India, you are normally ok since you will have enough funds to take care of yourself and kids. However, if you with the second option, you need to consider your funding needs - kids UG/Graduate education is US is a costly affair and note that you are not earning in $$ anymore in India!.

Also, if you are thinking of going back when kids are out of India, consider the funding needs for yourself. If you return late, you need to consider the scenario that you may not be able to earn anymore. Best option is to do a spreadsheet - your $$ savings, your Indian earnings/savings over however years you are going to stay here, your Indian needs, your $ needs if you go back (including kids education, home etc). You will get a fair idea on whether you can comfortably return if you want, after few years.

Coming to current feelings about R2I, most of the things remain same as earlier on the personal side - being close to the family is a great feeling (feel happy that I can do a quick travel and meet them, without months of prep), whether is just great - you can walk outside anytime without worrying about whether, kids are doing great in school and love the school etc. However, the things you can't do much about like roads, lack of good parks, pollution, driving in the city are still a pain. Don't expect a great work environment since Indian work culture is still improving (and politics, which is not surprising, since we are born politicians!).

Another key thing is work flexibility - if your workplace demands a strict schedule, that can be troublesome. Commute can be long in the peak hours with no predictability. Hence, adhering to a strict work schedule can cause lots of pressure. 

Also to consider - the education options in India. This is something you should have good understanding of, before you move. That is also a topic by itself - if I see some interest in that area, will do a new post.

About 'keeping legs in 2 boats' I mentioned earlier - these are things like one person moving back here with kids, having all attachments active back there so that you can return at any time etc. It takes time to get used to India again with the pain points I mentioned earlier. If it is easy to go back, you will pick that option too early, without giving enough time for R2I to work out. I have seen many of these cases.

One thing for sure - we spent already close to 5 years already after R2I. That really went fast !!!

Hope this post helps many ...