Home Country Host Country Base salary 140,000 140,000 Housing allowance 12,000 18,000 (housing is more expensive in host country) Health insurance 15,000 10,000 (insurance is cheaper in host country) Contribution to 401 K 14,000 14,000 Vehicle allowance 10,000 14,000 (vehicle is more expensive in host country) School tuition for children NA 30,000 Yearly return to home country NA 5,000 Income taxes 30% = 42,000 40% = 56,000 Overseas premium NA 15% = 21,000 Total cost of employee 233,000 308,000