To be nosy? (Shameless post)

[StandingLikeATRex]

I'm a long time a lurker and a recent poster.

Myself and DH are young (late 20's) (trainee) professionals. We are still at the very early stage of our careers, (think work experience, cups of tea, applying for placements) he is retraining and I've been working up.
We've been chatting about buying our first home together and how much we can afford, we've realised this is not very much. It's disheartening to know that I may never be able to afford the type of home/life that I want.
We aren't from traditionally professional families (working class) and don't know too many wealthy people.
So....I'm curious to know what sorts of careers people go into (it doesn't have to be you) how long does it take to get to a comfortable salary, what do wealthy people do? And how do they become wealthy? (Haha please don't send me those earn £,000,000's at home links)

Shall I retrain as my job has a ceiling and I will never earn 6 figures, what should I do, what would give me the best chances?

I've also been asked by a family friend to give advice on university courses that lead to good jobs. none. and that got me thinking more about this.

Don't wipe the floor with me please

[Bodicea]

Dh earns close to 6 figures most years. Has a joint ownership in a business. He puts a lot of hours in now and more in the previous years and has definately put the years in. Worked at the business since he graduated. Got a third share in It about three years ago.
Being an employee isn't the way to earn big money.
I am a health professional and earn £40k pro rata. I definately don't recommend being a health professional if you ever want to earn big money as there is a ceiling especially if you want to stay clinical. I have reached my peak earning potential pretty much.
We have a nice family house but def not a big one In the country! You need to earn mega bucks for that really without family help.

[CoolCarrie]

Frankly OP, a lot of mumsnetters live in London, it seems to me, and that is where the big money is, if you are prepared to live in a tiny, hugely overpriced flat, not see each other, work like dogs,be stressed, have to pay huge amounts in travel expenses...I could go on, but you get the picture!
Find something you love and do that, bear in mind, some on mm are full of hot air re money, and don't take it to seriously when they talk about it, those who have it don't need to advertise!

[Phalenopsisgirl]

I live the million pound house 'dream' lifestyle you speak of. I also have lots of friends who are wealthy to mega wealthy, they came by it a variety of ways. Those who have come from absolutely no where are either very entrepreneurial or have come from banking/accounting. One of my wealthiest friends dh is essentially an accountant, it's just he is the top accountant for a very very successful company ( chances are you are a client ) he earns anything from 2-10 million year with bonuses. You have to sell your soul, have no life and work like a dog but you can go from a working class background to the top as many of my friends and acquaintances have proven. They all have one thing in common, they are all real nerdy types, forget the flashy banker stereotype, and replace it with dungeons and dragons, socially awkwards and you get the idea. Another big money maker is construction, this is our sector. Dh has GCSE level education and worked right from the bottom, he now earns 300k a year (so nothing compared to some but we live a good life) we took big risks and the gamble paid off. We were very much boom or bust for a few years, as we literally traded off credit card debt which we were personally responsible for despite our company being limited. If things had gone wrong we would have lost everything but we simply couldn't have traded without that cash flow. Our industry is high turn over with modest margins meaning you have to be able to take 100k bad debts on the chin without missing a step. Being good with money to the extreme is important, cash flow management skills are a must. One thing to remember is that you currently are right at the bottom and it seems a hell of a climb from the bottom but in 10 years you will be amazed how far you have come, so don't loose heart. My advice would be believe, don't try and live the life now as doing so will prevent future success (think of the nerds) and take each year at a time. The best opportunities tend to drop when you aren't looking for them, just be ready to grab it when it comes. Richard Brandon's 'skrew it lets do it is a good read'

[Champagneformyrealfriends]

Agree with a PP-not retail. I've been in retail for years and I have never been wealthy

DH works in the motor trade and warns a reasonable wage (not great, not shit).

We'll never have millions but it doesn't really bother me. My wealthiest friends actually own businesses if I'm honest.

[funfunapple]

My DH and most of our friends earn well over £100k and I know of several who are bringing home £500k+++ We are in London which helps but it's a combination of IT, Law, accountancy, recruitment especially those who have their own companies, banking, hospital consultants who also work privately, management consultancy. All the roles you would expect.

It does come at a price though. In almost every case the partner has a lesser job and picks up all the pieces at home. There are no shared school runs, no division of household chores, weekends are broken up by the partner having to do some work and they're rarely home for bedtime or sports days anything like that. Responsibility for the children lies almost completely with the parent who is at home more. But, the rewards are tremendous, no worry about bills, having nice holidays, a lovely house etc etc. The salary and bonus are just the start, the real advantage is in the package. In a large company it includes generous pension contributions, private health care and all sorts. I know that if my DH died tomorrow his work benefits and pension would mean that he children and I would be fine.

[YelloDraw]

The absolute easiest way to earn £100k is to be an IT contractor for banks.

Or you could have gone or medical school and become a consultant in something where there is a lucrative private sector and done 4 days a week NHS and 2 maybe 2.5 days private. Until you get a good enough reputation to move 100% private.

Law - but only the top law firms in london and that is not an easy route.

Investment banking - but the culture and hours are v tough.

Banks basically have a 3x multiplier so back office functions are well paid and by 35 I'd expect you could be up to £100k if you've pushed hard.

Accountancy with a switch into corporate finance could see you on near enough £100k by 30.

But actually - I think by far the best option is to stay living in Manchester in a professional couple and both bring home £40 to £50k. You'll have a much nicer lifestyle.

[dillyduck]

Accountancy with a switch into corporate finance could see you on near enough £100k by 30.

In London if you originally trained with a top accountancy firm (and not much chance of that from a mediocre university).

[GabbySolis]

Set up your own business if you can. DH is a tradesman and has worked hard for years first for other people and then building his reputation, etc since setting up on his own, but now he isn't far from earning the figures you are aiming for and he now has a good work/life balance. It is stressful at times but less stressful/miserable than working for someone else for less money. We are early 30s. Good luck nothing wrong with having ambition and a goal!

[shovetheholly]

Some thoughts:

• Mumsnet is not the real world. There are a lot of highly paid professionals on here, while poorer and working class posters are significantly underrepresented!
• Housing has changed: there is a great deal of denial of this on this site, but the ratio of house prices to average wages has increased exponentially in the last 40 years. People who bought 20 years ago were not buying in the same market as today! Even more the case for 40 years ago.
• Student debt has changed. Again, something often denied on here.
• Parental help has changed. Many people are being given £££ for housing deposits. It's not a level playing field.
• Inheritance is a significant factor in wealth that is scarcely ever talked about. Many people are now inheriting from 2 generations (grandparents, parents) not just one. This is the most massive leg up for some families.
• A lot of people make their own hell by taking on commitments and debt that are just slightly out of their reach when they don't really need to. Again, these lifestyles can look nice from the outside, but they are actually quite precarious. In some cases, there is a risk/security tradeoff.
• Debt funds a lot of people.
• Wages do tend to increase with experience and age, so you will not always be stuck where you are now!
• After a certain point, there are diminishing returns with money. For most people, no salary increase will ever make as much difference to your life as the first £10k that lifts you from bones-of-your-ass poor to a bit more comfortable. After a certain point, money doesn't really buy you very much more in the way of happiness. People might have a slightly fancier house or car, but they're not necessarily that much happier for it. Silly really, when that money could mean SUCH a difference to another family.

[TwoTwentyGowerRoad]

I took a qualification for a job that has a capped wage and limited chance of other directions too and bitterly regret it. If I could give my younger self advice, I would take a different path completely while I had parental support for my further education. I think your OP is a perfectly sensible enquiry.

[DragonNoodleCake]

Have you considered working for a private Health Care company? I work in an office - at a manufacturing site for one and I spend a lot of time in the Controlled Manufacturing areas, the labs the warehouse etc. I certainly don't sit at my desk much! I don't earn 6 figures but I do earn at the top half of 5 figures and I know I have a damn good salary. I however have worked my butt off for the last 15 years - even having 2 DC. 16 years I earned about 11K.
DH earns just slightly more than me in IT, he doesn't have a degree, left school at 16, did a YTS, went back to college and got his first job in IT loading printers. He studied at nights and also worked like crazy to learn what he needed to. He is now 45 and still working hard.

In some careers you can make more than others, but please be aware regardless of what you choose you are going to have to work very hard, for a long time, therefore YOU must like/love what you do or you are going to become very miserable.
Think about what you like and what you are good at and go from there.

[plutoisnotaplanet]

Morning!

I'm 25 and also live up north, i feel your pain!

However:

I graduated at 21
saved like an absolute demon by living at home and bought my first house at 23 whilst earning £16k a year (god bloody bless northern house prices!). It's in the country, has lovely views and suits us!

I then:
Got promoted
Got promoted again
Did the house up

I'm now on £26k a year which feels like a fortune, can afford to live comfortably and can save and afford holidays. No where near a 6 figure salary but a very comfortable life none the less :)

We have no debt at all bar a mortgage and student loan, have never been in overdrafts and dont owe anyone anything.

The house has increased in value by £40k since we did it up and it only cost us £5k to do, so we'll be selling that and buying somewhere bigger in the next couple of years. We'll do the same thing again, do the place up ad sell at (hopefully) a profit.

I work in digital marketing, there's no ceiling but because I'm not in London opportunities are limited. If I can hit £40k by the time I retire I'll be happy :)

I have a roof, enough money so we don't struggle, no debt, a car and enough money to save. We are incredibly, incredibly lucky.

Perspective, OP.

[shovetheholly]

That's a lovely post pluto. Best of luck to you and your family.

[KateAdiesEarrings]

I think you need to work out what you actually want. If the goal is a big house in the country then work in London (law/accountancy/media) save for years then relocate to the North of England or Scotland where you can get a big house in the country for much less money.
If the goal is to have a fabulous lifestyle whilst working then go overseas preferably a post that provides free or subsidised accommodation. We have friends in Africa and the UAE who work in education, international development, for airlines or/and oil companies.
Sometimes, the perks outweigh the salary iyswim. When I worked in the media 20 years ago, my salary was about average but the perks brought the package up to much higher because I never paid for make-up; lunches; books; CDs; holidays, etc
I'd also buy a property as early as you can.

[Verbena37]

op do you work in the public sector?
If yes, could you look for jobs like yours in the private sector?
You say you want to work in healthcare but unless you're a consultant, or working in management, I'm not sure they're ever big bucks over 100k are they?

Our family are comfortably well off but that isn't due to me working. I left my job to have the children and haven't really gone back other than for a few years recently but in a service sector job with low pay.
DH worked his way up in the forces, then left to go to a civvie company and within a few years is on a lot more than he was when he left the forces. The forces paid well for his job and we were able to buy a small house, which ew sold later on, lived in married quarters and saved enough to buy a nice four bed where we live now.

We have been extremely lucky in that he earns enough that we didn't need to worry about me working but I do think how hard it must be for a single person on a medium salary to afford their own house.

Could you and your partner look at buying a shared ownership property or moving to an area with lower house prices.
I live in a very expensive town but there is currently a lovely family three bed on for only £187000. Why, as a couple, without kids, do you need a big four bed to begin with. Why not start smaller so youre on the ladder then look at upping your career prospects later?

[plutoisnotaplanet]

shovetheholly thanks lovely :)

[Gwenhwyfar]

"I'm sorry but you are being ridiculous. You don't select a course at university because it will mean loadsa money. Good grief. "

Poppy, I did what interested me. I'm now nearly 40 and will probably never own a flat or house as I can't earn enough (after many years I could probably just about cover the deposit, but could never have done so in my twenties). I do jobs that I could have done if I'd left school at 16 and I'd have more money if I'd done that to. I started working at 22 so that's potentially 6 years of lost income.

Of course I don't regret my education because of its intrinsic value, but it's not great to be on a low income all your life.

[Tobebythesea]

My DH earns over £100k in banking but he hardly ever sees me, our baby DD (10 minutes a day) or our house because of the long long hours. He leaves at 7am and gets in no earlier than 9pm, sometimes works weekends and holidays. it depends on the compromises, sacrifices and quality of life that you want. Money is important but it really isn't everything. The grass is not always greener.

[MammouthTask]

The other question of course is do you actually need a £250k house (let alone a 1m one).
Appreciate you are probably 'down south' and I'm 'up North' but our house doesn't cost £250k. It's a nice house and we both are working as professionals with wages that way below the £100k a year.

The issue you have here is about expectations.
You can either say that having an house that is worth £1m is your goal and then work your arse off for it, move overseas, set up your own business etc etc. With the lifestyle that goes with it (think stress, few holidays because no time to take time off, constantly thinking about work, the next level etc etc - which is what my parents did).
Or you can review your expectations and think about what you REALLY want/need. And that will be very different.
Eg: someoone I know had the aim to being financially independant (I've retired) by thr age of 35yo. We choose the quality of life (less stress, great outdoors, time with the dcs etc) over a flashy car, big house etc...

In any case, though what I would start with is reducing your outgoings now, whatever the wage you have, and start saving. You are both working, no children, you should be able to put some money aside which will be a good start in any situation.

[Phalenopsisgirl]

Reading this has made me think, house prices are so different from place to place so the 500k London salaries may sound mega but actually don'y go far with cost of living. I'm south but not London 250k would only buy a tiny little starter home here. Being prepared to move about to make money in one place for a while and then move back up north to buy the dream home is another route to consider.

[MammouthTask]

And what shovetheholly said too.

My comment was obviously in the case you have no parental support at all to start buying something (whihc I assume is your case)

[frenchielala]

If you are interested in working in the legal sector but can't get a training contract I would suggest looking at BD roles - a bit less stress than being a fee earner but ability to make a decent wage. In London BD mangers can make up to 80k and there are plenty of higher bands than manager. You've got to be good though as it is a competitive market but there are also lots of jobs available. You then could also get an in with these firms and once you are in and have made a good impression it is easier to apply to be a paralegal or trainee. Same goes for any professional services firm but law probs pays the best - but probs has the longest hours and the hardest partners to please.

[PinkPlastic]

DH says that the easiest money to earn is in the city working in brokering. You just need to be nice, tolerable, have a likeable character and have a few funny stories up your sleeve. DH knows Essex lads who just scraped through A levels who are driving around in Bentleys. They didn't come from professional families but they worked hard and knew how to chase the good and EASY money. Far too many academics in the city are working hard rather than smart. There is eay money out there go get it.

Alternatively get a job as a secretary/ PA for a hedge fund or small trading firm that is small workforce big money. DH's secretary was given a 6 figure bonus almost every Christmas. Beats working as a secretary for a Medical centre, she says!

[2kids2dogsnosense]

TRex
what do wealthy people do?

They grind the hapless poor beneath their heels.

And how do they become wealthy?

They inherit.

[AgainPlease]

Very very few people get very rich off a salary. If you're thinking of earnings per year being in excess of £500k type thing you won't find it from a job.

My mother bought and sold oil wells in Central Europe and DH is an entrepreneur.

But realistically if you're looking for a bigger salary move to London. On the whole it pays better wages (although rents and house prices are truly eye watering)