Income/Outgoings...

wymondham

I've been reading lots of posts recently on this board and found that the bigger the wage you earn, the more financial difficulty you often seem to be in - seems to be rather odd, but lots of recent posts with people being on really good wages, with quite horrifying debt/money management causing real problems getting another mortgage etc..... Maybe it's all expectations or is this a sign of the times ahead?

pollyanna24

I suppose the problem is you expand to your wages.

Me and bf are extremely careful when it comes to money and I suppose we are on what you would call okay wages (£56K combined). But our mortgage is quite big and we need to keep that income in order to stay afloat.

However, I am now pregnant and I earn the most money. This could be a potential problem, but we have savings.

Maybe the people who earn more money just don't think about money too much whereas people on lower incomes have to account for every penny.

wymondham

pollyanna24 wrote: »

I suppose the problem is you expand to your wages. Maybe the people who earn more money just don't think about money too much whereas people on lower incomes have to account for every penny.

I think you've hit the nail on the head, the more you earn the less value money has. People seem to be expanding beyond their wages!

Trying_to_be_good

wymondham wrote: »

I think you've hit the nail on the head, the more you earn the less value money has. People seem to be expanding beyond their wages!

I also think it's that the more you earn the more people were willing to lend you (up until the credit crunch, anyway!) so there was more scope to get into greater debt.

beecher

I agree with you and it is a sign of how things have changed - the norm used to be that people would save up to buy a major purchase, but now they tend to borrow the money rather than wait. I suppose the more money you have coming in, the more you're likely to want to buy major purchases.

I am hopeful that the 'credit crunch' will lead to a long term change in how people look at their finances. Hopefully with no more easy credit, people will return to the days of saving up instead of spending.

Cornishpixie_2

I know what u r saying. I used to be a nurse till recently. Now I have less money but my life feels richer. No more shifts/night work. More time for self and kids. When I was working any money I had left went on things like wine, cd's, food DVDS, clothes and days out to cheer me up?! When I was working could still never afford a car or holidays. Complete madness. Having career break then going to start looking for new job.