Average incomes

[flabbergastedfinances]

Found out that the average family income is around £30,000 a year and I can not believe it. I don't know a single family on anywhere near this low, lowest is possibly 70k mark between two teachers but majority have two earners pulling in 40+ each or one higher earner on 80/90k+

How on earth is 30,000 even possible in light of minimum wage and benefits/tax credits etc? What is even more shocking is that I used the where do you fit in calculator and we are apparently in top 98% of families in the uk. No chance, absolutely no chance.

We might have a high ish mortgage (still only £1000 so not outrageous) and have slipped into bad spending habits (Uber's, eating lunch out every day, new clothes now and then) but we are hardly excessive. We can't afford to run two cars, can't afford foreign holidays, can't afford the posher shops like Boden or northface new and yet this chart tells me we have it better than nearly everyone else in the country?! What am I missing?!

We have a child in childcare a few days a week, so that and mortgage are biggest expenses but combined that's only £1500 and I see everyone else buying £300 coats, spending 1000s on holidays, children in private schools and I am utterly stumped.

How can the average family income be £30,000? Which families are surviving on that? None I know that's for sure and I just refuse to believe that's an actual reality

Superbly put @Ted27

Our household income is about £30K. I earn £17.5K and my husband about £13K because he's self employed in a seasonal job

We get zero benefits apart from £82.80 a month child benefit

We're not rich and never will be but we're not destitute! I literally only know one couple earning £70K, everyone else is like us

@Ted27

Really good post. Especially the parts about choices.

This thread is disgusting. My husband and I get by on £32k a year. We don't have a mortgage because we can't afford one. We don't have a second vehicle. We've never had a family holiday abroad and only one in the UK which was a caravan holiday years ago. But we have a roof over our heads and we aren't starving. It's hard because we live in an expensive town in the south but we wouldn't want to move far from here because all our family are here. But there are people worse off than us. Most of our income is from my husband who is a tyre fitter. I only earn a small amount because I'm trying to work around school hours because we can't afford childcare either. You don't get tax credits etc on a household income over about £27-28k.

Honestly, I have a roof over my head. A family and husband that loves me. Two beautiful healthy children. None of us are cold or starving or ill. So I still consider us very lucky.

@DanceItOut if it helps you get tax credits towards childcare up to a salary of £50,000ish with 2 kids if you're both working 16 hours a week minimum. So many people think the cut off TC is much lower, but for childcare it is quite a bit higher (only mentioning in the hope it's helpful). I'm not sure how UC works.

i am sorry but this person doesn't step outside their front door, u know there is still many people who cant even afford to get mortgage in their 40s ? i personally know 2 people from one family who has been made redundant exactly year apart ,n they r in mid 50s , i know people who even need to get loans to survive from month to month, i also know people who are wealthy and don't give a crap about others.so 30k is pretty standard even doing ok in circles i know

You can be rich in money but piss poor in happiness, harping on about how much you've got will not change that

I think all you've done is prove you don't have a clue! Do you not watch the news at all?
You are lucky, other people are luckier, even more other people are close to destitute!

I wish I could have £30k a year, it would make my life so much better. Between us currently we are on £22k combined and neither of us would be able to take on more work to increase that.

I've not had a weeks holiday in over 10 years and I can't afford to replace my wheelchair so I'm stuck in the house permanently. Everyone I know is struggling like me.

People tend to associate with other people of similar backgrounds. So it makes sense that you never see people like me. But we exist and we struggle. I'm better off than a lot of other people I know but it's still really hard.

You can go on the Institute for Fiscal Studies website and it has a ‘Where do you fit in?’ calculator that shows where you are in the disposable income distribution.

I have a lower household income than £30,000. I am a carer and run an ironing service. I am only allowed to earn £100 a week. But I would rather be me than someone who has to leave the house early in the morning and drive in traffic congestion constantly stressed. I mean, I do get stressed but couldn’t cope with being part of the rat race. I would rather do without the luxuries.

My pension is £5800 ….

This thread is disgusting

It isn't but it does highlight the fact that some really don't have a clue about the rest of the country.

It's important to have these discussions, Op has already said it's opened her eyes and had the good grace to admit she wasn't very informed.

Wow.

I know plenty of people on that amount and mire that are on even less.

I don’t know what you think you were going to achieve from this post except bad feeling... right before Christmas too when some at at their lowest.

You need a slap of reality, I would heavily suggest volunteering at a good bank - your eyes will be opened - massively!

I get tax credits and my gross salary is more than 30k. But I'm a single parent and have more than 2 children. Tax credit claim was put in before the move to Universal Credit so I can stay on TV unless my circumstances change. I don't think as a new claimant id qualify for UC. My children are also too old to cop for the 3rd child cut off.
I would point out tho as a single parent I pay more tax than a couple on 15k each with 2 tax allowances and don't have the same flexibility with childcare as a couple where one can do evenings/weekends so the other can cover

Top 98% Is this a joke or a mistake?

Wow I'm on 14k a year, single mum to 2 boys - that's every single penny. No Christmases, no holidays. 30k would be me feeling like I'd made it.

Used to have a family income of 60k - OH decent job, me working part time. Now I can't work around the childcare, can't afford to run a car, school runs on foot miles away in rain and snow, and caring for my 3yr old who needs operations and specialist care as he recovers at home and cannot walk. Eldest has panic attacks and anxiety since his dad walked out, as well as migraines and vomiting and is asked to come home from school every week (being referred to paediatrics AND CAHMS also). Both hospitals in different parts of the country. Train fairs leave me begging for bread and loo roll from my parents.

What were you struggling on again OP?

how come you're not entitled to any benefits @Straycatstrut? There seems to be a big disparity between what people get?

Op obviously has no idea what minimum wage is and at what level of income benefits kick in. Her post really illustrates the fact that research has shown that people usually under estimate how wealthy they are, compared to every one else. This woman simply can’t believe the fact that she is wealthier than 99% of the population. This attitude is carried through into charitable giving - poorer people generally give a higher percentage of their income, and tax payments- again, poorer people tend to pay a larger proportion of their total income in tax. Because the wealthy simply don’t believe they are wealthy! This also allows them to ignore the real poverty in our country and feeds the narrative that people who struggle to make ends meet just aren’t managing their money properly.

i earn roughly 11,000 a year with a top up of 11,000 roughly from universal credit about 700 from each, each month as a single parent and that works out at 22,000 a year so deeply below the threashold and i private rent a 2 bed house and feed my child and work and drive, you have definitely been living in your own bubble :L

WTAF? There's loads of us on this and less! How lovely it must be to be so "genuinely" shocked so many of the country are paupers!

Are you for real?

People often say things like if they were on 30K they would feel rich. But this is not always true. Eg some such as police will pay 5K tax 4K nat insurance and 5K pension. Also they would likely get no top ups and have to contribute to child university etc and no childcare help. Yet if they got 21K they might get tax credits and pay less tax and help towards uni for kids. I have been in both situations and had same overall income. So it is not as simple as those on 30K are loaded.

NO way are you top 98% Op, but your thread is daft.