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Can you help me work out what to do about my income?

9 replies

parttimesally · 16/04/2019 20:44

This is long, sorry. Just looking for some friendly advice about if there's something else I could do here and I feel really awkward asking friends, and no supportive family to ask apart from DH...

DH and I married last year. He earns 3 times my normal salary in his work, and works v long hours with a lot of responsibility. I used to be a teacher but left the profession after years of hard slog and working my guts out, and no personal life after I felt it was impacting on my wellbeing and health. After I left I managed to set up my own business doing something completely different and this has been great, but incredibly hard work! We have done really well and for the next few years I have been earning a good salary the same as what I was on as a teacher, plus employing people.

At one point, a few years ago I had a breakdown, mainly due to family issues in my past but also brought on by the stress of running a business and lying awake at night worrying about a big contractor not paying us for our products in time etc etc. I was also terrified I would have to go back into teaching which I was determined never to do. Even the stress of running a company was better as at least I was my own boss. Anyway, I recovered with counselling and the support of my DH (fiance at the time) who was amazing. He financially supported me to take a couple of months off and get the help I needed. The experience gave me a new mindset and I realised it was a habit of mine to work too hard, and I needed to make more time for me.

Anyway, fast forward to now, and my company has hit the rocks. Last summer (just before we got married (!) we lost a big contract and that slashed my business's income. It has also become really hard to sell our products or get new contracts - too outing to go into details but it's basically to do with external environmental things in the world affecting our trade. So since last year it has become clear that I am now only able to take home a quarter of the annual salary I was paying myself from the company. (Luckily my 3 team members foresaw the issues coming in our sector and all elected to leave and do different things -all got jobs- so I didn't have to make anyone redundant, but it was pretty sad and stressful anyway).

Last year, to top up my income I took on private tutoring hours, and also some lecturing at a university (part-time). So alongside my slashed company director income, I am now earning about 50% of what I was before in total. However this income comes from lots of sporadic bits and the tutoring is not permanent (termly contracts) and freelance so it doesn't feel stable.

DH and I have worked out that for each month I can continue to bring in the 50% reduced income we will be alright in terms of mortgage and bills etc, but that leaves nothing else for me and nothing for holidays or any nice extras at all, and no opportunity to save - so we would have to use the credit card if the boiler broke. Plus of course it is unstable.

I have been taking on as much additional tutoring etc that I can, as well as other bits. I have also started looking into ways my company could diversify and earn money from other profits, but this type of work is slow going and time consuming and there is no certainty I could manage to increase profits. At the same time I am also acutely aware of my MH and not burning myself out.

DH has been really supportive and asks me if I need extra money, but I always say no as I know that there isn't any without dipping into overdraft. I also feel really guilty the whole time that he works so hard and considers it all "our money" and half the time I'm at home at my desk trying to make things work but only getting paid 50% of what I used to. I do all the housework during the week as his hours are so long, but feel guilty if I do those during the daytime hours a I'm not even a sahm. (Not sure if it's relevant but we do want to start a family in the future). The good news is DH will be getting a pay rise next year, but I feel sorry because it's all on him.

For context, the normal arrangements for our finances are that my salary / earnings go into my personal account and DH's into his, and then we direct debit our mortgage and bills to a "bills account". Whatever is left is ours to spend or save (not much in my case anymore, obviously). I have been paying my income into our joint mortgage and bills account and then living incredibly frugally. I am lucky that DH's income can cover our groceries, so I am much luckier than some, but there are no extras or savings and I am worried.

Sorry for the babble. My mind is full of this really. I don't really know how to sort out this mess or what I should be doing? Does anyone have any ideas?

OP posts:
RaymondReddington · 16/04/2019 20:57

Sorry to hear the business has took a different direction.

There is a thread running about joint and separate accounts and it might be worth a read. Personally, it shouldn’t be his money and your money. Stick it all in one account, take all bills from the same account. Whatever is left is discussed and spent accordingly.

You are being frugal and not being silly with your money, but you have no idea if DH is spending £30 a week on coffee / lunch / vending machine, so surely a pooled pot of money makes more sense.

I would ask yourself honestly, why do you feel guilty for not contributing more? Is it guilt that the business is failing / declined? Or is it because DH is working hard?

If the latter, you’re working hard too and DH is an adult and committed to you by marrying you, so there shouldn’t be any “guilt” feeling on your part.

RaymondReddington · 16/04/2019 21:00

Pressed send too soon...

I’d also consider what is in your control vs. What isn’t in your control?

Your mind is frazzled because your over thinking and wanting things to change that perhaps can’t be changed.

Might be worth writing down all the worries and stresses in one column and what the solutions are in another. If there are no solutions, it’s out of your control. It will help with your expectations of what you can and can’t change.

stucknoue · 16/04/2019 21:03

Sometimes seeing a job coach/life coach is a worthwhile thing to do. Running your own business is very stressful, teaching is but different, higher ed can be short term contracts. - is there something else you want to do?

AdaColeman · 16/04/2019 21:05

What sort of age are you sally?

NerdyBird · 16/04/2019 21:14

my first question is are you contributing equally or proportionately? We have the same set up - salaries into personal accounts and then agreed contribution out to joint account. DH pays more than I do as he earns more.
Secondly are there outgoings you can cut back on?

RedSkyLastNight · 16/04/2019 22:02

So on your current income (about half a teacher's) salary, you and DH combined can just about make ends meet? Clearly you are a skilled person, so I would imagine you can find a full time, hopefully not too stressful job that enables you to increase your income (your current hourly rate must be quite poor).

However, in view of your comment about starting a family, I wonder if you really need to look at how to cut your outgoings very seriously (possibly considering different decisions like moving to a cheaper area). Unless you have free childcare available to you, having a baby will mean that as a couple one or both of you work fewer hours, or you pay out in childcare I.e. you're unlikely to have more to live on than you do now even if you do get a better paid job.

parttimesally · 16/04/2019 23:29

Thanks all. To answer the questions we are early / mid 30's.

I realise I am talking down on myself quite a bit and feeling quite negatively about my contribution.

OP posts:
parttimesally · 16/04/2019 23:30

Sorry posted too soon.

We contribute to mortgage etc proportionally as DH's salary is now 6 times mine.

OP posts:
purple92 · 17/04/2019 10:47

Is there any other way to achieve the same figure if your salary that is at minimum 50% of what your salary was?
Even if it means taking on a different job part time?

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