To wonder how people are coping?

[CobbleWobble]

We are very lucky, I know this.

We are "Mumsnet rich" both have professional jobs with good salaries (£170k household income) and yet this last 12 months:

• removed children from private school
• changed how we do the weekly shop to reduce costs
• cut subscriptions (like Disney+ etc)
• reduced what I bought in the back to school shop
• decided against a holiday in October half term
• concerned about our usual Christmas food order

What is going on? I just don't understand why or how prices are rising as they are or how people on less than us are coping!

I'm extremely grateful we have the things to cut that we have but we've also had to remortgage this year which has doubled our mortgage payments and then our utilities have increased and the food shop has just got insane.

We have other things we can cut - a holiday in the UK, Netflix, the monthly takeaway but its just miserable to think we may need to do that just not to be living.

Happy to post spending particulars if people are finding it hard to see where I'm coming from.

So AIBU to think that as a country we cannot go on with prices rising like this? How are others coping?

This is exactly what I was thinking.Your DH is making over £3K+ per month of pension contributions which is why your household net income is approx £7K pcm instead of much more. It's not rocket science where you can adjust your finances to increase your net monthly income.

Average prep school fees are approx £8K per term so times two = £16K per term so a minimum of £4K pcm just for the fees excluding other costs. Pre 20% VAT fee rise, it would have been £3.5K pcm. Pumping this into DH's pension instead is a good move (if this is what you did).

2 sets of full school fees isn't doable imho with a £2.5K mortgage on your income level I'm afraid.

Stealth boast 🙄

I fail to see how Trump putting tariffs onto items being exported to the US causes inflation in the UK. Do you realise tariffs are paid by the companies that import into US?

@BustyLaRoux the problem is that coming onto Mumsnet with ‘concern’ about how other people are coping because you are ‘feeling the pinch’ on £160k and worried about Christmas dinner and the Disney subscription sounds inauthentic, out of touch and tone-deaf. Likewise, saying she’s had to pull the kids out of private school while also stuffing a pension doesn’t really land well with some people, because what counts as a ‘struggle’ at that level feels very different to what others are facing. While OPs empathy may be genuine, her examples right now just highlight her privilege rather than any significant hardship that is relatable - even if at one point she was in a low paying job, she isn’t now. The same concern could also be shown without mentioning her income or lifestyle changes, or maybe some of that pension could be used as a regular donation to a food bank or charity (which I didn’t see on the list) - it would probably come across as more authentic.

Im on 38K a year, my rent is £1000 a month and I can afford Prime Netflix and Kindle, and eat relatively well 🤷‍♀️

This is similar to me. Universal Credit massively fucked up and they had to backpay £1000. That meant I was able to buy a second hand mobility scooter which means I can now use the bus.

My washer is broken, I'm currently being helped by a charity to buy a replacement (it is about 20 years old so not really worth repairing).

Last winter I had the winter on three times. I used clothes, heated throw and hot water bottles.

OP

How on earth do you spend that kind of money?

I think it must be mostly that that. We live off far far less in London, but we have paid off our house now (or is not in a particularly nice area or a nice house). We have a very old car (not paid monthly), no credit cards, very small outgoings (I cut mine and DD's hair) and no other beauty treatments. I shop in Lidl. We've never had kids in private school but we did pay tuition in one subject for each (3 kids). One holiday abroad per year (done cheaply, self catering) and a short break or two in UK. (Finally) did kitchen last year but I bought it secondhand from ebay and it has no fancy features like Qooker taps. I think we live quite frugally but we have enough. Our kids are used to not having expensive stuff but they have enough. DH gets all their phones/laptops etc from ebay. We pay nothing on credit.

UK wages outside of London & the South East are criminally low.

Benefits are used to bolster wages as employers don't seem to want to help.

I think the problem is far too many have been living way beyond their means. Since when did holidays, massive food orders, endless tech, eating out, endless renovations and clothes , mahhhooosive mortgages etc turn from luxuries into necessities.

People have got themselves into unnecessary debt over luxuries which adds to the financial weight of hugely unnecessary lifestyles.

Anybody struggling on ops income only has themselves to blame and no not everybody lives like that so are living perfectly well on far less.

It's your house which is your big problem. It's a money pit which has already absorbed all your savings to prop it up. What's going to happen when there is another structural issue?

I'm sure it's lovely but its only going to get more expensive to maintain.

In your shoes I would be looking at leaving it sooner rather than later.

Private school is always a hostage to fortune. Better to make the step away from it now than have your hand forced during a crucial stage.

Are you aware of how much housing costs in many parts of the UK these days? £800k for a 3 bed terrace in a crappy area someone upthread said they paid. That is the price of housing. That will easily result in the mortgage OP has. Is that luxury???

I live in another UK city. Here if you wanted to live in 3 bed in an ok school catchment you would need to spend £500k absolute minimum. If you wanted somewhere that wasn’t 1960s ugly it’s more like £700k. These are t luxurious places to live at all. That’s the price of housing.

So you put up with 1960s ugly ( which doesn’t have to be and is often far superior in quality compared to modern day housing)or move to a more affordable area and commute- like many many people do up and down the country.

Whilst some may have expensive outgoings & some have "champagne tastes on beer budgets", it is also an economic fact that the UK suffers from widespread chronic poor pay & wage disparity.

Perhaps all the people struggling on over 140K should start a support group.

We cope becasue we make £90k between us which is £5300 a month and these are our outgoings:

mortgage £720
council tax £130
gas and electricity £100
water £20
internet £40
phones £12
insurance £25
travel to work £250
mortgage overpayments & savings £500
nursery £200
food and going out £800
holiday fund £500
personal spends/savings per adult £500
=£4350 ish so around £1K spare per month.

We’ve been living fine on £3700 per month while one of us has been on parental leave with DD. We’ve had less personal spends and diverted only £200 to the holiday fund while we’ve had less.

Hear hear

Wow your housing bills are tiny! Do you live in a flat? I didn’t know it was possible to use £20 water a month given the daily charge too! Our council tax is over £300 a month..

We are on 120 K single income household. We live in a modest 2 bed rented flat. DS moved from a private primary to a secondary grammar but we still struggle . Our rents have gone up by 500 pounds since COVID, food prices are up . Can’t even think about holidays. Still 170 k should be manageable, I think

I still think your utilities is high despite the water heating issue. Our bill is 220-320 ish a month depending on the time of year and that includes broadband and 4 mobile sims with unlimited data. 4 bed house.

How old are your children? My youngest is year 5 and we’ve worked around school pickups for years (waiting list for wraparound was a year so gave up waiting!). I know you said you can’t but there are jobs where this is possible. We do a lot of shared lifts with other parents so don’t necessarily need to go out and the kids watch tv or whatever until we clock off. Oldest gets the bus so no involvement for us. That bit will ease as your kids grow, op.

Our council tax is £ 200
water £60
Electricity £60
Heatimg £ 80 average
Rent £ 1800
Broadband£40
Professional subscriptions £ 130
Public transport £ 200

everything is up

I don't support Liz Truss, she's incompetent.

Liz Truss may have altered the timeframe for increased base rate slightly but the increased base rate was only ever a return to historic norms. Ultralow base rate was an historic anomaly designed to stimulate the economy post-2008. We've never seen the like before and hopefully won't again (given the economic circumstances needed for that to happen).

We're actually running a base rate hugely lower now than the base rate from 1960 to 2000.

I pay £44 month for water. 2 bed terrace, no dishwasher, outside tap or bath. Could prob reduce a bit with fewer showers but not 1/2 it!

What are your expenses? We earn the same and save quite a bit!

This is us on 120k, what is your take home figure?

Me 3100
DP 4100
CB 280
Total 7480

Housing
Mortgage: 1900.
Insurances(life, house): 150
Total Housing: 2050
Utilities
Electricity 150
Waste collection: 30
Broadband & TV: 70
Mobile phones x3: 60
Total Utilities: 310
Food & Groceries
Groceries & household food: 500
Dining out / takeaways: 200
Total Food: 700
Transportation
Fuel: 250
Car insurance & tax: 150
Maintenance & NCT: 100
Public transport / Parking: 20
Total Transport: 520
Education & Kids
School books, uniforms, fees: 50
Activities, sports, clubs: 50
Pocket money/treats: 60
Total Kids & Education: 160
Entertainment & Lifestyle
Family outings, hobbies, gifts: 200
Subscriptions, books, etc.: 60
Miscellaneous expenses (haircuts,nails): 60
Personal spends: 200 x 2 = 400
Total Entertainment: 730
Savings & Miscellaneous
Emergency fund / Savings: 2,000
Holidays (monthly allocation): 500
Clothing: 200
Miscellaneous buffer: 300
Total Savings & Misc.: 3,000
TOTAL MONTHLY SPENDING: 7,480

I'm living on a basic pension OP, yet I feel like I have more disposable income than you. Your mortgage and childcare costs just seem enormous to me, and I'm so sorry you had to take your children out of their school, I hope they've settled down okay in the new ones. What I have found though is:- Most own brand food these days is as good as it better than branded; cheap British holidays are often more fun than foreign ones, and less worrying; Christmas doesn't have to be TOO expensive, choose one day out each rather than try to do it all, perhaps do a Secret Santa with the wider family instead of buying for everyone, and if you want some good tips watch the Christmas episode of The Good Life! Sorry, I've banged on a lot there, but I'm just trying to say that cheap and cheerful is better than expensive and worrying about the credit card debt, and I wish you and your family all the best