In thinking 40k income really isn't a fortune??

[mummymacbeth]

Yes, a thread about a thread kind of. And I am fairly sure it has been done before but still!

I really don't think a forty grand gross income is a fortune. Our income with two kids is currently a bit less than that, though has been that in the fairly recent past. It is - and was - a bit of a struggle. We are not in the south east, we do not have a huge mortgage, expensive cars, kids are at state school and we don't manage to get abroad every year. We are living from month to month. A "fortune" it ain't!! (ref the post about someone wondering whether to have a fourth child)

It's acceptable to us and we have become used to it, but I am aware that most of our friends, family, neighbours and colleagues are getting by and raising families on around half that amount. we don't feel rich, but we do feel fortunate and secure, and able to make long term plans for our family.

it depends where you live doesn't it!

We have a joint income of somewhere in that region and i'd consider us well off.

Havent had a holiday for 3 years though..

melonandpapayaandmango I didn't think you weird at all! just lots of admiration!

well done and good luck to a possible 4th

It kind of depends on what your left with after tax which I think can vary depending n whether the 40k is from one income or two and also on other sources of income. It also varies depending on where you are in the country.

We lived away from our home area on our current income and we had loads of cash spare as it was a cheaper area. Now moved back to our home area - rent is twice as much for a smaller place and cost of living is higher. In the short period when we had our current income at the old place we had spare significantly more than we do now and with hindsight, despite not being frivolous with cash, could have saved more.

That was a long winded way of really saying I think it depends on many factors!

It's really not, we have 60k and we can't afford holidays or anything fancy. And our house is really shit and costs with insurances/council tax/permits - 2k to live in a month.

It's shitter, damper,sluggier and far smaller than the house I lived in as a student 23 years ago.

Oh and there's no public transport to where we work necessitating 2 cars at a cost of 900 per month.

Socknickingpixie, we have more than 2 dc so when I returned to work we weren't a huge amount better off - single salary was 23k, joint salary £40k but now we have childcare costs, no CTC, travel to work costs, no partial council tax benefit and it's harder to eat cheaply and well. That is my personal experience having done the maths.

Also £4k net benefits is >than £4k when comparing it to a gross earned wage.

we don't live anywhere posh or expensive. our flat is an ex council flat. Very lovely inside, but nothing special. We live JUST inside the m25, literally i could see it stood on roof of flat!

Depends what your 'fixed' outgoings are. If we lived somewhere cheaper, we'd have loads of spare cash. As it is, shedloads of our income goes on mortgage/council tax.

mummyMacbeth I could've written your post word for word! Our combined income is around the 40k and it is so frustrating at times because I feel like we should be fairly comfortable on that but the reality is we are not! It's not as if we spend stupidly or buy extravagant things yet by the end of the month it is very rare that we haven't hit the over draft limit!

ohhh i understand the post now. would it be worth having a look on the feed a family for £50 a week thread you may get some very good ideas you can taylor to your family

How much does a single person take home on 40k?

I also meant to say we have no DC at present. If we did have 1 we could probably still live comfortablyish but only with help from family for childcare our rent would also be more expensive as we would eventually have to move to a two bed place so that would add at least another £100 on to our rent a month.

No it's not a huge amount. But what are spending it on!? You must be quite bad with money. Do you have 2 cars?

According to the net salary calculator it is £3,333.33

Depends on your outgoings but we would struggle on that. £800 mortgage, £600 fares, £500 food, £1000 bills.

£1000 on bills that doesnt include your mortgage?

God that is loads more than I thought.

listentotaxman.com/index.php

Shows 40k as a net of £29.7k per year.

I think op must be quite bad with money her mortgage is only 650

I have to say we were financially ok when just dh earned £23k but the CTC made a huge difference (4 dc), we now both work full time and have to pay for some childcare and we do have more cash coming in each month etc but it's certainly not the huge amount more you would expect it to be by almost doubling our earned income!

one salary of £40k is just less than £30k net!
£20k gross is just under £16k net

These threads are daft as it all depends on your outgoings! Our mortgage is £1,400 a month (bought at the peak, it's a house that cost £225k so nothing that humongous!) and nursery fees are £850 a month. That doesn't take into account student loans, or any other utility bills... Our joint salary is about 85k. But we certainly don't love some amazing gold studded life.

I'm not complaining, we have a pretty nice lifestyle. But no free income for holidays etc. But I still think it's impossible to say whether x amount is a lot or not without knowing the whole situation!

But she's said all the things she has and how she doesn't pay a lot for them so that's a fair amount left over. And to not be able to go on holiday with that then you must be spending on other things.

Yep, £1000 roughly i suppose, over the year if you include car ins, Mot, repairs for house (shower replacement £1000, Garden sorted £1000, white goods replacement etc) council tax, phone, water, leccy, gas, and paid off the credit card.

Am not great with money admittedly but not that bad!
One car between us, paid off. Prob costs us less than a grand per year to insure and run tax etc plus petrol of perhaps a hundred to a hundred and fifty a month