To wonder what a ‘good wage’ is?

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Not really an AIBU but something I’ve been pondering on, and posting here for traffic and opinions.

I often see people mentioning that someone earns ‘a good wage’ or indeed a high wage, but what that means in practice is clearly dependent on many factors, not least the area someone lives in but also their dependents.

I work in an industry where I talk to people on very high wages all the time about their jobs, which I think skews my view of what’s normal. I was involved in a discussion in another forum recently where it was mentioned the average salary at the moment is £27,000. Of course this is a mean average, skewed by a few very high salaries, and most people are below that. But many people were commenting that they didn’t know anyone who earned that much and had never earned anywhere near that themselves.

I’ve also been fascinated by this calculator from the Institute of Fiscal Studies that shows where households fall in the stratification of the country www.ifs.org.uk/wheredoyoufitin/
I think a lot of people would be surprised by it. When DP and I each earned the average salary (no kids) we were still in the top 25/30% ish of households which seems mad, and we live in an expensive area.

I’m wondering - what do you think a ‘good wage’ is, and at one point does something become a high wage?

Bottom 6%
I can't say I'm particularly surprised.
With me on maternity leave and my DH hours keep being dropped because they don't want to pay more than they have to and only being on minimum wage. Not good.

I'd say a good wage is £50k up

But people choose to take jobs that are only in London. You can be a lawyer in many cities.

There's an alternative to earning six figures but not being able to buy a house in London. People may earn less in other cities but they can buy family houses much easier.

Half of all tax payers earn less than £19,000 whilst that is correct, it does include pensioners who account for 18% of the population and students in part-time roles.

Given the nature of MN, a more relevant figure would be the average family income with 2 adults working, which in 2011 was £40k, according to the BBC www.bbc.co.uk/news/magazine-15197860

We would be much better off outside London in another city as wages are lower but still good plus we have equity. However by doing this we loose our support network as both DH & I are born & bred Londoners (even though we met at Uni) & our parents are only 15 mins drive from each other. It’s super handy having my mum around the corner & my siblings close particularly with young kids. It’s certainly a dilemma.

Supermum I live in Yorkshire and had no friends or family nearby. My children are 9 years apart so didn't get hit with a massive 2 kids in nursery bill. Childcare was before and after school for 1 and nursery 3 days pw for the other.

My basic salary is a few thousand above the average, but I end up earning about double the average due to things like shift allowance, overtime etc. I'd say I'm on a good wage for the area I live in. But I think it's still hard to quantify a "good wage" in itself, I'd probably agree with others in that if you're unavoidable costs of living are covered comfortably and you have a decent ammount left over, relative to your lifestyle, that is a good wage.

I earn 21k and I feel like it's a good wage as I have a lot of disposable income.

However, I have no children and I would not be able to pay for childcare out of that.

I pay for childcare out of my 13k salary. Out of 13k I pay 3k childcare, 1k tax and national insurance and me and my daughter live in the remainder. I can't afford lots of things most people can, but we manage fine and have no debts.

Interesting that when this thread has discussed unearned income it's focused on benefits not other sources of unearned income like rent and shares income...

Wow I’m abs stunned by all these figures. Me and dh are on approx 16k each and live a comfortable lifestyle. 2 cars, decent phones, a uk hol and one abroad (most years). We don’t have debt and we live quite comfortably tbh. Don’t know how some posters can’t understand how people can live under 20k (someone said 40k lol) we don’t even qualify for tax credits anymore so that must mean there is a huge lot of people under our earnings.

Fuck! Using that calculator we earn more than 97% of the population

Looneytune253 which part of the country are you in though? Do you rent or did you buy when things were cheap and have a lower mortgage. Where I am in Surrey a household income of £32,000 would be difficult for a family, especially renting. A bog standard 2/3 bed is minimum £1250 and council tax £145... it adds up quickly

Neverender told you it would be surprising!

London is where the wages are at unfortunately an average family costs £500-£800k-£1m A 100k salary is great but easily spent in London

What gets me is people talking about taxing the rich more and more. My wife and I have good jobs and pay thousands in tax every month and just see it wasted.

The government needs to control waste at so many levels.

Our local council spends millions every year on translation services for example. Why not employ these language specialists instead of contracting out these roles at double the cost?

Fuck! Using that calculator we earn more than 97% of the population blush

Did you put in your gross or net incomes? Because I think a lot of people on this thread have put in their pre-tax income, but that isn't what it asks for!

40 %tax is a kicker!

Jeremey and Diane want another 5% so they can keep the fires burning our money.

I agree with LordWalter. Shedloads of tax paid here but I (and universal services like NHS and education not used because they aren't adequate in our opinion). It isn't just a matter of better services is a matter of providing them when needed. For example CAMHS is available only 9-5, as is physio, phlebotomy, etc. Children and adults are at work and the regular weekly slits have negative impacts on other areas of people's lives which is not holistic but has to be becayse the staff only work 9-5.

A 100k salary is great but easily spent in London

Yet funnily enough many many families manage on a a heck of a lot less.

We are on a tight budget (for us) as dh is starting his own business and our income will be very patchy. This means no excessive spending, we have cut way back, just covering bills, no holidays, eating vegan 3 nights a week. We live in the South East with a sizeable mortgage.

Our annual minimal living costs are £72,000 after tax. It's quite a shockingly high amount.

You know your struggling when you have to go vegan 3 nights a week

@midnightmooch sorry but you have no idea what a tight budget if that is your income. No idea at all.

Me and hubby both work part time I earn 14.5 he earns about 14. We manage fine with a mortgage a one year old and cat.

People with these massive wages talking about living frugally make me laugh 🙄

Ok the reason half the families in London are surviving on much less is because they are either having their housing subsidised (like my part time nurse colleague), they bought years ago, they live in overcrowded situations, they live in Council blocks with slightly lower rent.

If you're a £60k family and not entitled to housing benefit at least half your salary is going in rent and council tax.

Like others, I think it depends so much on your outgoings. Between DH and I we earn over 70k, but don’t feel well off as we have a fairly sizeable mortgage, pay out for full time childcare, have legacy debts from years ago that we are still servicing. It also depends as a household on the balance of earned income, as I earn the lions share of that 70k, which means that I’m taxed more than if DH and I were both on 35k. Take off pension payments, student loan etc and it isn’t as much as it might look in paper. I look at jobs with salaries of 60k+ and see them as being High salaries. I reckon if I can get to that point someday then I’ll feel quite well off