How do people afford it?

nickj_2

work out the difference between what you need and what you want

Rachie_B

bestpud wrote: »

Thinking I'm going mad, or thinking you've seen this thread before?

3KIDSNOMONEY - please don't shout. I wasn't having a go at all, honestly!
It was an observation that's all and anyway, I don't think it hurts to repeat some general money themes every now and again. People come and go and life changes, so fresh insight is good imo.

both :rotfl:

Irisheyes648

I am lucky enough that we manage pretty well, we have one child and I am a stay at home mum so we live off hubbies wages (40, 000) I gave up a well paid job to stay at home with my little boy that was choice and I was lucky to have this choice. We had been married for 14 years before having him so were already in a comfortable position any way. Luckily I can budget well, we run two cars but hubby does cycle to work (choice) we have about 6 holidays a year......but we own an old caravan so holidays for us a pretty cheap. I refuse to line the supermarkets pockets so nearly everything I buy is the cheapest I can get apart from meat......but this is usually reduced. We don't use credit cards everything is bought from the monthly budget or saved for. We can afford to live a more expensive life but we choose not too!!!

People I know are in serious debt with 3 children 2 cars both partners work, cost of childminders etc etc but refuse to step back and take a look at their spending habits........................why work when most of you wage is spent on child care.............that makes no sense to me????

Our little boy wants for nothing he his happy,secure,content, fed, watered, and clothed:T we can sleep at night knowing we are not up to our eyes in debt..............unlike some friends who probably earn more and are in more debt........but hey ho the world swings in roundabouts.

eve13_2

Hi all
Have been reading posts for nearly a year but this is my 1st try. I've reared 2 lovely kids on my own on very low income. I maybe weird but I enjoyed the challenge and my kids had me at home after school and in holidays. i never had a car, didn't drink or smoke. Instead I had my kids childhood to share and that is priceless. My youngest left home at 17, 4 years later has her own place and her favourite pastime is walking with her OH. My son is autistic and can make your entire view of the world change. Yes I do owe money, and yes sometimes I wish I had lots of money. Then I remember money only buys things, love is freely given and freely accepted.

MoneySlider

I have two jobs. The first job pays the bills and gives me enough to live off, the second job pays for holidays, stuff for the house and going out. If you want to live the high life you have to work for it. Or be very lucky!!!

eco123

A subject close to my heart....

I work 3 days a week & earn a modest income with my wife earning a small wage too. I suspect some of the people running around in flash cars have little idea of what really counts in life, they seem very materialistic in my opinion (I'm not generalising but from those I know it's clearly the case).

I have pretty much the whole week free & suffer no stress because I am 100% debt free with just a very small mortgage.

I got into debt with credit cards 20 years ago & lucky for me my parents bailed me out....I had to pay back every single penny with interest. I did this & it completely changed my views on money & life in general. I now enjoy a very high quality of life & unless I'm seriously mistaken, that's what life is about...isn't it?

I'm making good progress with saving them money also, I recently got the £120 cashback from Quidco for their home & contents insurance...their initial quote was for £130...so a full years insurance for £10. They deserve the best & i'm happy to get them the best deals, it gives me great pleasure.

So, Thanks Mum & Dad... I love you both tons xxx

seven-day-weekend

We live on a total income of about £10,000 a year at the moment. We are early-retired, and have no mortgage and no debts.

BUT since getting rid of our debts in 2005 from the sale of a property, and discovering this site, I now buget our money which I didn't do before when we were both working. It goes much further. Also we only use cash. And living in southern Spain is much cheaper than living in the UK..

However, we live simply. We have one nine-year-old car, no Sky, no Broadband (it's over 40 euros a month here), buy cheap clothes, we don't smoke (we do like our red wine but it's so cheap here). We don't have a dishwasher, a tumble dryer, a microwave or an iron.

Maybe people might look at our lack of 'stuff' and think we are poverty-stricken, however we are not and in fact are able to go out for breakfast 4-5 times a week and still save a bit.

We still have our (mortgage-free) house in the UK, but this is lived in by our son and two lodgers and their rents cover all the bills and other expenses. It has to pay for itself as we cannot afford to subsidise it. If/when we come back to the UK, we shall make our Spanish house available for short-term rentals, which should cover its extremely low outgoings.

In the UK I think a HUGE amount of money goes on housing. The cost of mortgages these days makes me want to faint! And childcare! I sometimes look at what people spend on it and think they would be better off staying at home. Someone here mentioned £800 pcm and that was why they couldn't afford a second child. - well that's more than I earned when I was working (2004)! Wouldn't it be better to stay at home? Then they COULD have another baby!

Anyway, back to the OP, I'm sure you're doing a great job, but do make sure that you are not spending too much money on 'stuff' for the children. You haven't mentioned that you do this, but you did say you couldn't give them everything they want. Well, they don't have to have everything they want - they won't be deprived. A holiday camping or visiting friends is still a holiday and the children will enjoy it just as much.

Anyway, I've waffled on long enough.

ceridwen

Its spending/having to spend on the "big ticket" items that causes difficulties for most of us. If you dont have a mortgage/dont run a car and only have children if you can afford them - then you can manage even if you are only earning National Minimum Wage.

Its not having the mortgage thats key - and I do feel sorry for people lumbered with heavy mortgages (I can relate to that - as I used to - and all the economising on the one hand and having to earn extra income wherever I could - lodgers, overtime, etc that came with that).

Mortgages are something you get lumbered with - you have to have a roof over your head. Children are a choice - and, yes, I appreciate I am lucky not to have any maternal urges (thank goodness - considering how I have had to struggle as a childless person - my mind boggles at the extra expense that would have been involved in having children). One of the reasons I didnt have children though is I had read the articles laying out exactly how much it costs to have them - and realising I'd never have over £100,000 or whatever the figure per child is - even if I took all the financial help the State gives, which I wouldnt choose to do.

I have worked out that - with being free of those 3 major expenses - that (even though I live in a dear area) I can live a reasonable standard life (including 2 holidays a year) once I have finished getting my house sorted and got a bit of savings (though - in my case - unfortunately it has taken so long to get in this position on my low salary as a single person - that I will darn nearly be retirement age by the time I have done that!!)

(Net result of all the above - its going to be "hello financial freedom AT LAST" in one breath and "Lovely - retired at last" in the next breath - with barely a breath taken in between the two sentences!! - and I am very good with money!)

liney

Do remember what although people say they spend £800 pm on child care, they often neglect to mention the tax credits they get to balance it off.

Just done the sums and 2 children, 30k join income with £200 per week child care results in £166 per week tax credits, so actually the child care costs a mere £34 per week!

dubgirl

hi liney, I would like to know how your friends get loads of tax credit. we paid £700 per month for DS to go to nursery 4 days a week and get £40 per month tax credit. At the time we had a joint income of approximately £38,000 and I was informed that once your joint income was between approximately £21000 and £58000 (not sure of exact figures) then all you get is £40. I know for a fact having spoken to colleagues at work and friends that this seems to be the case with everyone I know who claims tax credits. We were also told that an income of £38000 meant that we were not entitled to WTC