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

I think it depends on area and your job

It's a insensitive post but I can imagine you can still struggle even with that salary.

Our household income increased 3 times over 10 years, the only difference is now we dont go overdraft every month. The more you earn, the more you spend!

We still can't afford overseas holidays...

Wow! I’m a single parent, my base salary is decent (43k) but I work part time because it’s the only way I can juggle childcare and all the school stuff etc without help-so I earn just over 30k, over the threshold for tax credits etc. Its not easy and I have to be careful but we don’t go cold or hungry!

I really dont understand why someone adds a post like this!!! If you dont understand google or educate yourself. Why would you post on mumsnet, are you that shallow that the sole thing you can post is query others net income........sad!!!

I was quite proud of my job and income but after reading the original post, I feel really depressed. Thanks a lot.

Hardly think being a nurse is" low level". Takes 3 years of studying hard and they may just save your life! How rude

@Crunched Exactly , a nurse who is a healthcare professional with a 3 year degree under their belt

I think it’s all been addressed above, but just to reiterate- just because you don’t know the people doesn’t mean it doesn’t exist you absolute terrifyingly ignorant human. What on earth do you think cleaners or hospital porters earn? Street cleaners? Dustman? Part time lolly pop ladies? Teaching assistants? Carer’s? Grow up, spare a thought for those relying on food banks and just going without. You have appalled me.

Precisely, I'm a nurse with a first class honours degree from a redbrick.
I earn 49K, as lots of us do outside of the shitshow that is the current NHS.

Single parent to 2 children. Income of £13k. No holidays, no car. No debts.

Is it me or is this all getting a bit ‘Four Yorkshiremen’ now?

I don't think the op was rude. I think she or he was asking s genuine question and was seeking help in understanding.

And for what it's worth, our household income has gone up from 24k per annum to 31k per annum

Depending on where you live in the uk can determine job opportunities and salary.

If you live in a big city like london or Manchester your social circle dispute how varied will earn more than people with the same jobs in more rural areas or less capitalised as the cost of living is less.

The average 30k a year is actually above what the government call the poverty line. I think its around 25k as a household, the government then classes you as living in poverty.

I'm a degree-educated single mother of two teenagers working full time in a professional creative industry that historically does not pay that well. I pay a reasonable mortgage in a nice area in the north west blessed with exceptional state schools. I earn £30k, plus occasional freelance work and a hit and miss hundred quid every now and then from my ex. The kids have part time jobs and everything they need including going on all those pricey school trips, as do our animals (cats and a horse). We have a car (old) and travel abroad every year and me and the kids have a decent social life. It's a struggle sometimes but I consider myself very lucky compared to a lot of people, if a bit knackered. So yes, it's an actual reality. Get real OP!

I don’t think the OP was being goady by questioning how hard it must be to live on lower incomes.

I've looked at the calculator and on my £30000 wage,take home pay £2000 with overtime I am better off than 39% of the population.
Having lived on a lot less I consider myself comfortably well with off but don't have foreign holidays,lunch out.I don't have childcare costs but being rural have transport cost,£160 a month for me and £100 for DD college bus a month.
I am not sure how you struggle OP but hope some of that money is going into a pension for you.

When I retired early due to stress and my DH was made redundant we went from being in the top decile of earnings to the bottom. We manage but, for example, don’t have heating on in the daytime in the winter.

Since I know what it is like to have a reasonable amount of money coming in I am bemused as to why the OP doesn’t think it a comfortable amount. When we were better off we still lived frugally but we saved a lot for a rainy day. We bought Fords, not Mercedes and never had a long haul holiday. In fact we used Tesco’s points when we went to Europe. We prioritised paying debt down over buying stuff or having expensive entertainments or experiences.

I think the OP must be spending without thinking. OP, you need to keep an account book or spreadsheet to log every penny of income and every penny spent. Once you are aware of your spending patterns you can change them to get more bang for your buck.

To be honest, our lives are not so different down at the bottom of the pile than they were at the top as our pleasures are free ( reading, walking and so on) and we do not have debt to service. We have also found that the tax system massively favours the poor against the hard working and high earning. When you get fifteen grand you have nearly every penny of it. When you get a hundred grand you would be lucky to keep half of it.

We have also found that the tax system massively favours the poor against the hard working and high earning.

do you mean only people on high incomes work hard?

We have also found that the tax system massively favours the poor against the hard working and high earning.

No it doesn’t. If there was total equivalence the poor would be destitute.

@Lilyflower1 "We have also found that the tax system massively favours the poor against the hard working and high earning. When you get fifteen grand you have nearly every penny of it. When you get a hundred grand you would be lucky to keep half of it."

There are so many things I want to say to you on this comment, I am an intelligent and articulate woman usually but all I can muster is "Well, DUH!!!!!!!!!!!" I think my 9 year old had grasped the tax system before his last birthday, and you've still not managed it in retirement.

And FYI on a salary of £100,000 over a year after tax you'd keep over £65,000 (not including other deductions), the basic tax personal allowance is £12,500 so no, someone on £15,000 wouldn't keep it all, there's also NI contributions.

I think all Lilyflower was saying was that due to the tax system you don't notice a drop in income as much as you'd necessarily expect due to tax.
I agree with that, I used to earn 45k plus bonuses, I now earn 27k plus bonus. Yes I earn a lot less per month now but I keep far more of my bonus than I used to (used to be taxed at 40%) and my tax free allowance makes up far more of my income so the tax per month feels considerably less.

National insurance actually decreases the more you earn, so proportionally the less you earn the more you pay

@Batmanandrobin123 yes and as it should be, of course the more you earn the more you should pay, it's not "favouring the poor" when looked at relatively, although so bloody what if it was.

@Batmanandrobin123 also let's just look at Lily's comment again shall we, favours the poor against the "hard working and hard earning" because those on £15k aren't working hard are they? Let's not defend this ignorance.