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Anyone out there good with working out finances whilst on mat leave?

(12 Posts)
sophied1983 Tue 29-Mar-16 10:26:49

I could do with some help...

socktastic Tue 29-Mar-16 11:03:22

We started saving more almost immediately. I'm quite fortunate with my work, I get the first 3 months at full salary, 6 months smp then the last 3 months I do t get anything.
Think about what extravagances can go, what stuff can be sold on eBay and what you can save in the supermarkets.
Do you know what your entitlements will be and what sort of bills or direct debits you will need to account for?

Sanch1 Tue 29-Mar-16 11:06:15

What do you need help with? I'm pretty good, have a nice little spreadsheet and have saved 8K for my maternity leave coming up.

sophied1983 Tue 29-Mar-16 11:13:51

I know what I'll be earning on a week-by-week basis, but can't seem to work out how much I'll actually take home each month (after deductions), so could do with some help on the tax side of things. Happy to share figures.

Plus do things like student loan still come out when you're only earning SMP?

StringTheory Tue 29-Mar-16 11:15:19

I worked out what I would get each week (the first 6 weeks was 90%, the next 11 weeks was 50%, then the rest was SMP). I then added it all together and divided it by 39 giving me an average week. We then stuck to this amount throughout so instead of having more at the beginning and less at the end it was steady throughout (the first few weeks bumped up the end if that makes sense?!?). This did mean keeping a spreadsheet tracking it and being really savvy when checking accounts etc. We were actually better off whilst i was mat leave than I was when I went back to work due to childcare etc so bear that in mind and try and save if you can.

Allyoucaneat Tue 29-Mar-16 11:18:51

Work out what you need to cover essential outgoings. Plus a budget for 'spending money' for coffee, clothes etc. Work out how much of this can be covered from DH salary, you need to save the remaining amount plus a small buffer for emergencies?

sophied1983 Tue 29-Mar-16 11:34:47

Already got a budget and track outgoings etc. I'm struggling more with what I'll actually take home each month after deductions. And yep, already got back to work / childcare covered in budget... not as bad as I thought thank goodness!

Blackpoollassy Tue 29-Mar-16 12:37:35

http://listentotaxman.com/m/

This is quite ago of site for working out rough amounts.

Sanch1 Wed 30-Mar-16 12:01:18

Its a bit hard to know in terms of take home as it depends on how much you earn in general, what part of the tax year you'll go on maternity leave etc. I just worked on a basis of 80% gross and it was near enough. I got a small rebate towards the end of the tax year when I was off with DD1 as I guess they worked out I'd earn less over the year overall than normal. Student loan is paid on a certain percentage of your wage over a certain gross amount, I get more deducted when I get a bonus, so I guess if youre under the threshold you wont pay it, I cant remember from last time what happened with mine. I think I still paid it but it was less as I still earned over the threshold for the year with my good maternity package.

Heirhelp Wed 30-Mar-16 13:22:13

Your hr department should be able to give you a predicted pay which you can then use an online website to calculate tax, pensions and student loans.

Don't forget to check if you are eligible for child benefit.

Pagetta Thu 31-Mar-16 23:46:49

I had a year off last time and am doing the same this time.
Both times have calculated my income over the 12 months then budgeted it so I have a monthly 'income'. You can pretty much forget tax - if like me you are on 6 wks at 90% then statutory any tax you pay first 6 weeks you will get back in subsequent pay packs!
Student loan only comes out if you're over the threshold (about 15k depending on when you were at uni) but last time I only paid it first 2 pay packets.
Also if no one earning over 50k in household you'll get child benefit (about 20 a week)
I am taking 11 mnths then 4 weeks hols, so I also factor in an extra months full pay at the end.
Add this up and divide by 12 and ta-da.
Plot this against yous monthly budget chart and see where it leaves you.
Last time had tiny flat so we were fine, this time just got big mortgage so we have saved a bit to supplement so we're not complete paupers!
I list out all the main outgoings (mortgage bills gym phone etc) then see what is left. Then we budget this weekey over each month.
Hope that helps!
As someone else said your HR should be able to help forecast what you'll actually take home xx

Julieb85 Fri 01-Apr-16 10:56:45

You can't take any deductions from SMP so your student loan and any other salary sacrifice can be taken from the amount. I'm lucky my employer make these up (only perk in the Mat leave policy!). I can't say for the first 6 weeks without knowing what you earn, but when you are on the statutory amount you'll typically not be earning enough to pay tax or NI - although dependant on your year to date earning. If you are taxed it'll likely result in a rebate.

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