Salary article - accurate or not?
Discussion
https://upthegains.co.uk/blog/is-100k-a-good-salar...
Woukd people say this article is valid. We were debating at work whether 100k is actually a good salary or whether it is hyped up to be something it actually is not?
Woukd people say this article is valid. We were debating at work whether 100k is actually a good salary or whether it is hyped up to be something it actually is not?
Edited by Racehorse on Monday 31st July 22:45
Unsure how this differs from the other 100k topic tbh
Yes it’s a good income but you won’t be sipping Dom Perignon on your private yacht off the coast of Monaco on it.
Likely you’ll live very similarly to people on lesser salary, except you’ll have a slightly larger house (mortgage) and own a few more expensive (pcp’d) shiny things, maybe go an extra holiday a year or upgrade from the tui 4* to the tui 5* AI annual vay-cay.
Apart from that you’ll shop in Asda with the rest of the peasants.
Yes it’s a good income but you won’t be sipping Dom Perignon on your private yacht off the coast of Monaco on it.
Likely you’ll live very similarly to people on lesser salary, except you’ll have a slightly larger house (mortgage) and own a few more expensive (pcp’d) shiny things, maybe go an extra holiday a year or upgrade from the tui 4* to the tui 5* AI annual vay-cay.
Apart from that you’ll shop in Asda with the rest of the peasants.
Edible Roadkill said:
Unsure how this differs from the other 100k topic tbh
Yes it’s a good income but you won’t be sipping Dom Perignon on your private yacht off the coast of Monaco on it.
Likely you’ll live very similarly to people on lesser salary, except you’ll have a slightly larger house (mortgage) and own a few more expensive (pcp’d) shiny things, maybe go an extra holiday a year or upgrade from the tui 4* to the tui 5* AI annual vay-cay.
Apart from that you’ll shop in Asda with the rest of the peasants.
Why will you live similarly to someone on lesser salary? 30k vs 100k is big diff ss exampleYes it’s a good income but you won’t be sipping Dom Perignon on your private yacht off the coast of Monaco on it.
Likely you’ll live very similarly to people on lesser salary, except you’ll have a slightly larger house (mortgage) and own a few more expensive (pcp’d) shiny things, maybe go an extra holiday a year or upgrade from the tui 4* to the tui 5* AI annual vay-cay.
Apart from that you’ll shop in Asda with the rest of the peasants.
jrb43 said:
supersport said:
That’s a very poor article, was it written by a bot.
Roadkill has it about right.
Suspect so. Or some clickbait template. Insert “country” and “income” to generate infinite articles. Don’t bother.Roadkill has it about right.
£100k puts you more or less in the top 1% of earners. Its sounds exclusive, but it's not. Top 1%, i.e., for every 100 people, there is 1 person earning that. On your typical saturday shop there are maybe 500 people in the big supermarket, there will be 5 of you.
Earning at that level generally gives better choices and less worry about disposable income, so you may be shopping in a more upmarket grocer or shop... a bit of social self selection and common behaviour suggests you'll be amongst peers in that environment, so maybe 20% of people in the grocer are earning at or near that level.
It'll be regionally biased, so in the SE where salaries are higher, and in the city centres where they are higher, there will be a greater concentration of the 1%'ers, so it'll feel quite average / normal. Outside those areas, you'll perhaps struggle to find anyone close to that earning level and it'll be reflected in shops you probably won't visit and places you won't go (because you have the luxury of choice).
Even on here, cars can be an expensive hobby. There will be a greater concentration of 1% in PH I'd think, making it feel like it's not a lot of income as the comparator bias is much higher with those others who post.
You'll not live like a king on £100k, and in some parts of the country it may even be a struggle if you are saddled with a huge mortgage. But on balance, you can certainly live comfortably on it in most places doing normal things without too much worry about affordability, and have the capacity to indulge in more luxury and discretionary spend. Which is nice.
However nice that is, remember the other 99%, and probably the bottom 50% are may well be having a really tough time.
Earning at that level generally gives better choices and less worry about disposable income, so you may be shopping in a more upmarket grocer or shop... a bit of social self selection and common behaviour suggests you'll be amongst peers in that environment, so maybe 20% of people in the grocer are earning at or near that level.
It'll be regionally biased, so in the SE where salaries are higher, and in the city centres where they are higher, there will be a greater concentration of the 1%'ers, so it'll feel quite average / normal. Outside those areas, you'll perhaps struggle to find anyone close to that earning level and it'll be reflected in shops you probably won't visit and places you won't go (because you have the luxury of choice).
Even on here, cars can be an expensive hobby. There will be a greater concentration of 1% in PH I'd think, making it feel like it's not a lot of income as the comparator bias is much higher with those others who post.
You'll not live like a king on £100k, and in some parts of the country it may even be a struggle if you are saddled with a huge mortgage. But on balance, you can certainly live comfortably on it in most places doing normal things without too much worry about affordability, and have the capacity to indulge in more luxury and discretionary spend. Which is nice.
However nice that is, remember the other 99%, and probably the bottom 50% are may well be having a really tough time.
Edited by biggles330d on Saturday 29th July 09:05
https://upthegains.co.uk/blog/is-100k-a-good-salar...
This is not bot generated but is very positive about 100k salaries?
This is not bot generated but is very positive about 100k salaries?
biggles330d said:
£100k puts you more or less in the top 1% of earners. Its sounds exclusive, but it's not. Top 1%, i.e., for every 100 people, there is 1 person earning that. On your typical saturday shop there are maybe 500 people in the big supermarket, there will be 5 of you.
Earning at that level generally gives better choices and less worry about disposable income, so you may be shopping in a more upmarket grocer or shop... a bit of social self selection and common behaviour suggests you'll be amongst peers in that environment, so maybe 20% of people in the grocer are earning at or near that level.
It'll be regionally biased, so in the SE where salaries are higher, and in the city centres where they are higher, there will be a greater concentration of the 1%'ers, so it'll feel quite average / normal. Outside those areas, you'll perhaps struggle to find anyone close to that earning level and it'll be reflected in shops you probably won't visit and places you won't go (because you have the luxury of choice).
Even on here, cars can be an expensive hobby. There will be a greater concentration of 1% in PH I'd think, making it feel like it's not a lot of income as the comparator bias is much higher with those others who post.
You'll no live like a king on £100k, and in some parts of the country it may even be a struggle if you are saddled with a huge mortgage. But on balance, you can certainly live comfortably on it in most places doing normal things without too much worry about affordability, and have the capacity to indulge in more luxury and discretionary spend. Which is nice.
However nice that is, remember the other 99%, and probably the bottom 50% are probably really really having a tough time.
This sounds very balanced.Earning at that level generally gives better choices and less worry about disposable income, so you may be shopping in a more upmarket grocer or shop... a bit of social self selection and common behaviour suggests you'll be amongst peers in that environment, so maybe 20% of people in the grocer are earning at or near that level.
It'll be regionally biased, so in the SE where salaries are higher, and in the city centres where they are higher, there will be a greater concentration of the 1%'ers, so it'll feel quite average / normal. Outside those areas, you'll perhaps struggle to find anyone close to that earning level and it'll be reflected in shops you probably won't visit and places you won't go (because you have the luxury of choice).
Even on here, cars can be an expensive hobby. There will be a greater concentration of 1% in PH I'd think, making it feel like it's not a lot of income as the comparator bias is much higher with those others who post.
You'll no live like a king on £100k, and in some parts of the country it may even be a struggle if you are saddled with a huge mortgage. But on balance, you can certainly live comfortably on it in most places doing normal things without too much worry about affordability, and have the capacity to indulge in more luxury and discretionary spend. Which is nice.
However nice that is, remember the other 99%, and probably the bottom 50% are probably really really having a tough time.
1 in 5 or 5 in 500 sums up why this is a robust salary but where are you actually gettinf top 1% from?
This is a good video on the subject
https://youtu.be/BcmqzQnaWLI
100k is a very high income but it won't make you wealthy
https://youtu.be/BcmqzQnaWLI
100k is a very high income but it won't make you wealthy
This is a couple of years old - I previously found some calculator that worked out where you were on the distribution at different salary levels but can't find it now.
https://www.thisismoney.co.uk/money/comment/articl...
The numbers might be a little different to the article today but the general point still stands. 1% is still enough people among the working population for it not to that uncommon to find them, add in a bit of social reality that you tend to mix, shop, hang out, have common interests, display similar behaviours in terms of approach to discretionary spending with people who are generally doing similarly well (very broad brush statement, I accept, but its generally my experience with the exception of old school friends and those who you have other social and family ties to that haven't been collected along life's journey) and if you are around that 1% space it probably feels quite normal, whereas if you aren't, i.e. the vast majority of people and especially those around the median income level it probably feels utterly unobtainable and the sort of income that lets you live like the Kardashians. When it's not anywhere near that. You'd want to be in the 0.1% club or less to start to feel properly wealthy.
I can certainly appreciate how envy (or aspiration) creeps in and people very easily start chasing the 1% lifestyle on borrowed money and get into all sorts of trouble. Business has become very smart, especially in an era of minimal interest rates, to put the visual trappings of that income level within financing range of people whose actual income probably doesn't support it very securely.
https://www.thisismoney.co.uk/money/comment/articl...
The numbers might be a little different to the article today but the general point still stands. 1% is still enough people among the working population for it not to that uncommon to find them, add in a bit of social reality that you tend to mix, shop, hang out, have common interests, display similar behaviours in terms of approach to discretionary spending with people who are generally doing similarly well (very broad brush statement, I accept, but its generally my experience with the exception of old school friends and those who you have other social and family ties to that haven't been collected along life's journey) and if you are around that 1% space it probably feels quite normal, whereas if you aren't, i.e. the vast majority of people and especially those around the median income level it probably feels utterly unobtainable and the sort of income that lets you live like the Kardashians. When it's not anywhere near that. You'd want to be in the 0.1% club or less to start to feel properly wealthy.
I can certainly appreciate how envy (or aspiration) creeps in and people very easily start chasing the 1% lifestyle on borrowed money and get into all sorts of trouble. Business has become very smart, especially in an era of minimal interest rates, to put the visual trappings of that income level within financing range of people whose actual income probably doesn't support it very securely.
Trustmeimadoctor said:
This is a good video on the subject
https://youtu.be/BcmqzQnaWLI
100k is a very high income but it won't make you wealthy
According to that 100k is not top 1%? 175k is top 1%https://youtu.be/BcmqzQnaWLI
100k is a very high income but it won't make you wealthy
Is 100k top 3% maybe?
100k is around top 5% in the U.K. nowadays.
Not uncommon, depending on what industry you work in it can be very common salary.
It still doesn’t mean you are well off though.
How much you spend & what the other household income is will play a massive part.
2x 50k incomes in a family home with a couple kids will go a lot further than a single 125k income.
Not uncommon, depending on what industry you work in it can be very common salary.
It still doesn’t mean you are well off though.
How much you spend & what the other household income is will play a massive part.
2x 50k incomes in a family home with a couple kids will go a lot further than a single 125k income.
It's an interesting topic and my assumptions on 1% are clearly a bit out of date. This is more recent, from IFS. Seems £160kish is 1% or there or thereabouts.
https://ifs.org.uk/publications/characteristics-an...
The bit about how that income is biased demographically and geographically adds an awful lot to the perception of wealth, I'm sure.
You can understand how the vast majority see high earners and how, if they suddenly find themselves in that position it tends to get squandered quite quickly on the assumption it buys much more than it actually does, whereas those who've grown into that position over time might be a cautious spender fully knowing that you can't go mad on that salary. It just buys more options.
Going the other way, you can also appreciate if you are in that higher income bubble (even at 5% of earners), your perception of norms must make it very hard to fully appreciate how hard it is to live on a salary at the median level and especially now with hugely increasing basic living costs, it's not just a case of trimming discretionary spend but making some pretty hard and uncomfortable choices.
https://ifs.org.uk/publications/characteristics-an...
The bit about how that income is biased demographically and geographically adds an awful lot to the perception of wealth, I'm sure.
You can understand how the vast majority see high earners and how, if they suddenly find themselves in that position it tends to get squandered quite quickly on the assumption it buys much more than it actually does, whereas those who've grown into that position over time might be a cautious spender fully knowing that you can't go mad on that salary. It just buys more options.
Going the other way, you can also appreciate if you are in that higher income bubble (even at 5% of earners), your perception of norms must make it very hard to fully appreciate how hard it is to live on a salary at the median level and especially now with hugely increasing basic living costs, it's not just a case of trimming discretionary spend but making some pretty hard and uncomfortable choices.
Edible Roadkill said:
100k is around top 5% in the U.K. nowadays.
Not uncommon, depending on what industry you work in it can be very common salary.
It still doesn’t mean you are well off though.
How much you spend & what the other household income is will play a massive part.
2x 50k incomes in a family home with a couple kids will go a lot further than a single 125k income.
why would you not be well off?Not uncommon, depending on what industry you work in it can be very common salary.
It still doesn’t mean you are well off though.
How much you spend & what the other household income is will play a massive part.
2x 50k incomes in a family home with a couple kids will go a lot further than a single 125k income.
biggles330d said:
It's an interesting topic and my assumptions on 1% are clearly a bit out of date. This is more recent, from IFS. Seems £160kish is 1% or there or thereabouts.
https://ifs.org.uk/publications/characteristics-an...
The bit about how that income is biased demographically and geographically adds an awful lot to the perception of wealth, I'm sure.
You can understand how the vast majority see high earners and how, if they suddenly find themselves in that position it tends to get squandered quite quickly on the assumption it buys much more than it actually does, whereas those who've grown into that position over time might be a cautious spender fully knowing that you can't go mad on that salary. It just buys more options.
Going the other way, you can also appreciate if you are in that higher income bubble (even at 5% of earners), your perception of norms must make it very hard to fully appreciate how hard it is to live on a salary at the median level and especially now with hugely increasing basic living costs, it's not just a case of trimming discretionary spend but making some pretty hard and uncomfortable choices.
Seems mad that 43% of adults pay no income tax at all. https://ifs.org.uk/publications/characteristics-an...
The bit about how that income is biased demographically and geographically adds an awful lot to the perception of wealth, I'm sure.
You can understand how the vast majority see high earners and how, if they suddenly find themselves in that position it tends to get squandered quite quickly on the assumption it buys much more than it actually does, whereas those who've grown into that position over time might be a cautious spender fully knowing that you can't go mad on that salary. It just buys more options.
Going the other way, you can also appreciate if you are in that higher income bubble (even at 5% of earners), your perception of norms must make it very hard to fully appreciate how hard it is to live on a salary at the median level and especially now with hugely increasing basic living costs, it's not just a case of trimming discretionary spend but making some pretty hard and uncomfortable choices.
Racehorse said:
Edible Roadkill said:
100k is around top 5% in the U.K. nowadays.
Not uncommon, depending on what industry you work in it can be very common salary.
It still doesn’t mean you are well off though.
How much you spend & what the other household income is will play a massive part.
2x 50k incomes in a family home with a couple kids will go a lot further than a single 125k income.
why would you not be well off?Not uncommon, depending on what industry you work in it can be very common salary.
It still doesn’t mean you are well off though.
How much you spend & what the other household income is will play a massive part.
2x 50k incomes in a family home with a couple kids will go a lot further than a single 125k income.
if i was single with no kids, I'd feel quite well off
sawman said:
depends on your situation, I dont feel particularly well off at this point - have been supporting kids at uni for the last 5 years (for the last year 2 at the same time)- the last couple of months have been paying their rents for this years lodging and next years lodging, plus our mortgage
if i was single with no kids, I'd feel quite well off
if I had to pay for uni fees, I would do so using savings as opposed to monthly wage. Plus they get loan?if i was single with no kids, I'd feel quite well off
panholio said:
Seems mad that 43% of adults pay no income tax at all.
It does, but then taxing lower earners more isn't going to do them any favours at all so it would be political suicide to suggest it, especially in current times. I'm a little surprised I'm leaning in this direction if I'm honest, but at face value it does seem that the 43% stat isn't entirely unrelated to the widening inequality / earnings gap. If there was a more balanced spread of earnings, the median increased and the higher incomes reduced a bit so we are all more closely clustered in the middle, there would be more scope for that 43% to reduce so more of us are paying in. Sadly, that ain't the world we are in nor does it appear to be the direction we are going in.
It's complex and would I suspect involve pricking the house price bubble in some way, which would involve a lot of middle England taking a lot of pain, which no politician will do no matter how obvious it is.
Best we can all do it work a bit harder to make more opportunities for ourselves to earn more and accept that's going to come with a greater burden to fund the overall tax take. And then moan about it, look up at those earning more than us and say they should be paying more.
Racehorse said:
if I had to pay for uni fees, I would do so using savings as opposed to monthly wage. Plus they get loan?
they dont get much due to my earnings, student finance loan 1500ish per term - rent for not particularly special flat in edinburgh 700 pcm single household income of 100k, is similar in net terms to a couple earning 35k ish each. I am not complaining I am poor, but 100k isnt what you might imagine,
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