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AIBU?

Share your dilemmas and get honest opinions from other Mumsnetters.

£85k per year

207 replies

pondfresh · 19/12/2018 21:28

In the course of a conversation with my cousin, she disclosed that she earns £85k per year but said she does not consider herself especially well off. She lives in the south east but not London, has young dc. She said she has no problem paying bills etc and they have a family holiday each year but she does not consider that they are wealthy. He earns less than this as he is a teacher. AIBU to wonder how well off someone is actually is on £85k and what would be classed as wealthy.

OP posts:
canigetaliein · 20/12/2018 11:31

It’s not wealthy, that’s Euro millions to me. However it should be comfortable but it depends on her circumstances. Someone earning half but who got on the property ladder 15 yrs ago in London will likely be much “richer”!

YerAWizardHarry · 20/12/2018 11:31

Mumsnet is getting absolutely fucking ridiculous. The people on these posts don't know they're alive! Yes mortgage and childcare can be expensive but don't act like you're skint and having to go to food banks to survive on an £85k salary Hmm

StarlightIntheNight · 20/12/2018 11:32

3WildOnes , yes of course. I understand what you are saying. Earning 100k a year is A LOT of money. But in London 100k does not take you far. Esp if you want to buy a house in a nice area etc. Also, childcare costs, dc extra activities etc. These things all add up. For example, we spend several hundred pounds a term for my DD music class! Gymnastic lessons are also another big expense. She also does cooking and pottery. My ds does tennis, football and dance. Sure, we do not have to choose to pay for these things. But we do, so money goes fast. However, we are also responsible and own our house, have a good pot of savings etc. We spend within our means.

AngeloMysterioso · 20/12/2018 11:33

It’s more than me and my DH put together and we live/work in London.

Ta1kinpeace · 20/12/2018 11:35

starlight
But in London £100k does not take you far.
Bollocks.
Half of all Londoners earn less than £26,000 a year

AnnabelleLecter · 20/12/2018 11:37

85k is a good salary and you should feel the benefits of it. However people have all sorts of attitudes to money that if you are a spend the lot type of person who lives in the moment it's going to seem a lot different to the investor or saver types.
A real life example is when me and my siblings inherited from grandparents.
Dsis- paid off their mortgage and topped up their savings (save)
Dbro- spent on holidays, new cars, furniture etc (spend)
We bought a holiday cottage with ours, which we have used loads, has gone up in value and now we are letting it out to provide an income in early retirement(Invest)
We all had the same amount.

GrabEmByThePatriarchy · 20/12/2018 11:37

The stat we really need is household income for a family of comparable size, so any top up benefits, partner income etc, after housing costs paid.

canigetaliein · 20/12/2018 11:40

As GrabEmByThePatriarchy says I think a lot of it is to do with perception & comparing to your parents lifestyles. I’m in my 30s & when younger would think 85k was a great salery (& it is) the problem is it doesn’t afford you the lifestyle that would you expect of that income if that makes sense. Lots of private schools now give bursaries to people earning similar as it’s become so prohibitive.

Ta1kinpeace · 20/12/2018 11:40

Patriarchy
Housing costs are a CHOICE
Top up benefits are only for those on less than £26k

Anybody on over £80,000 is earning more than 90% of the country
if they feel broke, they should try it for real some time Hmm

KnightlyMyMan · 20/12/2018 11:40

I can never get a clear picture of what is considered wealthy/middle/low household income on here!

People refer to the categories constantly but there is SUCH a fluctuation in what people mean.

I’ve heard ‘high income’ meaning £50k and £500K PA household- obviously very different!

DP and I (childless 26 and 31- living in the North) earn approx £100k a year. I consider us well off but that’ll no doubt change when we have children xx

StarlightIntheNight · 20/12/2018 11:41

Yea, but they don't send their kids to private schools, have cleaners several times a week etc. The poster was asking about what is considered wealthy or a good salary. Yes, 85k is a GREAT salary. But london is FRIGGIN expensive and if you pay for all the extras etc...your money goes fast.

I know how to live on 20k a year....that was my salary for my first job in London. I spent 500 a month on a flat share living with others, was single w no kids, no dog, cleaner paid once a week (by 3 of us living together). So yes, I know plenty of people live in London earning less and survive.

But this post is not the survival thread...its the living wealthy discussion thread ;)

I would not have been able to buy our current house on a 20k a year salary.....in fact, I had no savings when I earned that much.

I know there are ways to live and survive on small salaries (getting baby and children clothes from friends, budgeting food, sending kids to state schools, minimum holidays, no cleaner etc). But this thread is discussing salaries to have a wealthy lifestyle etc.

Private schools in our area cost 16-28K a year per child....so earning 100k a year, would not cover that for two children after tax....when you also have to pay for living and a mortgage.

puzzledlady · 20/12/2018 11:43

Nope - 85k not wealthy especially in London.

Kazzyhoward · 20/12/2018 11:45

But in London 100k does not take you far.

Your choice to live in the most expensive part of the UK and your choice as to what you spend your money on.

GrabEmByThePatriarchy · 20/12/2018 11:46

Housing costs are a CHOICE

Yes and no. They are to an extent, in that in theory any given individual can leave the south east and try their luck elsewhere, but the reality is that someone who is under about 40 cannot actually choose to live somewhere that housing isn't much more expensive in real terms than it would've been a generation ago. And people doing that isn't a societal solution anyway, much as it might work for a given individual or family.

Top up benefits are only for those on less than £26k

No, that's completely wrong I'm afraid.

For example, the threshold for childcare tax credits if you have 3 kids is 60k. And you can very definitely be receiving housing benefit in London if you are on more than 26k as a household.

I think you may be confusing thresholds per se with the benefits cap? but there are many circumstances in which it does not apply.

canigetaliein · 20/12/2018 11:47

Where I live a 3 bed terrace with postage stamp garden & no parking starts at 1.2m so you really need a combined income of 200k which is high. Good knows how much you need to earn to afford a 5 bed detached in London these days.

BroomstickOfLove · 20/12/2018 11:49

According to this thread, my household counts as "wealthy" because we have have enough money to live on without working, but our biggest household income had been roughly half of the £85k figure mentioned. We've just always lived frugally, so have low outgoings and lots of savings.

BorisBogtrotter · 20/12/2018 11:51

"my household counts as "wealthy" because we have have enough money to live on without working"

if you can live on unearned income, you are wealthy.

Readysteadygoat · 20/12/2018 11:52

cuppy surely no one buys a £650k house with a £600k mortgage? Most people would have to buy a flat or smaller house and put the equity towards the next purchase

I think even in the SE £650k for 3 beds is a lot, maybe in central Brighton? Ours was £420k this summer though to be fair we had to move further away from the mainline station

I agree with others £85k is comfortable but not wealthy. But I guess the definitions are subjective

puffyisgood · 20/12/2018 11:53

@canigetaliein

"[god] knows how much you need to earn to afford a 5 bed detached in London these days."

I suppose detached housing isn't really much of a thing within even fairly central London.

GrabEmByThePatriarchy · 20/12/2018 11:55

In fact the threshold for childcare tax credits is 65k not 60k as I wrongly stated above. Apologies for misleading anyone.

www.moneyadviceservice.org.uk/en/articles/child-tax-credit

Obviously the plan is for this benefit to be phased out for UC, but at the moment there are still people claiming it.

Sarahjconnor · 20/12/2018 11:57

This reply has been deleted

Message withdrawn at poster's request.

BroomstickOfLove · 20/12/2018 11:59

"if you can live on unearned income, you are wealthy."

Hurrah! I am wealthy :-)

In which case, on an 85k a year income for just one person, the person in the OP could probably be wealthy too if she wanted ti.

allthgoodusernamesaretaken · 20/12/2018 11:59

I think it’s insulting to people who manage on significantly less to not acknowledge that you are incredibly well off on 100k a year and bloody lucky

Agree with this.

Nenic · 20/12/2018 12:02

No way is it wealthy

canigetaliein · 20/12/2018 12:03

😃 puffyisgood meant more in zone 2 & 3 & when I saw detached obvs you could reach out your window & touch your neighbours wall.

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