Budgeting - which is fair?

[melibu84]

We are working on our budget for when I go back to work, as i like to be really prepared (not actually back to work until January!). We only really moved in together when I was starting my maternity leave.

My partner earns £5k less than I do, but I work in London so my travel costs are a lot higher. At the moment, as I am only getting SMP, I have been paying for all the household bills, but my DP has used income and savings to pay the rent.

Which is fairer, or how do you do it?

1. We work out the budget so we have the same amount left over each other month
2. We just split everything 50-50.

In my own now but when was with X we made a contribution to the family 'pot' on a percentage basis of joint income...so if I brought in 60% of the monthly income and he 40% then we paid commensurate percentage of the monthly bills...

You have a child together?

In my mind after you have a child you have committed to be together as a family unit and 50/50 doesn't work. Like, you are going to keep receipts for the bottle you got for the child and ask for half back? One of you (you!) will for sure end up buying all the baby stuff etc.

So I would do it that you have an equal amount of money to spend after taking care of joint bills, child stuff, and some joint savings.

contribution to the family 'pot' on a percentage basis of joint income

Don't think that works if like the OP she has to spend maybe £5k a year on a season ticket that wipes out the income disparity.

Work out how much you would each have under the two regimes, then ask yourself, which is fair?

I think it will depend on how much 'spare' money there is in the household. If things are a bit tight, then make sure you each have the same spending money available. If things are more comfortable, then 50:50 may work better.

Keep an eye out for things changing over time, too.