Dear CD's, a friend of our has been offered a job and has to choose the mode of currency for his salary, CAD or USD? CAD is almost equal to USD and is growing stronger too but later? Any opinion, what one should do? Do you forsee CAD going more stronger?
Thanks................Jona
Dear Jonav,
I guess whatever currency your friend chooses, the company may prefer to calculate salary on the current exchange rate of the time, when the payment is being made. No party will like to play gamble with exchange rates.
This is from my personnel experience.
Ben
Where is your friend going to be living?
In Canada or the US?
If in Canada, then getting paid in CAD is more natural because of the ease of banking.
Most types of regular banking is available for CAD accounts only.
For example, pre-authorized payments for credit cards and utilities.
No-fee accounts are another example.
If he/she decided to get paid in USD, he/she will most likely have to set-up a regular transfer from the USD A/C to a CAD A/C anyway.
Quote:
Originally posted by jonav
Dear CD's, a friend of our has been offered a job and has to choose the mode of currency for his salary, CAD or USD? CAD is almost equal to USD and is growing stronger too but later? Any opinion, what one should do? Do you forsee CAD going more stronger?
Thanks................Jona
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"Mah deah, there is much more money to be made in the destruction of civilization than in building it up."
-- Rhett Butler in "Gone with the Wind"
I completely agree with Ben BUT still person can win/lose a huge amount during the course of period ..from 1996 I was drawing my salary in US$ and partially in Euro ( as per exchange rate ) ..when I landed in canada CAD was weak so I changed all my US$ in CAD ( 1= 0.60) ..I left my Euro as it is ..
We all know now how Euro has grown in last 5 years ..
So best of luck in what ever you decide ..
Ashwani Goel
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Growing Old Is Mandatory ..Growing UP is Optional
Location: carl sagan's universe
Posted on: 20-08-07 12:47:17
Quote:
Originally posted by AshwaniG
I completely agree with Ben BUT still person can win/lose a huge amount during the course of period ..from 1996 I was drawing my salary in US$ and partially in Euro ( as per exchange rate ) ..when I landed in canada CAD was weak so I changed all my US$ in CAD ( 1= 0.60) ..I left my Euro as it is ..
We all know now how Euro has grown in last 5 years ..
So best of luck in what ever you decide ..
Ashwani Goel
Hi Ashwani,
Just for my edification, how were you drawing a salary in Euro in 1996? The Euro just came into being in Jan 1999. I was doing a stint in Europe right up to 1998 and was still being paid in the currency of the country I was in.
Quote:
Originally posted by jonav
Dear CD's, a friend of our has been offered a job and has to choose the mode of currency for his salary, CAD or USD? CAD is almost equal to USD and is growing stronger too but later? Any opinion, what one should do? Do you forsee CAD going more stronger?
Thanks................Jona
Having lived and worked in 5 countries and done a lot of forex trading, the best thing to do is to receive salary in the currency of the country you stay in - unless that country's currency is either pegged to, or closely follows another major currency like USD.
However, if one has an option, he should take a part of his salary - mostly equal to the NET NET savings (after regular expenses and additional but not regular expenses like travelling/vacationing) in an international currency. And by the way, Canada may not like to hear it, but whatever said and done, CAD is still not a truely international currency.
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Chandresh
Advice is free – lessons I charge for!!
Thanks Guys,
Chandresh I think I'll tell him to go for USD. We were also two minded for CAD.
Pratickm, the friend is just being hired by a Canadian co. but in South America where we reside, the co. offers two options to pay either in CAD or in USD, (only for expatriate employees and not for local staff). The salaries are paid after deducting the local taxes (way to high taxes) but not in the local currency.
Thanks again...............Jona
