Who are the squeezed middle?

[Thisisanewnamename]

I know the squeezed middle is a bit of a contentious term here on MN but as it’s common parlance, let just roll with it for the thread.

In terms of household income who are the squeezed middle? Obviously there’s variation here for location, children, mortgage/ rent. Given that the average uk mortgage is around £750 a month. What is the salary range (before tax) for the squeezed middle. DH and I have an average life I’d say (average mortgage, average usage bills wise, average family size you know) but I think we’re probably a bit above average in terms of household income and yet we can barely make money stretch. I think maybe households that earn under £100k?

am I the squeezed middle? I think I must be, household income is definitely under £100k. Is there a definition of the squeezed middle?

But where do you live? That makes all the difference.

Do you think the working class don’t work their “butts off”?

The median disposable household income after direct taxation is about £32k (before housing costs I think?)

net income will vary depending if one/two earners etc

Invisim
I am amazed you are able to fund your lifestyle on a household income of £50k, particularly as you mention yearly holidays and house renovations.

What is your secret?

Fuck me, I earn £25K and feel 'OK'.
Mortgage and all bills paid. No savings but we went on holiday abroad earlier this year, kids have school shoes and we don't visit a food bank!

I do shop at waitrose but wouldn't even risk burning the daily mail because of the toxic fumes.

I would put myself in this bracket- although not in the UK. Single parent, on paper and by government definition earning well enough that I don't qualify for any tax credit, but constantly on the edge regarding bills. Not destitute and able to pay bills, but no buffer or extra support. One 'big bill' away from not being able to pay for basics.

The single child free person who earns under 50k is the lost squeezed group of people out of all groups. Nevee low enough to qualify for benefits, always subsiding every other group and are the forgotten people. Never a single tax break for us ever in any budget for decades. It'll always be something to help families, something to help the poor.

We just get a measly 25% of council tax which even then works out we pay more per person than a 2 adult person household

Considering only 5% earn over 80k I don't think wages in that bracket can be classed as middling

I think nearly all of that 5% are on MN though! and don't think of it as a high salary

Yes, it's cynical, and it's not just people on PIP or benefits that get it, it's ft workers that earn low wages (and for some jobs that are relied upon by society) that get it too - not that I'm slating people on benefits or PIP.
It's comments like this

It's essentially living similar to the working class whilst working your butt off.

Which is a throwaway comment but clues you in to how some of the middle class see themselves as so much more hardworking than working class, and that often goes hand in hand with the attitude that low earners and 'the poor' are so because of some fundamental failings and therefore deserve their lot and should take some responsibility, have better aspirations, work harder etc etc, yet have firmly rooted beliefs that they work so much harder and therefore it is then unfair that they become squeezed when price increases happen and something should be done, they shouldn't have to cut back, they shouldn't have to cut their cloth accordingly because they're better and deserve better automatically.

Working class people also work their butt off, though their butts aren't considered as important or as worthy as the squeezed middle, while the working class aren't just being squeezed, they're being crushed.

That sort of "not living beyond your means" is not possible in the South East and even big cities elsewhere. I live in Durham City and people with that £200k budget would struggle to get anything more than a small 2.5 bed semi, needing a fair bit of work, in a good street.

This thread demonstrates the North South divide

I live in the south east and monthly mortgage payments here are easily 4 times what my equivalent friends and family pay in Lincolnshire and Belfast. Yet we’re paid the same salaries. It’s really difficult to live comfortably in the south if you are renting or purchased your home in the last decade. My f&f elsewhere live like kings compared to us!

And people in the North want levelling up… are you mad?? You do not want what we have in the south east, it’s shit unless you’re on megabucks or we’re lucky enough to buy a home years ago (or with bank of mum and dad).

because 45k household income is low, not the middle.

Like what? You can’t ‘personal finance’ your way out of astronomical mortgage rates.

From the responses on this thread squeezed middle seems to mean “not feeling quite as rich as we should despite a relatively high income”.

So, people who are earning well over the average but somehow still can’t quite afford the lifestyle they think should be commensurate with that income.

£45k household income with one earner is £34k take hike (more with 2 tax allowances.) Thars slightly more than the £32k median so it’s almost EXACTLY a middle income.

I’d say it’s exactly in that 50-60k and above range, especially if there’s one earner at home. Once you earn above 60k you get zero child benefit even if there’s no other household income. Two working parents earning 49,999 would qualify while also paying far less in tax. So you end up having one decent earner on paper but in reality it doesn’t go far.
we are relatively fortunate (although I wouldn’t consider us we off particularly) but there’s a definite area of income where tax and other relief becomes punitive way before the additional income over that level improves overall quality of life.

You having less spare cash doesn't make you "squeezed". To me, squeezed is when you have little to no money left after your essential outgoings and you aren't entitled to any help.

It's ridiculous to suggest that someone with a £125k income is anywhere near fucking squeezed. Good grief. You might have less spare money but unless you've taken on a mortgage you can't afford, you should be able to absorb price hikes. You might not want to absorb them, but you likely can.

SallyLovesCheese you mentioned student loans so assuming at least one of you is a graduate, I’d expect that your household should be earning much more unless you’re on your own or have a partner not working. Are you sure you’re not entitled to any top-ups from universal credit? There have been posters with a much higher household income getting some support while paying for childcare.

While you disagree with people with higher incomes saying they’re squeezed middle, many have said their basic living costs are much higher than yours- a family could easily be paying £1400 a month for a 4 day place in the south east compared to your £420 which seems unusually cheap. That extra money post tax could easily equate to an extra gross salary of £16-18k needed just to pay nursery.

I'd say when you start to lose any benefits including dc benefit, I have to pay for my cpd, my professional courses and membership. These used to be paid for as the norm, not so much now, I paid for most of my exams, I studied for hours and worked extremely hard to earn an ok salary, not incredible but ok. I'm in an expensive area that has become so expensive now that it's unlikely I'll be able to stay here long term. That's depressing as only a few years back this wasn't the case.

people seem to think that you can only feel the pinch if you have zero disposable income left but as shit as that must be, if you're used to spending x amount and everything's gone up so you can no longer afford the quality of life you had last year, you still feel it.
In The U.K. it's almost like you can only moan if you have nothing.
You do still feel the pinch even if you have disposable income. Any cut to your current lifestyle will make you unhappy. If you never had a nice life to begin with doesn't mean it's not nice for those who have aimed to keep a career going and getting literally nothing but childcare costs/mortgage/shopping to pay for out of it. and it's why we're losing people who were working here too. Many of my friends have gone back to their cheaper countries as the bite hits.

I don't think there's no bracket for the squeezed middle. There's too many factors, location, mortgage, how many children etc.

I do know in my area the ones struggling are the ones who are working and don't qualify for help with things like school uniform grants and top up benefits because they are just over the threshold but not earning anywhere near £50k.

This .

Squeezed middle is not having any income left , you are basically hand to mouth yet earn more than criteria for benefits

If you’re feeling the squeeze on 55k without childcare costs or s a bigger mortgage, can you see that you can be squeezed on 75k if you have one or two children in childcare and a higher than average mortgage?

Some people have no option but to have a higher than average mortgage because of location, or because they have a very low deposit or previous debt which means they don’t get access to the best rates.

We are cutting our budgets down - all of the posters on here with that kind of wage have described the cuts they are making, and that’s why they also feel squeezed.

Some people have fixed costs that can’t be cut, so if someone has a higher mortgage, debt, childcare or transport costs dependent on living in a more expensive area of the country, there’s only so much they can budget their way out of it.

I consider squeezed to be going from having disposable income, to just getting by paying for the essentials.

The huge cuts to middle earners disposable income will have a huge effect on the economy as a whole, and will ultimately hit low wage earners too.

We shouldn’t be fighting with each other, but should be standing with each other to demand better from our government.

One thing that really pisses me off and makes things even harder for 'the squeezed middle'. A couple can earn £49,999 per year, therefore have a household income of £99,998 and not have to pay back a penny of child benefit. But if you only have a single income in your household, and that person earns over 60,000, you are not entitled to any.