Where is your household income?

[RoyGBivisacolorfulman]

https://ifs.org.uk/toolsanddresources/wheredooyoufitt_in#tool-results-section

AIBU to think this doesn't reflect society as a whole as there is a lot of wealth especially in business that may not get classed as income?

People I know are in the top 5 percent.

The illustratous 85k that has been talked about on here is

With a household after tax income of £84954 per week, you have a higher income than around 99% of the population - equivalent to about 65.3 million individuals.

Guess people are property and inheritance rich too.

My aunts and uncles are way richer than me but my income looks better on paper. They are retired with lots of property.

Where do you feature on the scale? Clearly nobody has to answer.

It's not the whole picture far from it I think?

But you have the income to support a £300k mortgage and 'contribute pretty heavily to your pensions'.

Look at all the low to average paid workers around you. They don't have the income to qualify for a big mortgage (secure home and building a valuable asset) or save for a comfortable retirement.

Higher than 32% of the population...but I agree it's a blunt tool. Over a third of our income goes on rent alone. Throw in utilities, food and other essential costs and we have to budget carefully to reach the end of the month. No holidays for us, saving for a deposit feels like a pipe dream.

I'd happily swap with a PP who is only at the 18% point with their own home and savings.

There’s some funky maths on that site! I re-ran the calculator, fantasising that I ran off and lived on my own 😅 but now it reckons I’d be even richer!

With a household after tax income of £676 per week, you have a higher income than around 88% of the population - equivalent to about 58.1 million individuals.

I assume it's adjusting for adults and children since it asks.

My dc doesn't earn anything but our household is 93% of I have no kids.

Apparently higher than 40% of the population.... definitely a blunt tool! Childcare costs, food, bills, fuel.... we're fucking skint permanently.

It takes into account children somehow

So if I put in my details but add a couple of children my income position is much lower than it is

Higher income than 58% of the population. We feel fine. Not sure about foreign holidays etc and I could really do with some new trainers but we can afford to go to the supermarket the week before payday, and will be able to afford piano lessons for DD. Probably underachieving compared to some on here especially since DH (50s) in a high-profile (but not great pay) job and I (40s) have an Oxbridge degree and relevant MA. But that's the arts for you.

Higher income than 97%.
Guess living in the North pays off.

🤣🤣🤣🤣

You have a higher income than around 98% of the population - equivalent to about 64.7 million individuals.

I agree that focussing on income rather than assets gives a distorted picture.

Pointless tool given it takes no account of mortgage/ rental costs or childcare, the two largest and unavoidable expenses people have.

I see the thread is already full of

But but I spend all my money so I'm not better off than anyone!!

🙄

Bottom 8%

We are in the top 1% according to that but it's highly inaccurate. For example we have two dependent children but because they are studying at uni they are not included - even though with fees and supporting thier accomadation and living costs we are spending about 60k a year on those. It also doesn't take in to account any debt or savings. It's a nonsense calculator.

Higher than 88% of population 😬

As @Nepmarthiturn says- we pay more on childcare than we do on our sizeable mortgage and together just those costs two sum up to 70-80k a year. So that’s what we have to take home before we see a penny of it.

Again. How many people do you think have £60k a year spare to support their adult DC throughout university? On top of their own normal living costs.

Just because you spend all your money on expensive versions of essentials does not mean you are not comparatively wealthy.

I think it's the same issue as always- people complain they're feeling the pinch, because still need to pay private school fees or finance on 2 Range Rovers, but they don't understand this is where they spend their wealth and that they can afford it. I don't even have 60k of combined household income, let alone support someone with this amount of money.

We are currently higher than 34%, will drop to 23% when second baby I’m currently carrying arrives.

I'm 50%.

That's probably about right.

Me and ds. He's disabled so gets PIP and earns a small amount.

And because we rent I get a small amount of UC because I get a careers allowance - but not actual careers allowance because I work

We are lucky because our income is about average and our rent is very low as HA.

Reminds me of a compliance investigation I did at HMRC.
Bloke sacked his accountant and did his own "accounts".

Claimed he hadn't made any profit obviously, as there was no money left........🙄

Obviously a Premier League footballer 🤑😉

Indeed. Yet this "tool" would tell you that you are "richer" than a couple living in a rented house paid entirely by UC with a SAHP and no childcare costs and far more disposable income, despite them earning (and paying in tax) a fraction of what you do.

Likewise it will tell you that you are far richer than a couple with state pensions and private salary pensions, a fully paid off mortgage and no childcare costs just because their gross income is slightly lower than yours.

In short, it's nonsense.

Yes this! “Oh no I chose to take out a huge mortgage on an appreciating asset that will likely add to my wealth in the future, I’m no better off than anyone else!”