Average income in DR?

Your estimated earnings for the different job descriptions are close to what I suggested. However, it has been my observation that many people in the DR are horrible tippers - Europeans and Dominicans alike. Maybe its a cultural thing. I would hate to depend on tips for survival.

I always go by a major bank before I leave the USA and stock up on about $100 or so of $2 bills to use as tips. These seem to be very well appreciated by young and old alike, (especially when given for a $4 meal!) and the nice thing is that even though they are rare, if the people really need the money and want to change them to pesos, they easily can. Most people think that $2's are out of circulation, but they are quite current. Any bank branch can order them from their cash office, and larger branches will have them always in stock.

I did not go to OSU, I just found it on the web.

People frequently ask very subjective questions like "How much does a house cost" or "Where is the best place to live". There is no right answer, other than, "It depends".

Everyone has their own idea of what "living well" means or how much money is "enough". I think there are Dominican CD's paying upwards of 20%. So, with US$240,000 in savings, one could retire down there with a monthly interest income of US$4000/mo. (RD$63,200/mo.).

Jim Hinsch JimHinsch@CSI.COM

I'm told they get that amount in tips (RD$3000-8000/mo) by the cocktail waitresses themselves and the owners who supervise the dividing of the tips each night.

Even those numbers listed represent poor tipping by USA standards. For a Dominican to earn RD$5,000 a month in tips, working six days a week, that's just RD$192/day. In a 6 hour shift from 8pm to 2am, that's RD$32/hr (about US$2). That's a pretty small amount of tip for a cocktail waitress to earn in an hour, yet quite easily done at a busy bar and a great income for unskilled labor. No wonder those jobs in the tourist industry or so coveted.

Jim Hinsch JimHinsch@CSI.COM

Not to pick nits but as a point of interest; I wonder what the real rate of return on those CD's would be compared against the rate of inflation of the Peso?

You have seen the billboards advertising credit cards in the Dominican Republic for 2.98% monthly, over 30% per year, where here credit cards are advertised for that rate annually!

I do agree with you though, I would love to retire quite early to the Dominican Republic, My brother is planning to do that in about 4 years, and he is under 30! (he saves 50% of his income!)You can live off your assets, and if you have some other gig like a small guest house, restaurant, or even something more ambitious, then even better!

The rates are excellent even when considering the inflation rate of the Peso, which has been about 5% annually for the last 5 years over the US$ (from about RD$12.5/US$1 in 1994 to about RD$16/US$1 in 1999).

It would be great if they meant a CD with an interest rate paid at 20% monthly instead of annually, but I doubt it. It is the risk of any investment that needs considering, and the cost of converting back to dollars, should you want your money in US$.

Jim Hinsch JimHinsch@CSI.COM