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AIBU?

Share your dilemmas and get honest opinions from other Mumsnetters.

To ask how you would spend a salary of £300k?

298 replies

iwishiwasafish · 20/10/2021 19:47

In a similar vein to “what would you do if you won the lottery” … how would you spend an ongoing salary of £300k per year?

That’s £25k per month before tax.
£14,180 per month after tax.

OP posts:
FreeButtonBee · 21/10/2021 18:02

We earn this (and a bit more with decent bonus years) between us. I think there might be a difference between those in HCOL areas and those in lower housing cost areas.

Our biggest outgoings are childcare and housing - that takes up 60% of our income - and we don't live in a mansion - a fairly boring 4 bed terrace in London which needs a lot of work done to it still.

DH has effectively no company pension so that comes out of the net amount (although with a tax rebate) and we've had to invest in his business too so for a good 4-5 years all our savings were ploughed back into the business.

We have a 12 year old car and have had one family foreign holiday in the past 8 years (although that is as much personal preference given the age of our kids).

Kids in state primary although we will consider private for secondary.

I have a cleaner but only 4 hours a week. No chef, personal trainer (LOL!), housekeeper or PA!

That said, I spent freely on extremely high quality food and wine and love restaurants and when the kids want to do something I can generally afford to do it well so EG they have always had very low ratio swimming lessons which really has pushed them on. We can afford to 'buy once buy well' but we're not particularly extravagant in terms of clothes/electronics /beauty treatment etc.

We are pretty good at saving and I would like to move out of FS work in my 50s if possible. DH is probably wedded to his job and will still be pottering at it at 70.

It has enabled me to work 4 days per week for the past 7 years which has been good (although I effectively do 5 days work in 4 days on 4 days pay so swings and roundabouts). The main thing is it has allowed us to live in Zone 2 London which was all I ever wanted to do and you'd have to drag me kicking and screaming away from my 3 min walk to the tube. The money would go a lot further in Surrey I am sure but I'd hate the life. It's a cost I am willing to pay

beautifullymad · 21/10/2021 18:03

I'd max my pension contributions to save on income tax. Then live sensibly and save 2/3rds a month into long term bonds.

MrsDisney · 21/10/2021 18:12

That’s more than I earn a year! 😩
I’d buy our own home, big enough for us all to have actual space to enjoy, buy a nice car, set up savings for the kids and not worry about money

slashlover · 21/10/2021 18:16

I'd have a cat sanctuary, I saw it on TV once. They took in senior cats when their owners died/couldn't look after them and gave them an amazing life.

Lolalime · 21/10/2021 18:20

Wow more than half in deductions !!!!

Ddot · 21/10/2021 18:23

Country house with granny flat for ma

Bushkin · 21/10/2021 18:34

We earn about this, give or take depending on bonuses etc… averages out at about 13k per month

Mortgage - £2000 (bought late, this was actually my first house, no family help)
Bills in lots of insurances - £1300
Cars - £800
ISAs - £3000
Childcare - £1000
Food shopping and fuel - £800
Holidays - £800
Personal spending (phones, gym, socialising, clothes) £600 each
Eating out, kids clothes, hair cuts, entertaining- £800
Helping a family member -£500
Cleaner - £200
Dog Walker - £200

So £12,000

Crazy to see it written down. Obviously a lot we could cut back on if needed and if seen first hand how quickly you can lose everything so definitely don’t take it for granted.

Rest is set aside for house repairs/renovations and Christmas etc

brunetteandgrey · 21/10/2021 18:35

I do earn around this (before tax). I:

-paid for private schools for my stepchildren
-pay (still) for university for my stepchildren, and pay them an allowance while they are at uni
-fully financially support my DH (who retired years ago to be a SAHF)
-fully financially support my parents, who have no income
-help my brothers out from time to time, such as when one was ill and could not work
-go abroad for a month every year and pay for the rest of the family (stepchildren and their other halves) to join us
-take a tutor on holiday with us for my DS (he has special needs)
-DH is building us a house (we never owned property until last year), so don't need to pay for labour but do for materials
-do have a weekly cleaner
-used to use an ironing service for my work clothes (before Covid) but don't need it now (WFH)!

I have no interest in shoes, handbags, pricey clothes etc etc. I have quite a nice car but it is 6 years old. I like nice food and wine but DH keeps any spending on that in check, he loves a 2 for 1 bargain!

I love the fact that I can look after the family, it really keeps me going.

brunetteandgrey · 21/10/2021 18:36

Oh yes, I forgot to mention insurances. Have very large life insurances on both me and DH (because of DS and the fact that the stepchildren are still at uni).

macshoto · 21/10/2021 18:37

@beautifullymad

I'd max my pension contributions to save on income tax. Then live sensibly and save 2/3rds a month into long term bonds.
If you earn this much your pension contributions (from a tax relief perspective) are maxed at £10k pa - ridiculous as that sounds.
BrainBleachNeeded · 21/10/2021 18:39

God…I don’t know.

It’s even depressing thinking how to spend money I’d never have. I’d probably invest it all in my kids. Not private school as I don’t believe in it, but definitely extracurricular activities.

MummyJasmin · 21/10/2021 18:39

People who earn a similar amount....what do you do?!?? (Advise please.)
I can't begin to imagine what it would be like to earn that much!

brunetteandgrey · 21/10/2021 18:40

Yes, be very careful about the pension cap. I nearly got caught with this, retired early from my previous job and took pension, and was at 98.9% of lifetime allowance! Would have had huge tax implications if had gone over.

BigSandyBalls2015 · 21/10/2021 18:40

Christ that’s a lot of tax Shock

Waxonwaxoff0 · 21/10/2021 18:41

Go on lovely holidays, and I'd buy DS a horse. I'd also hire a cleaner and a personal trainer. I'm not bothered about a bigger house, I've only got £55k left to pay on my mortgage so I could pay that off in a year on that salary. Then put plenty of money in savings for my pension and for DS's future.

Hawkins001 · 21/10/2021 18:43

Start building an investment portfolio.

thenovice · 21/10/2021 18:44

I'd start by paying off the mortgage. Then I'd replace our 15-year old car. At the moment my aspirations don't stretch much beyond being able to pay the bills to be frank. It would be lovely to be debt-free.

GreeboIsMySpiritAnimal · 21/10/2021 18:44

Lovely house with a housekeeper and a gardener.

Couple of nice cars.

At least two holidays a year, plus mini breaks.

Possibly private education for the DC. Certainly trust funds for them both.

Monthly allowance for my DM.

Beautiful clothes and a twice weekly blowdry.

DeborahAnnabel · 21/10/2021 18:46

aware that some people on this thread will feel like this is an obscene amount of money but this is standard family income where I live.

£14k per month gets you the following:
Mortgage £3k
Food and bills £1k
School fees £2.5 k
ISA for husband and self £3000 total.
Childcare and activities £1000
Spending money for husband and self £4K total
Holiday fund £1k
No change. In fact I’ve gone over budget. (Here’s hoping the bonus will be good!)
Not saying it’s my family budget but it would be fairly typical where I live and that’s why someone where I live with a family income is shopping in Zara or Cos and not Chanel and doesn’t have a boat or a castle.

TheSunIsStillShining · 21/10/2021 18:46

I'd spend about 6k/month (incl rent, school, hols,...), save up the rest to buy a for rent property for our pensioner years to live off.

Bushkin · 21/10/2021 18:48

@DeborahAnnabel interesting! My husband is always telling me I’m too tight with the spending money

thenovice · 21/10/2021 18:48

I'm thinking maybe I'm out of place on this thread. Everyone else seems so affluent. Blush

Peanutbuttercupisyum · 21/10/2021 18:49

It’s really not that much! Especially in south east/London. DH earns this:
Savings, normal 4 bed detached house, couple of second hand nice-ish cars, one ski holiday, one aboard summer holiday and one ski holiday a year. Private school for 3 children.
Sahm.
Definitely no designer clothes, horses, buying stuff for relatives, etc! Just a normal, comfortable life!

Waxonwaxoff0 · 21/10/2021 18:50

@thenovice

I'm thinking maybe I'm out of place on this thread. Everyone else seems so affluent. Blush
I'm not, I'm a single mum and I earn £9.50 an hour. £300k a year would change my life!
FangsForTheMemory · 21/10/2021 18:51

Nice house, staff to take care of everything, chauffeur to work and back. Train up my assistants to be stupendously good at their jobs to take the heat off me. Eat out in glamorous restaurants and go to the ballet a LOT.