USTDC

Photo of USTDC courtesy of Les Duffin
Showing posts with label Money. Show all posts
Showing posts with label Money. Show all posts

Saturday, February 20, 2010

Bill Kling Family Arrival

MAY 1973:

I arrived on the island as an Army E-5/SP5 with my young wife and six month old son.  As some background, I was a communications type person and while previously serving in Vietnam I worked with those in Taiwan  keeping communications circuits working between Vietnam, the Philippines, Japan and Hawaii.  Of course these people told me that if possible I should get assigned to Taipei.  As luck would have it, after serving at Ft. Monmouth, New Jersey, for 18 months I got orders for Stratcom Taiwan.

So I left from SEA-TAC airport via a military charter (Flying Tiger) and after many stops along the way was met at Sung Shan airport (the only airport) by my sponsor SSG Peredo.  He took us a short ride to the Formosa Guest House where we would live for the next 75 days.

To get to the Formosa GH, you would exit the East Compound via the back entrance, cross the street and make a left at the first alley (there was a furniture store at that spot), walk about 50 feet and there it was.  The first few nights we had trouble sleeping as we had to get used to the smells and noises of Taipei.  The GH owners were a family with two young daughters 11 & 12 and a mother-in-law.  THE WU FAMILY.  They ran the GH which consisted of three floors and perhaps as many as six apartments.  These people became friends and we are still in contact with the daughters today.

It seemed we ate many meals at the cafeteria located on the West Compound, and many meals at the 63 Club and a few at the FASD Dining Hall on the East Compound.  As Taiwan "rookies" we didn't eat on the town often.  It seemed we were always walking to the East Compound, as that was where the 7-11 type store, the housing office, bank, PMO, education center, and almost everything I needed for the family were located.  The weather could make that seem like a long walk sometimes, especially with an infant. 

I remember the adjustment my wife had to make.  This was her first overseas assignment and she had to learn how the military worked while being away from friends and family with a new baby.  She was great and thanks to the family at the GH, she learned her away around Taipei, how and where to shop, how to look for a place to live (we ended up in the old BOT housing in Tien Mou), speak basic Chinese, and meet other new families. She really did a lot of things to help me, as I worked on Grass Mountain, probably a 30-45 drive via government van from the Compound area.

A few other things I remember, in no specific order, were:
  • learning what water to drink and where to go to get it.  
  • Learning about the different units in Tapei.
  • Tthe role of the Air Force, Navy, and Army.
  • How to live while waiting for our household goods on the money alloted by the government.  We had to provide receipts for everything to the Army every 10 days for every expense you can think of, including the cost of the GH, meals, transportation, laundry, etc.  I didn't realize what a benefit this was at the time!  Just imagine living almost free for 75 days today while still getting your regular pay.
  • Getting on the BOT housing list.  If I wanted a New BOT 2 bedroom house, the waiting list was 9 months with the cost being about 3600NT a month, or an Old BOT house with no waiting list for 2300NT a month.  The decision was easy for a new family so as soon as our furniture arrived we moved into the Old BOT housing.  Again, looking back that was sooo cheap with the exchange rate of 38NT to the dollar combined with the housing allowance I recedived it was a good deal.  However, I did need to get a house guard, yard boy, amah, but all in all a sweet situation.  As a point of reference private housing in the Tien Mou area was much more expensive, plus BOT housing was close to the area where the movie theater, snack bar,bowling alley, and pool were located.

I was lucky enough enough to serve my tour, return the States and come back to Taipei a year later.

Friday, November 14, 2008

Currency, Finance and Banking

I've written previously about financial matters in Taiwan and this is the chapter from The Taiwan Report (1973) on that subject.

I honestly don't recall the "Savings Deposit Program" described here, but that 10% return rate looks pretty good by today's standards. Of course the inflation rate in 1973 was 6.16% and in 1974 it was 11.03%, so those participating in this program would have just about broken even.

Sunday, October 26, 2008

Big Bucks

A friend recently sent me this link to historical military pay charts at military.com. I was a little surprised to find that when I enlisted in the Air Force back in 1962, they paid me the princely sum of $78.00 per month. By the time I arrived in Taipei in 1973 as a technical sergeant (E6), I was all the way up to an astounding $577.80 per month plus allowances!

Check out the charts if you'd like to see what you were earning during your time in Taipei.

Monday, August 4, 2008

Currency

When I was at USTDC, the exchange rate for US dollars to New Taiwan (NT) dollars was forty to one. I think today's rate is about thirty to one. The local currency at that time was as shown above.

If you were buying anything on base, you used US dollars. If you bought anything off-base, you were supposed to use only NT, though some merchants would offer you a better deal on some items if you agreed to pay in US dollars...or so I heard anyway.
I remember cashing my paycheck and asking for a stack of NT notes to pay my rent at the hostel every month, with a little bit extra for routine expenses like the houseboy, taxis and local shopping. It was just one of those rituals that most everyone did on payday.

American military people stationed around the world today still go through the same process every month, except that there's direct-deposit and now they have ATMs that spit out both US and local currencies.

Thursday, January 10, 2008

Bus Stop

Here's another one from Jim Sartor:

One rainy day, as usual, the local bus company had a repair spot on the street in front of the Taiwanese police station at the top of Road One in Tien Mu. After doing a brake job on one of their busses, one of their 12 year old mechanics took the bus down our street to test the brake job.

He jumped on the brakes, the bus went 90 degrees left, off the road and into our master bedroom, narrowly missing our yard boy. When we got home, the Taiwanese Police were there and a very nice Taiwanese Police Sergeant told us that the bus company was owned, not by a Taiwanese but by a Chinese man and if we wanted our house repaired as well as compensation for the destroyed furniture in the bedroom we shouldn't let the bus company take the bus until AFTER we have been paid.

Sure enough, the next day, a big black American sedan pulled up and out got a very officious Chinese and his driver/translator who informed us that it was his bus and a tow truck was on the way to get it. Remembering what the Taiwanese Police sergeant said, we told the bus company owner that they could have their bus ONLY after we had been paid for our damages. Much yelling, faces reddening and translations later, the bus company owner demanded his bus. I calmly told him that I was going to the Taiwanese Police station to get their help and, unless and until we were paid, we were going to keep their bus exactly where it was and, if necessary, I was going to paint it green and make a flower planter out of it. This was translated to the Chinese man and I thought he was going to have a heart attack.

At about this time, the Taipei newspaper crew showed up and started taking pictures of the bus in our house and the Chinese bus owner immediately agreed to pay anything we wanted and we agreed and said he could have his bus when we got paid. The next day the same Chinese gentlemen showed up, cash in hand, followed by his tow truck.

Ah yes, just another Taipei tale. One must have a sense of humor to last for 4 years in Taipei.

Thursday, November 29, 2007

Selling In Taiwan

Bill Kling was assigned to an Army unit in Taipei for two separate two-year tours, and he has graciously offered to share some of his memories of what it was like to be a service member in Taipei during those years. Today he writes about the common (and legal) practice of selling certain items to the local citizens:

I was fortunate enough to serve two separate tours on Taiwan as an American Serviceman. As such, I had the ability to actually live well during my two, two-year tours and then sell many items at a good profit when I left the island.

I seem to remember that as an American serving in Taiwan we were allowed to bring into country, or purchase via the PX, items that Taiwanese could not normally obtain, such as American cars, washers & dryers, stoves, refrigerators, air conditioners, dehumidifiers, etc.

It is often expensive for service personnel to move because they often have to buy or replace many of the items listed above. However, I was able to buy new appliances, use them for my two year tour and then sell them for a nice profit. One example is a Whirlpool in-window air conditioner that cost $220. Upon leaving the country in 1975, I was able to sell it for $450. This is quite a deal when you consider it was then two years old and well used because of the sub-tropical climate.

The reason I could do that was because Taiwan had a very large luxury tax on such items. While I don’t know the exact percentage, I was led to believe it was over 100% and there was a quota on the number of units that could be imported into the country. That, combined with Taiwan becoming an Asia Tiger as their economy was really booming, meant that there was a big demand but very little supply.

The way the process worked (again, to the best of my recollection) was that shortly after an American serviceman moved into a Taiwan house or apartment, he would be approached by people who wanted to “chop” these items. This means that they would make a deal to buy your goods upon your departure, give you a deposit (10%), get you to sign a contract and then when you were ready to leave, they magically appeared, paid the balance owed and took possession of the goods.

While this was a great thing for the Americans, sometimes it got to be annoying as there were many of these chop people. Where I lived in the Tien Mu area in Bank of Taiwan housing, they used to go from house to house in this almost American type neighborhood. Some were very devious and even if you told them you already had a deal they would try to pay you a premium to get you to sell to them anyway. You had to be careful and luckily for me I was introduced to a very ethical and fair businessman the week I arrived on the island by my military sponsor. I was lucky and tried to help other new people as they arrived, but still many people had issues when they left the country due to disputes, sometimes real and sometimes imagined.

It was required to fill out an official CHOP form from your personnel office which included the terms, item description, and serial number of each item. When you processed out of Taiwan, all of those documents had to be submitted to the Provost Marshal’s Office (PMO) for review.

The hardest thing to dispose of was a vehicle. You had to return your license plates, registration, and have it inspected by the PMO prior to turning the vehicle over to the Taiwanese. I remember very clearly that during my second tour in 1977 the vehicle which got the best return would be a black or silver Ford Granada sedan. I was able to get $12,000 for my car in 1979 and it cost about $3,800 new in 1977. Another key piece of the process was getting approval to deposit large amounts of money in your Bank of America account. Since there was a black market and all transactions were paid in New Taiwan Dollars (NT) it was necessary to get approval to deposit these monies from your personnel office and the PMO. Once again you needed to take your completed contracts with the approvals to the bank for review before they accepted and converted your NT dollars to US dollars.

I think the opportunity I had to serve in Taiwan, doing a job I enjoyed, learning and soaking up a different culture, completing my college education, and making life-long friends, made my tours in Taiwan some of the most important and memorable periods of my life.