My software company is looking into possibly being in a contract with a company that is in Uganda. As per contract, if we are the software vendor, they must have someone from our company to support them on site in Uganda.

I have never dealt with overseas work, especially in hazardous areas. Can anyone give me a rough estimate of what I should expect/demand as a pay increase to work over there? Basically a yearly percentage increase is what I'm looking for.

As the company I work for has never dealt with a situation like this, they are not very sure on what to ask for in their side of the contract as far as cost increase on the client to cover the employee salary of who moves there.

I'm guessing I'm not wrong to expect housing and transportation to be a covered cost. I do know that the client will be providing security. I really just need to know what a realistic expectation for pay increase is.

Hourly: 40% plus housing, one quarterly ticket to US, monthly ticket local, plus any overtime.

Salaried: $30 per diem and a promise that the company "is really grateful and will remember this"

Luckily, I'm in a situation where the company I work for is small enough to not play that game. They won't even consider being part of the contract unless they have employees that want to do it. The wanting to do it depends on what the pay increase will be. The pay increase depends on what the company puts in the contract for expense, and that depends on what they think the pay increase should be, and none of us know what the pay increase should be. And we are all salaried.

And assurances that the business tax filings will be done correctly and not by some fly by night local. The Ugandan Revenue Authority will threaten to take passports and keep people in country if there is unpaid tax.

A lot of companies also include individual tax filings for the US and the foreign country as part of the compensation package.

In parts of Africa I have seen

Local Uplift (Hazard Pay) up to 70%
Local Housing
Local Security & Driver
Local Cook & Maid (depends on country)
Expat Taxes & Local Taxes
2 weeks R&R in addition to vacation
2 tickets home a year
Medical plan with evacuation if necessary
Plan for expat shelter in place or evacuation if SHTF on country

Zemira said:

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In parts of Africa I have seen

Local Uplift (Hazard Pay) up to 70%
Local Housing
Local Security & Driver
Local Cook & Maid (depends on country)
Expat Taxes & Local Taxes
2 weeks R&R in addition to vacation
2 tickets home a year
Medical plan with evacuation if necessary
Plan for expat shelter in place or evacuation if SHTF on country

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Add private school cost if there are kids coming also.
Hazard pay should be tax assisted (100% take home to employee), as well as any other benefits specific to the oversea assignment.

Zemira said:

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In parts of Africa I have seen

Local Uplift (Hazard Pay) up to 70%
Local Housing
Local Security & Driver
Local Cook & Maid (depends on country)
Expat Taxes & Local Taxes
2 weeks R&R in addition to vacation
2 tickets home a year
Medical plan with evacuation if necessary
Plan for expat shelter in place or evacuation if SHTF on country

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Would agree that this is pretty typical for expat work in tougher parts of Middle East/North Africa/Sub Saharan Africa.

Our risk premiums for salary are slightly lower (think like 40-50%) for some of the higher risk areas like Iraq, Angola, DRC, etc, but overall package is pretty commensurate with what I have seen offered. Private school for dependents is the one other that was pointed out above that I would throw in there.

Most expats I know didn't take children to Africa as any schools in country were not on par with the US. Most left spouse & kids in US for duration.

Also make sure you get a set time period ex: 3 years. I know several expats who had a 3 year assignment and their company couldn't find a replacement so their overseas assignment lasted 4-5 years. You don't want to live full time in Africa for that long without time back in the US for a year or two.

Most people I know that did Africa assignments long term rotated 28/28 with someone else.

I can't comment on the financial package, but as someone who lived in Uganda and Kenya extensively I will say location in the country makes an extreme difference in cost, security, and overall family enjoyment. Certain parts of both countries, you can put your kids in international schools that are easily as good as anything you find in the states (though think $$$$ for tuition). In the bigger cities you can live a very similar lifestyle to your current living, but the cost would be significantly higher. In the rural areas you will find things much harder to replicate but the costs will be much cheaper and you will save quite a bit. These areas are the toughest stretch for most Americans and usually where I see people flame out, however younger kids tend to do very well "out in the sticks."

security is a very fluctuating issue that really depends on region. Most places you will want to hire overnight guard for your home mainly to prevent vandalism and petty burglary. Personal violence is rare for Americans (though I have witnessed it first hand). It is also very much expected to have some sort of house help. This is good for the local economy and also prevents you from spending all day washing clothes and dishes. Someone mentioned above, be sure to enlist a CPA that is familiar with taxation issues in your specific country. The rules can get fairly crazy and you do not want to sort it out yourself.

Not sure what your family status is, but if the entire family is not 100% open to the idea you shouldn't even consider the financial issues. Culture shock happens to everyone and if someone is already negative I rarely see them be successful in Africa. stay at home moms often take the worst hits as they are so isolated.

However if financial and family issue are sorted out it is one of the best adventures you can have. You will have experiences that very few can understand and your world view will explode. I highly recommend it assuming all other variables go well.

Strongly recommend a two week "survey trip" before committing. That at least gives you a taste of what will come