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what proportion of your income goes on childcare?

(73 Posts)
elliott Fri 04-Feb-05 11:13:07

ok another nosey thread following the recent debates about affordability of childcare. So, what percentage of your total household income (after tax but before you spend any, including both partners) goes on childcare?

For us its around 15% of our combined income (we have two kids in part-time nursery, one is getting the govnt educational grant). As a proportion of the lowest earner's income, its nearly 40%.

Am I the only one doesn't particularly begrudge what I spend on childcare? It would certainly cost more for me or dh to stay home.

MunchedTooManyMarsLady Fri 04-Feb-05 11:14:22

income.... what a lovely thought!

TracyK Fri 04-Feb-05 11:16:10

I think we get £3500 a month nett of which I get £1000 and spend £425 on 5 mornings a week for ds.
Blooming council tax is the killer!

oooggs Fri 04-Feb-05 11:16:58

17.5% of my income

5% of joint income

DS part time 17 hours of nursery so I work 16hrs per week

foxinsocks Fri 04-Feb-05 11:17:09

Are you in London elliott? I'm not at work now but when I was around 80% of my after tax income went on childcare. Considering I'm an accountant/auditor, I always wondered how others managed!

lockets Fri 04-Feb-05 11:17:30

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foxinsocks Fri 04-Feb-05 11:22:43

I never begrudged paying it but what did piss me off was people who were earning more but decided to employ nannies without paying their NI/tax and thus ended up paying around £500 a month less than us.

lockets Fri 04-Feb-05 11:24:13

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foxinsocks Fri 04-Feb-05 11:26:17

yes, to be honest, it still annoys me today when I hear that people do it (and it's so widespread) even though I'm now a SAHM

elliott Fri 04-Feb-05 11:26:42

no I'm not in London, of course it would be higher if we were.

lockets Fri 04-Feb-05 11:27:50

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PicadillyCircus Fri 04-Feb-05 11:28:08

Think ours is about 25% of total net income; about 50% of my net income. DS goes to nursery 7 days a fortnight (and I work that much too ) and he's 14 months.

I do not want to work out the % for when number 2 appears in September [scared face emoticon]

soapbox Fri 04-Feb-05 11:28:11

13% of mine (which is lower)

about 5% of total.

But I have p/t nanny/housekeeper so only pay around 2/3 full time wages on average.

pabla Fri 04-Feb-05 11:31:05

I gave up work when ds 1 was born , 3.6 years ago. However, the nursery my daughter used to attend is now £800 per month for a full time place. As I now have two preschoolers, that would be £1600 a month plus a childminder/after school club for my daughter. Assuming my salary wouldn't have gone up much in the last few years, I would guess that would come to about 100% of my take-home pay. And I had a fairly well-paid job (well I used to think so!). So it doesn't make any sense from a financial pov for me to go back to work for the forseeable future. I live outside London but in the SE by the way.

secur Fri 04-Feb-05 11:32:54

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PicadillyCircus Fri 04-Feb-05 11:34:48

I'm in the SE and outside London as well.

DS2/DD would get sibling discount at nursery I think.

And also DS will go less when I am on maternity leave ehich is now better pay than it was when I had him.

But still cannot contemplate the % for two children.

soapbox Fri 04-Feb-05 11:36:31

foxinsocks - I'm an accountant too - so have always paid tax/ni rather than get thrown out of the institute if I was found to be defrauding the IR.

I had one arsey friend who insisted on not paying her nannies tax and NI despite pointing out to her the risk she was running.

I had to try very hard not to laugh when she was hit with a back bill for £18k plus a fine of £6k on top! Her nanny didn't know she hadn't been paying it and walked out on her to boot!!!

lockets Fri 04-Feb-05 11:37:50

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Chandra Fri 04-Feb-05 11:38:42

lots... we pay way less for the mortgage than for the day care.

elliott Fri 04-Feb-05 11:41:40

well, so do we chandra, but then we haven't got a big mortgage...
secur you must like your job

PicadillyCircus Fri 04-Feb-05 11:42:15

I'm an accountant as well - wonder why we're all congregating here?

Beansmum Fri 04-Feb-05 11:49:13

I get a childcare grant which pays for 80% of my nursery fees, but what's left over is still 24% of my income. Without the grant it would be 120%

CountessDracula Fri 04-Feb-05 11:51:11

16% of joint income. We have a f/t live out nanny. Dd is starting at nursery but we are keeping our nanny p/t soon so will go down to 10% then.

We are in London and have a big mortgage!

Tiggus Fri 04-Feb-05 12:05:18

Nanny gross pay 20% of DH's gross pay. I am finishing off a research project for 0 salary, then hoping to set up my own biz. So I will need to earn a hefty sum to keep nanny f/t.

We have 2 reasonable size mortagages, which in total are about 150% of nanny's gross pay.

Tiggus Fri 04-Feb-05 12:06:44

CAn one of you accountants tell us what the average is?

Oh, and is it worth it??!!!

"It" being in work and paying someone else to look after your kids ......

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