Income brackets: PERCEPTIONS of low and high?

lostinrates

jgh wrote: »

Median UK household income is 25k, so by definition, under 25k is a low income, over 25k is a high income. If you want to split it into thirds, under 19k is low (0%-33%), 19k to 32k is middle income (33%-66%), over 32k is high income (66%-100%).

The op very specifically requests that we do not tether our perceptions (at least initially) to 'real' figures. While in realtiy its hard to do that I think its probably pretty unlikely when we are making any 'value' or 'estimation' judgements in real life any but the most mathematical among us are relating that to median uk household income.

chucknorris

BillJones wrote: »

Well it's not really stating the obvious any more than your perception of amounts is. The thread was asking for percetions about variousl levels, so I added mine ,which is, I fully understand, from reasonably close to one end of the distribution.

But it is stating the obvious! Which is that if you don't have significant capital or equity but you are on a decent salary of £200k you are still not going to be more than 'comfortable' in the more desirable parts of London. Maybe it just isn't obvious to you.

lostinrates

chucknorris wrote: »

But it is stating the obvious! Which is that if you don't have significant capital or equity but you are on a decent salary of £200k you are still not going to be more than 'comfortable' in the more desirable parts of London. Maybe it just isn't obvious to you.

Ok, ok,.....

So what could take from this is ) issue that income without understanding capital isn't really that comprehensive a picture of 'comfort' or 'wealth'.


I know this feels like stating the obvious but the fact were saying it means regardless of how obvious it should be the complexity might possibly confuse our perception?

chucknorris

lostinrates wrote: »

Ok, ok,.....

So what could take from this is ) issue that income without understanding capital isn't really that comprehensive a picture of 'comfort' or 'wealth'.


I know this feels like stating the obvious but the fact were saying it means regardless of how obvious it should be the complexity might possibly confuse our perception?

What I am saying is that perceptions of what is low/high salary is subjective and depends upon your perception, I think we can all agree on that.


But what is obvious is that if you want a property outside the reach of a mortgage fundable by a £200k salary then what he said is obvious:


'then £200k is not going to take you above "comfortable". It's not going to buy you one of the nicer flats, let alone a nice house, in town, for one thing'


It is just plain common sense that if you want a property more than a £200k mortgage can fund, then you can't achieve that without significant equity or cash.


Edit: You could possibly rent the property that you wanted though, although I would never do that.


Double edit: I think one of the advantages often overlooked at owning in London is that you can later downsize (if that is the right word) possibly to a bigger property (some would say better) in area to somewhere like Surrey.

MumOf2

We are on a joint income of £105K (£65K and £40K). We also enjoy the benefits of occasional lump sums from family interests. We have four children, two of whom are off the payroll, one at university and one two years to go to university. We have to have two properties because of working in different cities hundreds of miles apart. And it's the last factor that's the killer - if it weren't for the dual upkeep we'd feel 'wealthy' rather than 'getting by'.


Real working class backgrounds (down the mines and scrap metal dealership) but had the benefits of the wonderful Tory education system that was disgracefully destroyed by the Labour government in the 1960/70s.


My perception is that in the Midlands, household income of <£30K is low; £30 - £80 is middle; >£80 is high; >£150 is the reserve of medics and GPs. The cost of living is pretty low here and particularly house prices are rock bottom (you can get a very comfortable 4 bed/2 bath with good garden in a nice area for <£250K).


Hope this has been a useful contribution.


MumOf2

lostinrates

MumOf2 wrote: »

We are on a joint income of £105K (£65K and £40K). We also enjoy the benefits of occasional lump sums from family interests. We have four children, two of whom are off the payroll, one at university and one two years to go to university. We have to have two properties because of working in different cities hundreds of miles apart. And it's the last factor that's the killer - if it weren't for the dual upkeep we'd feel 'wealthy' rather than 'getting by'.


Real working class backgrounds (down the mines and scrap metal dealership) but had the benefits of the wonderful Tory education system that was disgracefully destroyed by the Labour government in the 1960/70s.


My perception is that in the Midlands, household income of <£30K is low; £30 - £80 is middle; >£80 is high; >£150 is the reserve of medics and GPs. The cost of living is pretty low here and particularly house prices are rock bottom (you can get a very comfortable 4 bed/2 bath with good garden in a nice area for <£250K).


Hope this has been a useful contribution.


MumOf2

Thank you mum of 2. It is. You certainly showed a super ability to 'Rtq' . I appreciate it.

somethingcorporate

I have skewed perceptions given the income levels I am used to and that of my peers. Amongst my closest friends <£50k is low, £50-80k is moderate and £80k+ is high but lots of them are working in the city/lawyers in banks etc and are well into their careers (approaching/reached 30). Compared to my family and my city <£15k is low, £15k-25k is moderate and £25k+ is high. I was very fortunate to get a few years in london under my belt to start my career allowing me and my wife to move back north with our london salaries.

I feel blessed to have the job and earning potential I do have

lostinrates

somethingcorporate wrote: »

I feel blessed to have the job and earning potential I do have

Then this makes you rich indeed, what ever anyone's perspective can be, IMO.:)

movilogo

I have simple rule. Anyone earning more than me, is rich. Anyone earning less than me, is poor

Earning alone may not determine anything. What all matters is how much spare cash one is having after the expenses.

One may be earning too much, but his outgoings is also likely to be too high.