DP and I are in our early 30s and people keep asking when we're going to have children, we're on the fence but we can't work out how anyone on our salaries can afford to have children. We're aware time is running out as it were (both my mum and nan hit perimenopause by 40 so aware that it's looming).
Am I missing something obvious?
My salary is roughly £1800 after tax, NI, pension and student loans. DP's is similar. Full time childcare for one child would ruin us financially at £400pw around here (and that would involve one of us working less hours to do pick ups as it closes at 6pm, so one salary would drop, the only way I could make it work would be to do 4 days work over 5 days).
We don't have £400pw spare after mortgage (£1300), bills, food and transport (£1500 if we cut to no eating out or buying lunches and really budget). The money we currently have spare per month (realistically this is a few hundred, but if we cut back to the bare bones as above it would be almost £800) is mostly eaten up in saving for small emergencies, holidays and events (e.g. The clutch went on the car recently, the washing machine needed repairing the next week, then it was MIL birthday the following week).
Benefits calculator (I never thought we would ever have to claim benefits) says we would be entitled to £18pw.
The best case scenario seems to be us being about £1000 short every month and having no spare money for any unexpected costs. We are trying to save at the moment but don't have enough to even get through mat leave.
So as not to drip feed:
- We have no parents or family living anywhere near us that could help with childcare, we had to move away from family for work and then further away again to be able to afford a house.
- 23 years left on the mortgage on a small 3 bed mid terrace in a relatively non expensive area.
- We have one second hand car that we own outright and share.