AMA Income over £500k

[AMAIncomeRelated]

Following the thread on the disadvantages of earning just over £50k, it got me thinking that if some people think that is a huge amount to earn, what do they think of my life.

We live in North London. Husband earns a lot, over £500k most years. We live in a big house, with a huge mortgage, 3 children at private school, 3 dogs, own a ski chalet which is let out as well as for our use. I don't work, I did try a part time job 5 years ago and whilst I loved it, it cause too much stress at home because my husband is used to me doing everything.

We obviously live very comfortably, but also there are lots of things we'd like to do but can't afford the big projects at the moment. My husbands job is very stressful.

AMA. I am absolutely not gloating, I know only too well how fortunate we are.

People are so jealous, how amazing your husband worked so hard at school/uni/which ever path he took that he now earns and incredible wage and has a lovely wife and children. Baffles me people get so worked up over other people’s lives.

id like to ask you….

what shoes you buy for every day wear

All I want to ask is, why do you feel the need to come and brag about your income on here, when you must realise that a lot of MNers are struggling?

You say you still have money stresses at that level of income. At what level of income would those stresses disappear for you ?

He must be in banking or private equity.
Or perhaps a very good private medical consultant.

Do you worry that if he lost his job you'd be up shit creek?

How stable is his job?

What do you think about the appalling levels of poverty in this country, the fact that we have more food banks than MacDonalds, that parents are going hungry to feed their children, that people are rationing heating or do you never think about how many other have to live? I am not asking this in a accusatory way, I am just curious if it bothers you. Personally I find it very concerning, I donate to my local food bank but I wish there was no need for it

Oh FGS. Look this is going to be true of almost anything you post on MN. Should I not post about a new baby because loads of MNers are struggling with infertility? Should I not post asking what to get my mum for mother's day because lots of MNers don't have mothers? Should I not post for wedding advice when a lot of MNers are getting divorced?

Do you ever feel guilty that we live in such an unfair society that some people can't put food on the table and others earn enough in a year to last another person a lifetime?

Get over yourself. It’s not bragging, especially on an anonymous internet forum.

What does your husband do?

I also think you sound very lovely and grounded. I have some really really rich friends (well their parents) and they are all lovely too. Had chores growing up - do your kids have chores?

Are you conscious not to spoil them with things just because you can?

Curious - what do you spend the bonus on?

I’m assuming you rely on part of it for day to day living given you only have £3k left after mortgage and school fees.

Curious to know what the breakdown is of the bonus spend. I assume you invest at least half, leaving £50k after tax? I would assume something like:

• £20k supplement to monthly income, so an extra £1,800 per month to top up the £3k?
• £15 holidays?
• £15k capital projects? (renovations etc - given house must be £2m so maintenance would be about £10k, and you mention needing to do other work too).

Or maybe the flip side of that question is, how much discretionary spending do you each have annually, not including holidays?

I mean I love virtue signalling as much as the next hypocritical person but it’s like the parable of the very rich men in the bible that gave buckets to the Temple v the widow that gave the coin. If you’re rich, you have time so it’s very easy to give

i strikes as those celebs who are utterly vacuous but turn up at various charity events and donate large sums of money (although minuscule to their relative wealth) to prove that they are decent people. Feel like our OP may be doing some back peddling of sorts

I'm actually surprised at what you are spending even on £500K.

You'll lose half of that in tax which comes to £250K net.

School fees (day I assume not boarding) could gobble up £20K per child x 3 = £60K

So out of £190K ish you're funding a huge mortgage and other stuff.

If he's earned that sum for many years you will have good savings, but I guess what you might not have is a good work-life balance.

Do you worry about his health?

I'd love to know what people asking the OP this sort of question expect her to do about it.

I’m only on page two and really enjoying the OP’s responses. Absolutely fascinating. I was mortgage-free at 38 due to very low maintenance lifestyle and a good salary in a northern city. DP and I (Social Worker and teacher) have about the same disposable income as OP’s family each month (due to no mortgage, no school fees etc.).

OP, this has maybe been asked. My work brings me so much purpose and reward to my life. If you could work, what would you like to do?

What does your husband do?

It'll be investment banking or private equity.

Do you have time to enjoy the income? Have long family holidays?
Or is your DH always too busy working to get away?

How often do you get to the ski lodge? Is it a good investment, or an indulgence? How many weeks a year do you manage to ski, given school age children?

Do you have your own pension?

Is your DH planning to take early retirement so that you can enjoy your wealth? Will there be savings or is it all in the mortgage / house / ski lodge?

Don’t need to ask anything as your post tells me everything I need to know.

Do you ever feel guilty that we live in such an unfair society that some people can't put food on the table and others earn enough in a year to last another person a lifetime?

£500K is not going to last anyone a lifetime! You're forgetting inflation.

(beside the point but as you made the comment...)

With that particular income level and split and with the explanation of how the bonus works, I would lay good money on him being an EP in big 4.

There’s quite a lot she can do to campaign for change, especially if not working:

Join https://patrioticmillionaires.uk/

Support https://www.trusselltrust.org/get-involved/campaigns/guarantee-our-essentials/?gad_source=1&gclid=CjwKCAiA3JCvBhA8EiwA4kujZrbvbAAYSpsusLJ77riJg_qErEFjpzspew3Gz-UiHYKmxUDBmdSsUxoCmAMQAvD_BwE&gclsrc=aw.ds

do you worry you have overcommitted ? if it's 14k in hand after mortgage and school fees that's 'just' 3k for bills/ cars/ food etc which isn't miles away from what i have for bills and food on a much much much lower salary. Of course there's the bonus for holidays and treats but what about pensions and savings, house repairs and updates etc ??

also what does 6k mortgage a mth buy u in your area?

@owlsinthedaylight You mean JP Morgan, Goldman Sachs etc?

People slating her husband for working long hours, do they feel the same way about families with a much lower income where one parent is in the military or possibly having to work nights in a factory etc who also don’t get to spend a huge amount of time with their kids but are trying to pay the bills every month

I think I am relieved that there are people out there paying the tax to keep the country going on £500k

£276000 take home

£211k tax and the rest in NI

I'm not surprised you've gone quiet OP with some of these posts. 🙄

I am a rare sort, that can read your household income objectively without experiencing a twinge of envy! I think because I see value in more things than money.

I have learnt from this post, which is interesting, that you can have £14k pm coming in and still manage to end up with a similar disposable income to someone on an average wage in Burnley.

It is quiet easy to get into a wealth trap and as your income increases so do your costs, which can bring more stress and other disadvantages. It is your life choice to live in a high mortgage house and send your children to private education, which is entirely your right and if these things are what you value the most then I'm all for you doing it.

I have found your post insightful.

So I better ask a question...

Your husband pays a lot of tax, do you begrudge it?