How are people surviving

[Truthseeker456]

I don't get it. One income and I am on a what was a good wage 53,000. My mortgage is likely to double next year I have nursery fees and 3000 take home and always in my overdraft. How are people surviving, we don't hear anything in the media. Rents are also though the roof

We have a boom bust cycle usually, so yes they'd bounce back after a crash, but we still haven't had the proper operation of market forces in the UK. There have been deliberate policies to keep prices propped up, because the Tories know what their voter base wants. Yes, there are other countries in the world who have problems like nimbyism too.

We have, for many years, been known as Boom and Bust Britain. But, the cycles often take a few years, so I wouldn't expect any improvement in the short term.

Are people still contributing to pensions and retirement savings

Not at all. I want some semblance of a life now. At this point (for me personally) putting money into a pension is just gambling on the fact I'd even live long enough to get it! I'm already certain to have to work until 67, probably longer (there are currently three 70yrs+ colleagues in my team, though they are part time).

It's a straight choice for me, live the life of a poor pensioner now or live it when I actually am a pensioner! And as those years aren't guaranteed by any means, for me it's an easy choice. There are things I can do in retirement to generate income so I'll cross that bridge if/when I come to it.

I have read this entire thread, and I have to say, I empathise with the OP. We are in a fairly similar position - sky high nursery costs and a huge increase in our mortgage means we now break even every month or go slightly into the red, whereas we were able to save a couple of hundred each month before.

It’s disappointing to see the scathing responses you have received from posters on very low wages or universal credit. I think if you’re used to having most of your expenses heavily subsidised or topped up, it’s easy to lose touch with just how much everything costs when you pay the market rate for it, as well as high taxes which in turn pay for other people.

50k is bugger all with a mortgage and full childcare costs unless you live somewhere unusually cheap. For a start, your take home would be about 4,100 per month after tax. If you pay 1,500 childcare and 1,500 mortgage, that leaves about 1,000 for everything else - bills, food, car costs, one off expenses and repairs, clothes, child related expenses, birthdays… you might not be heavily in debt but it’s easy to see how money gets tight and breaking even every month becomes the norm.

Huge miscalculation there on my part; take home is about 3,100. So scratch that - yes I can see how it might not cover your mortgage and childcare costs, let alone everything else.

Please please consider putting some money away. Do you have a workplace pension that offers matched contributions?

i work in this area and it is incredibly risky

@Bluffysummers

I do appreciate the advice. But without waffling on too much, I've left it too late. I live in SH and the amount I could save at this point onwards wouldn't help me and in fact would reduce any additional benefits I'd be eligible for if I just get state pension. Financially it doesn't make sense for my particular circumstances.

But it is those in the middle who have felt the pressure the most. There's help at the bottom and you don't need help at the very top - their income has gone up and they mostly don't pay tax anyway. It's those in the middle who have experienced the biggest change. Yes they are not on the breadline. But they are not far off - and expected much more given they are mostly in professional supposedly well paid jobs. No middle class = a completely broken society.

Hi. My friend has taken in a Ukrainian Mum and little boy. Friend gets £600 a month from the government for doing this, which helps plugs the gap. Ukranian buys all her own food etc from benefits so doesnt cost friend anything apart from slightly higher water usage and energy. If you have the space, could be helpful?

What are you eating for that much??

The squeezed middle is being squeezed significantly at the moment. Only 20% of mortgage holders are currently being affected by raising interest rates, but they are being very squeezed.

There is no financial help for the squeezed middle. No cost of living payments, no benefits net if they lose their job to pay their mortgage, no free school meals or any of the other government help.

We are on £110k between us, but even we need to manage our money carefully. Our mortgage increased by "only" £300 a month but it was £300 we were using elsewhere for other bills. But we can still afford our bills etc so we are lucky but definitely starting to feel that pinch.

This is not 'surviving'.
Not being able to save £1000 a month and eat out frequently......this is not hardship.

You started in a position of incredible financial privilege, and now you've had to slightly tighten your belt.

Come on people

I'm on the same gross wage as you but take home less probably because of pension payments and student loan repayment. I'm a single parent with 3 children. My rent is £980 and with bills, food and petrol there isn't much at all at the end of the month. I've found a job closer to home so that will help a lot with the cost of travel from September. I've also started tutoring after work which is the last thing I feel like doing but is necessary. I think I'm worse off now than when I first qualified and was on 20k a year. I've not got nursery fees thank god because that would be completely unaffordable.

I’ve never replied to any post ever on MN.

but I have never sympathised more. With everyone. Me and my partner both work have a combined income of around 60k so by no means are we a low income family I understand. But childcare costs to get me back to work, mortgage, rising living cost, keeping DS in a few clubs (forest school, swimming) we are living pay check to pay check and the £24 a week child benefit really doesn’t do much to help.

(I also for those less fortunate remember saying to my partner back along that that (£24 Child benefit) wouldn’t even cover formula for a week!)

The thought of our fixed rate coming to an end gives me sleepless nights and before anyone jumps on me, yes it is a repayment, yes we have decent equity in the property and no it wasn’t out of budget, but still the thought of anything else going out is a massive worry.

I honestly praise everyone just getting by! What a time to live where even two income households struggle to make ends meet.

My single parent DD was in your position, she simply changed jobs for more money. It was a shame to leave the old one where she had lots of friends, but they were not offering anywhere near a cost of living increase this year so she left.
Fortunately her youngest DC starts primary school this year, but she will still need to pay for breakfast/after-school/holiday clubs and knew she wouldn't be able to manage on what she was earning.

we are in Tenerife and a lady who is Italian living here says rents are sky high
we are
not the only ones it seems

Live alone, living pay day to pay day, working as much overtime i can in between days i do child minding.
Im lucky in sense that i have no mortgage, its paid off, but still a struggle with one minimum wage, all bills ect.
Suppose to be slowing down at my age. If they hadn.t put up retirement age id be getting my pension now.
Cost of food and petrol is my largest concern.
I have to travel to work.
Pay day tomorrow, car tax due tomorrow, hope wages go in before i have to leave so i can pay for my car tax.

@charlestonian

Are people still contributing to pensions and retirement savings? Financial advisors always say to treat those as fixed expenses but I think the reality is that these are one of the first things to go.

This would be an interesting thread in and of itself!

It's very difficult out there at the moment and although the levels of difficulty vary we can still all have a discussion about how we are feeling the pinch.
We are very standard income between 50-60k for 2 incomes.
Grateful in many ways that we can afford food and mortgage etc but there really is no wiggle room, no savings or holidays.
I can treat my DD's occasionally maybe a trip to cinema with a meerkat code that sort of thing.
It's just a slog and food shop goes nowhere, I had a £100 shop delivered on Monday and now I'm wondering what we are having for tea tomorrow.

It's very very difficult. I am just about managing to survive on 2 small pensions (state and private). There's a Facebook page called 'Feed Yourself on a Pound a Day'. You'll see how people are 'surviving' there. Families are trying to hard to feed their kids on nothing. It is beyond belief. These fucking Tories have a lot to answer for. When the water bills go up I am going to take a stand and simply not pay. Why should I, who have sweet FA, kill myself to line the coffers of super rich bastards? I have had enough of this country and its blatant profiteering and living off the backs of the poor. I live in C London and the amount of homelessness has gone through the roof - most of these people are mentally ill. A change has to come soon. no one can put up with this.

Its crazy isn't it @ilovebagpuss I spent £125on Monday on a food shop and last night had to pop to the local coop to get some potatoes for jackets as I couldn't see anything for dinner in the fridge/freezer or cupboards. No idea what we've got tonight...

Single Mum of 16 years, struggled in London on £27k salary, help from UC, eternally grateful, but had the gumption to go for something better, earning £70k +. Never been able to save, currently still have £20k of debt and landlord has just requested a £300 pm increase. So to the posters who are sitting on their arses through their lifestyle choices, moaning about 'poor you on £50k and sufffering' we are paying for you, without us, you'd be on the streets, unfortunately like some of these £50k workers you despise so much!! I never thought I could despise another human without personal contact but wow, I've found that right here!
To the non-dossers, keep going, it will work out over time

Must admit I've been waiting to see if anyone mentioned the way some are surviving is they aren't "doing things by the book" sometimes. One (former) friend mis-selling something to me for more than it turned out to be worth (hence they're now a former friend), not able to go somewhere socially with someone who is still a friend (ie because it's clear she would be trying to "get more than she'd paid for" and I'd feel embarrassed - because I'll be paying my way properly), taking something you've offered for free and you realise they've sold it to someone else (ie rather than putting you in touch with the someone else - so that you could be the one getting the money tied up in that item of yours). All round - I notice quite a bit of "not playing it by the book" going on around me - which is upsetting when you're someone who "pays your way and is honest". Certainly making me more cynical than I was......as I keep doing things "proper like" personally.

I’m not. Drowning in debt and have zero money in my bank until Tuesday when what goes I. Will go straight out on bills, no money for food, have some stuff but it’ll mean all freezer food no fresh fruit or anything but we’ll be able to eat at least, have begged my kids dad to send something but he’s ignoring the messages, no petrol to get them to school on Monday.. so yeah pretty fucked

I’m a single parent on a part time income if £16k a year so some out with around 1200 a month. I also get a tax credit too up enhanced due to child with disability so get her DLA to and child benefit. Ex doesn’t contribute. He did but stopped a while back and I’m not really going to try and get blood out of a stone as I genuinely don’t know how he manages at all. He’s got his income, likely around minimum wage and his rent is doubly my mortgage. Then he’s the same old utilities etc but not the tax credits and child benefit I get. Without this I’d have gone under. I’m lucky as in the north and bought a very check house £90k. Mortgage hasn’t been huge. Fixed deal finishes next month and not quite sure what it would go to as unfortunately a parent passed away and left me enough to pay it off. Sliver linings and all that. I have my youngest going to high school next year so will no longer need to pay for wrap around care for my work days. It was such a relief when eldest went to secondary and my childcare halved. I don’t go out though, don’t drink or smoke. We shop for clothes in cheaper places and youngest gets a lot of hand me downs. Never been into designer labels. I’ve been better off financially the last 10 years though on my own as ex was awful with money.

I do wonder though about people on much higher incomes who are struggling but then I was giving someone a lift the other day and we were in a really expensive new build estate and my friend did comment that there will be a lot of really high mortgages. The 6 bed houses are going for half a million on a tiny cramped estate. I’m in an old 1900 house in the less desirable end of the town. I think if I’d stretched myself buying something more expensive that my rind down old terrace I’d be really struggling now.