..to struggle to comprehend huge salaries?

[missbunnyrabbit]

I was reading the thread about how much people earn having been to grammar/private schools and I just cannot get my head around how much lots of people earn. My head just cannot imagine such huge salaries. People earning over 100k, what on earth do they even do with that money? Do they buy everything gold-plated? That's a joke BUT I have no idea what anyone does with that sort of money or what it could be needed for. This isn't a bashing thread or anything like that. I'm just a bit stunned.

Does anyone else's brain struggle to imagine such huge amounts of money?

@S2617
So you’re like everyone else? Working hard, making sacrifices whilst you can’t access a dentist or the NHS.

At least you have the choice to go private if you want. You just need to thank the Tories for that.

@malin52 thanks for helping us little poor people, so good of you

@S2617 your post is shitty. Lots of people work 45 hours a week and have huge responsibilities like a nurse. Your right about the luck and that wind can blow at any time

If you earn 100k you need to look at the flip side and consider yourself lucky that you don't need childcare assistance

@user1471554720

Would the well off people be able to save massive amounts each month. Eg if a well off family saved 1.5k per month, that would be 18k a year, 180k over 10 years. Do they keep this in a normal bank or are there investment plans which give high interest?

Genuinely curious.

I'll respond to this - but note I'm from but not living in the UK.

I certainly consider myself well off (to my shock - grew up poor, had a baby at 17, did not attend college, but luckily fell into a career that pays well for the right experience), but also nearing retirement, so have worked for 40+ years to get here. Now that DC are grown, mortgage is paid off, no debts, it is all about saving for the future.

Retirement looms, and in the US there is little in the way of a social safety net, so we pretty much fund our own, including paying for healthcare. Also, our property tax - akin to council tax? - continues to rise, currently around 13k a year. That has to be paid every year, even if no mortgage.

During child-rearing years, it was hard to save into pension, but have done the max possible since about 45. For the last 5 years I've been pushing hard. Saving roughly 90k a year, 48 pre-tax, 42 post tax. Our money is invested in stocks and bonds at varying levels of risk - much of it lower risk given our proximity to retirement.

I also save about 15k a year into an account for my DGC and fund holidays and bigger spends to the extent possible/desirable. I'm seriously contemplating selling up and moving to a cheaper area, so that the money from this house can pay for one for us and one for DS and family.

I've done my best to prepare. I hope it is enough, and that there is some leftover when I go.

I know how lucky I am!

@BunNcheese the difference I think is that when you are on £9k a year, you have NO choice at all.

When you are in £100k a year p, live in london and pay for a private school, you have a choice. You can choose to not use a private school. You can choose to move out of London etc….

So yes different standards of living …. which people chose to adhere to too.
It is true that a higher wage in LOndon buys a similar lifestyle than a lower wage in he NE.
But again, the difference is that, at least, you have a more expensive house, aka asset, when you retire than if you were in the NE with a similar lifestyle but a much cheaper house….

[quote ImNotDancing]@malin52 thanks for helping us little poor people, so good of you[/quote]
would you rather she didn't do any of the stuff she listed? How would that benefit anyone.

There have been a couple of posts about how none of the rich people posting say anything about giving to others. A poster says she does and she is sneered at.

The bitterness from some people and unpleasant comments directed to individuals, who have written thorough and carefully explained posts, in response to what the Op asked, is really disappointing.

Clearly, some people aren’t interested in a discussion, but just in being cross with and attacking anyone with a high income. As far as the critics are concerned, it doesn’t matter what their background is, their work ethic, the other things they do with their time or how they got to that position…..they are simply wrong for having been successful.

Some people on this thread have been tone deaf and more than the deaf, but deliberately deaf, from both ends of the financial spectrum. The reality is that people have different amounts of money and there are all kinds of reasons behind it and no explanation fits everyone. We can decide everyone who has a high income is a disgrace or their money an obscenity, and we can equally make judgements about those with low incomes which can be totally working and unfair.

The thing that strikes me, is how few people feel well-off. Objectively of course, lots of people are very well-off in terms of income, but a variety of choices and consequences mean all their money goes each month. Whilst on the surface they may feel they have as little as someone on a low income at the end of the month, it is lacking empathy to not grasp that having her ability to buy a property and spend big on a Maori gage each month is actually a luxury, even if you feel pooor at the end of the month. You’ve been able to buy the asset snd afford the monthly payments and will have that asset in future and actually always have choices to move away from that asset if you choose, with a level of choice not available to someone on a lower income. It is too easy for the well-off to be in a bubble and forget the privileges they take for granted….even when they have been hard-earned. So no wonder the ‘I’m not well off’ bleat grates with people who manage on a quarter of the income. But equally, the insistence from a few critics, that those who DO acknowledge their good fortune, along with hard work, are still somehow obscene or undeserving grates and sounds bitter and totally unwilling to see anything from a different viewpoint, or to have any empathy with people who live differently. The insistence that anyone who has more is wrong, is never going to enable conversation in a meaningful way. And those who just keep shouting it, lose the chance for progress and understanding to be made between groups, for all.

What a shame.

@TravelLost I don't really agree with your post. To be fair on the 100k earners (I am not any where near). I've always lived up North but to expect someone to leave there home time is crazy and all isn't what it seems... perhaps those on 100k will have kids who cannot afford to even rent within London. I do not envy the London life for a second because I would be worried about my DS in years to come if we were Londoners. Did you miss the part where I said even RENTS are crazy?

Your post is too black and white. It's a more expensive house in London yes but it's not value for money necessarily.
It will be an asset if they don't have to fund their own nursing home...

I think if your going to suggest people leave their hometown... you better be prepared for someone to tell you you can earn a bit more than 9k a year!

[quote ImNotDancing]@malin52 thanks for helping us little poor people, so good of you[/quote]
That is a very brittle reply to somebody who gave a thorough answer in reply to the OP's question.
You sound so resentful. Why?

I think it is quite easy to get into a bubble where your friends and their lifestyles just become ‘normal’ and that leads to lifestyle creep.

We’re a high income household which buys us choices but our lifestyle still feels very normal. But i have the sense to know that our ‘normal’ has become distorted and tilts towards professional middle class households.

when I was 21 on £20k I thought our household income would be buying a very different lifestyle but also when I was 21 I’d have had no concept of how much children cost. I was living at home at the time and paying no rent so probably actually had more disposable income for frivolous stuff than I ever have since.

Most people on higher salaries hit that point later on once there are more fixed costs and less scope to spend their income purely on fun.

@CSJobseeker

If you are self employed and you price your work based on the risk to which it exposes you then yes they are

My point has sailed over your head, hasn't it? You personally get paid a lot because if you mess up there will be consequences.

For most people, that doesn't apply.

This is simply not true. Who are most people? Junior doctors? Or do you think your more important?

I'm not against high earners but at least realise what's been pointed out to you. People do hold high responsibility and get paid a lot less than you. That's life but you should surely be able to recognise that.

Sorry, but if you earn over £100k it just reads as very tactless to see you complain about the cost of living because the massive house you can afford costs more to keep, or your horse has unexpected vet fees. Let us all get our tiny violins out.

@Pallisers given her post was quite a condescending response to my comment I would disagree with you

So all of us lower earners have very little responsibility, easy jobs, can just go home and forget about our work, we don’t work very hard 😂😂😂

@Krystalcastles

So all of us lower earners have very little responsibility, easy jobs, can just go home and forget about our work, we don’t work very hard 😂😂😂

Apparently we have it easy 😹 I’ll remember that next time the stress from work means I need another antidepressant change!

Such self of self-importance about how they have huge responsibility at work which is why they are paid 100k, they will have severe consequences if mistakes are made, their jobs are sooo stressful. No idea whatsoever

@WombatChocolate Very insightful as always, thank you!

@DontWiltMySpinachPlease

Sorry, but if you earn over £100k it just reads as very tactless to see you complain about the cost of living because the massive house you can afford costs more to keep, or your horse has unexpected vet fees. Let us all get our tiny violins out.

But nobody's doing that. This thread is not about that.

The OP was wondering what people spend their money on, and people answered. While quite a few people's saying that you need 100K to survive in London is tactless a lot are also reacting to the tone of the OP's post with comments about being 'gold-plated'.

At the end of the day, someone has to pay the flipping tax, as in the UK they seem to let the really rich get away with not doing so, and those at the bottom end of the scale obviously can't. Anyone on 100k is in top 5% of earners. It's a privilege, of course it is. And it's where a large proportion of tax income comes from. Income tax, NI, capital gains, inheritance tax, VAT, stamp duty etc etc.

How can anyone sleep at night earning that knowing how many families struggle to keep a roof over their head or make sure everyone goes to bed fed.

This is what you said @imnotdancing -right?

She explained why she can sleep at night. Whatever you earn in the UK you are in a better position than most in the world. How do YOU sleep at night knowing there are 9 year olds being sold to elderly men or people are living in famine?

That line of reasoning is useless. we should all be guilty unless we are in poverty? Earning more and paying more tax is a bad thing. Giving to charity is a bad thing? Giving back to your local community is a bad thing? because if you can do those things you are a lucky jammy bastard and should just feel guilty and do nothing? Or do what you do and never mention it even when specifically asked about it?

Such self of self-importance about how they have huge responsibility at work which is why they are paid 100k, they will have severe consequences if mistakes are made, their jobs are sooo stressful. No idea whatsoever
But no idea of what? I don't get why people came to this thread? I come to these threads because I know a few very well off people and they are grafters and business owners and I always feel the need to stick up for them because I've seen them go without salaries so they could hold onto staff, I know they're up most nights until after 12 working, I know they've built something from the ground up. A lot of people came onto this thread to stick their fingers up at high earners and tell them they have a nerve for being honest.

My DH earns quite a bit more than the figure you mention. In answer to your question, we have almost paid off our mortgage (good size house in an expensive area), we go on holiday 3 times a year, 2 cars, we can afford most things we need and save for our futures and children's futures. We also helped his parents buy a retirement bungalow as an investment for us because I don't have a pension. We don't have gold plated anything! And we don't throw money around on stuff we don't need. I suppose the difference is that we don't have money worries, which I realise is not normal and I'm grateful for it.

Some really well paid people don't have it that hard. I book locum consultants for the nhs and have some are on £6000 a week and that's mon-fri 8-4 with a paid lunch hour. Many of them also get £1000 a month on top of that towards accomodation cost. Money goes to money.

@Pallisers

How can anyone sleep at night earning that knowing how many families struggle to keep a roof over their head or make sure everyone goes to bed fed.

This is what you said @imnotdancing -right?

She explained why she can sleep at night. Whatever you earn in the UK you are in a better position than most in the world. How do YOU sleep at night knowing there are 9 year olds being sold to elderly men or people are living in famine?

That line of reasoning is useless. we should all be guilty unless we are in poverty? Earning more and paying more tax is a bad thing. Giving to charity is a bad thing? Giving back to your local community is a bad thing? because if you can do those things you are a lucky jammy bastard and should just feel guilty and do nothing? Or do what you do and never mention it even when specifically asked about it?

I enjoy the misquoting going on there because that was clearly aimed at people who earn 30k a month! Her comment was condescending but you keep on going with the whataboutery that’s fine. We’re clearly never going to see eye to eye

To clarify, I work but part time. I volunteer the equivalent of a whole day a fortnight doing something that helps very under privileged people. And we don't send DC to private school. Not that I'm justifying anything, just showing the wider context.