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Millions and billions


TigerTedd

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11 minutes ago, SillyBilly said:

Perhaps some would but I don't know any of them and I know a few personally. IME, they're ordinary people with perhaps extraordinary bank balances, to say otherwise would be giving too much credit in any case. So I doubt there would be much of an investment in time comprehending anyone elses' contentment vs their own, another families problems or concerns vs their own etc. So as ordinary as anyone else in every other way. Its the same problems for everyone IMO, money doesn't shelter anyone from relationship problems, deaths, internal struggles etc. 

FWIW I don't think (rich) people are easily able to draw a line of before and after either. As if you morph into a different person and suddenly start seeing the world differently. Perhaps if an angle is to portray a "them and us" mentality then that may apply, for me, it doesn't. You earn £20-30k a year? Well, your lifestyle adjusts to the income, along with all its challenges. Earn £60k? Your lifestyle adjusts. Earn £120k, again it moderates, the transition almost seamless through the income levels. £250-500k...you'd be surprised how this then becomes a new "normal", just like the £20-30k once did. However, at no point do you wake up and feel any different, you're the same person. May not be worrying about the rent payment at month end on the latter end of the scale but life feels much the same apart from that. If I went back to square one I would adjust back to a new income...because I'd have to, its as simple as that. And still nowhere I feel more comfortable than my modest childhood home, never leaves you.

Anyway, I'm at risk of trying to defend when I only want to offer my perspective, which could be different to others. I know I wouldn't have bothered without financial reward though, pay me a wage and I'd deliver in accordance to what I feel that wage deserves in terms of effort. I've always had pride in any work at any payscale, PAYE or own businesses, but with the former its wrapped in conditions, so I can understand a union mentality (as per Ram-Al). Albeit, uncap it in the latter and I will be incentivised to make things happen. One of my businesses is an appreciable exporter so I like to think these are jobs I have genuinely brought to the U.K., all of those jobs started as an idea in my head at some point in time, ideas which cost me money with no returns for quite a few years in some cases, a lot of sweat equity too...but in the end, genuine income in foreign currency coming into our country (not recirculating the same currency within domestic services) & a lot of tax money to pay for public services. If you capped at some point along the way, with a hypothetical 100% above an arbitrary number as postulated upthread, what is the incentive for people like me to do anything other than create my own job, hire a few employees to whatever the limit the then government decides is "reasonable" for me to live off? Fundamental misunderstanding of human nature, even if that nature is not liked. We live in an international world, if we don't fulfil the export need here, someone else would in another country.

 

I definitely se shout point. I earn a lot more now than I did 5 years ago. But our lifestyle has changed, our kids do more activities, we’ve got slightly over cars with bigger payments, we’ve been on some nicer holidays with the credit cards payments to pay back. And we have 2 more kids, which doesn’t help. So I still end up with the same (basically nothing) money at the end of the month. 

But I still reckon there’s a point at which you’re accumulating money faster than you can spend it.

Like you work hard to get to a mil a year. Or 2 mil, or whatever arbitrary number. But the. You fit have to work much harder to get to 10 mil or 20 mil. That wasn’t really the aim when you started working hard. The aim was to earn a decent wedge to live comfortably. Be a millionaire or whatever that looks like. But at some point, money just makes money and then you’re accumulating money for the sake of it. You can go on your super luxury holidays, and drive your super luxury cars, and send your kids to private school and yet you still make more money. So you buy property and invest in other businesses and make more yet more money.

There has to be a point at which you just don’t need any more money. There’s more than you know what to do with. 

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1 hour ago, TigerTedd said:

You’ve pretty much described me a to a tee there.

im not sure what business forum I’m part of (although I have signed up to a lot of things with the same user name), but you are right that I don’t have to worry about installing a Scrooge mcduck swimming pool just yet. I’ve been starting businesses since 2009, or even before that since I was a freelance graphic designer at uni. But it’s always been a slog just to break even. 

There’s something different about this latest venture though. It’s very exciting, and moving at a ridiculous pace. I think, as much as I’m that person you describe, I’m missing something to take it to the next level. More than 150 ish transactions a day would terrify me. That’s when I would have to start thinking about a big work force. Up to 150 transactions a day and I can still pretty much handle this myself, with my trusty wife at my side, and maybe an apprentice. Beyond that, we’re talking investors and offices and that’s all a bit scary.

but that’s kind of what I was getting at in the original post. There is that next next level where that isn’t so scary, and once you make your first million the second comes easier. I always set that money breeds money. And I guess it all snowballs from there. I don’t think I’ll ever be at that next next level. Like I couldn’t imagine being the owner of Tesco, for example, with thousands of staff and locations and things to manage. That’s all just too big for my tiny mind to comprehend.

not saying they don’t earn their money, but I just wouldn’t know what to do with that kind of money. 

Like anyone I can only speak from my own experience, starting businesses is incredibly easy as you'll know, £12 easy to be specific, making any money from them is somewhat tougher, as you actually fairly allude to. But you're set apart from most in any case, as you're having a go of it, most don't, so there is that, and I commend anyone having a shot! 

And yes the first £M is the hardest but the point remains I wouldn't even concern myself for a moment about the ease of the second, or third, or even what you'd do with it all or rather not do with it, before you've joined the first £1M club that very few sit in. And membership of course needs to be earned as talk is really quite cheap in life, so make the million first. I'm admittedly cyncial to the point I can probably be ignored but only because enthusiasm for one's business isn't all that unique and after hearing it a thousand times before about how "this time next year Rodney" your eyes do glaze over. Particularly when you see how few times it actually gets executed. There this is oddity too, where when family, friends or just general associates get a whiff of you being in business this means by default you invite them to give you elevator pitches of their great ideas that noone else has thought of...this can make one even grumpier as its all so easy apparently 😅

I hope it all works out for you and best of luck. I really admire anyone who has the cajones to take a challenge on like running a business, and if you take on staff, you'll be doing your bit for the collective good to...

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17 minutes ago, TigerTedd said:

I definitely se shout point. I earn a lot more now than I did 5 years ago. But our lifestyle has changed, our kids do more activities, we’ve got slightly over cars with bigger payments, we’ve been on some nicer holidays with the credit cards payments to pay back. And we have 2 more kids, which doesn’t help. So I still end up with the same (basically nothing) money at the end of the month. 

But I still reckon there’s a point at which you’re accumulating money faster than you can spend it.

Like you work hard to get to a mil a year. Or 2 mil, or whatever arbitrary number. But the. You fit have to work much harder to get to 10 mil or 20 mil. That wasn’t really the aim when you started working hard. The aim was to earn a decent wedge to live comfortably. Be a millionaire or whatever that looks like. But at some point, money just makes money and then you’re accumulating money for the sake of it. You can go on your super luxury holidays, and drive your super luxury cars, and send your kids to private school and yet you still make more money. So you buy property and invest in other businesses and make more yet more money.

There has to be a point at which you just don’t need any more money. There’s more than you know what to do with. 

I know a few people in/around the wealth bracket of our owner (DCFC). One, a good friend of mine still, collects money off vouchers, clothes are all from Asda George, drives a nice car (BMW 4x4) but its not new or that flashy (updates once every 5-10 years) and lives in a nice house (5-6 bedrooms) but its certainly not a mansion, about as non-flash as they come in summary. Up until a few years ago he worked for me (long retired) as a consultant doing advisory work, reprimanded me once for suggesting a taxi when we could get the bus, and made sure he could claim the bus ticket back on expenses! You may think mean-fisted but just a normal down-to-earth bloke who happened to have made millions (and I am talking millions). I don't think he'd buy anything else he doesn't already have yet he could buy almost anything if he wanted to. What drove him? Love of business I'd guess, less of money. Like a pinball machine, take away the score its not that fun, you always want to chase a bigger number. Even if you don't want or need it. So in a business setting, the score is just cash generated. But you need to keep score otherwise it becomes none challenging/non-stimulating.

I know another very well on the opposite end, richer still, who has his own island, yacht, farmland, properties galore, more supercars than you can shake a stick at, luxury watches etc. I suspect there is no end to the stuff he could want to acquire. What was his motivation? Cash. Cash. Cash. He'd have sold his grandma for a fiver. I learned an awful lot from this bloke as a mentor but learned an awful lot as well about what I wouldn't want to become. Its not actually a life that appeals to me either so I understand where you're coming from. So I think the answer, like anything in life, is there is a spectrum of people even within the wealthy bracket, whereby acquistion of "more" is for varying reasons. Sometimes its as simple as just because they can with relative ease, as you say once you've made a few quid, the others follow more easily.

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19 minutes ago, SillyBilly said:

Like anyone I can only speak from my own experience, starting businesses is incredibly easy as you'll know, £12 easy to be specific, making any money from them is somewhat tougher, as you actually fairly allude to. But you're set apart from most in any case, as you're having a go of it, most don't, so there is that, and I commend anyone having a shot! 

And yes the first £M is the hardest but the point remains I wouldn't even concern myself for a moment about the ease of the second, or third, or even what you'd do with it all or rather not do with it, before you've joined the first £1M club that very few sit in. And membership of course needs to be earned as talk is really quite cheap in life, so make the million first. I'm admittedly cyncial to the point I can probably be ignored but only because enthusiasm for one's business isn't all that unique and after hearing it a thousand times before about how "this time next year Rodney" your eyes do glaze over. Particularly when you see how few times it actually gets executed. There this is oddity too, where when family, friends or just general associates get a whiff of you being in business this means by default you invite them to give you elevator pitches of their great ideas that noone else has thought of...this can make one even grumpier as its all so easy apparently 😅

I hope it all works out for you and best of luck. I really admire anyone who has the cajones to take a challenge on like running a business, and if you take on staff, you'll be doing your bit for the collective good to...

I do t think I will join the £1m club. I think this is the first time I’ve really, really seriously looked at the big figures I could earn, because this is the first time it’s been realistically in my grasp.

its when I worked out what I could potentially earn in a week, like £10k a week, which to me seems an astronomical weekly amount. And I thought, well surely if I’m earning that much, the I must be on the road to achieving the ‘this time next year’ dream. Then I realised the maths are simple. £10k x 52 weeks = barely half a mil. 

I just don’t think people appreciate, I certainly didn’t, just how much £1m actually is. When we talk about footballers fees, and wages, and how much Elon musk pays for twitter etc. they’re all just numbers. And when millionaires negotiate over irises, they don’t negotiate over the penny’s, they negotiate in terms of millions. Like ‘okay, you’ve worn me down, we’ll pay £20 mil instead of £18 mil. 

this thread wasn’t really a ‘look at me I’m starting a new business’ kind of thread. It’s more borne out of that realisation. Average wage is about £750 a week. There have definitely been times in my life where’d I’d have been very happy to earn that. But I’m talking about maybe earning more than 10x as much as that, and that is still half as much as I’d need to earn to actually earn a mil in a year. And it’s a quarter of what a lot average footballers earn each week  

its just that something doesn’t feel quite right about that. The disparity is phenomenal. I guess I’ve always known that, but only really thought about it (over analysed it, obsessed over it) now. 

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2 hours ago, Ram-Alf said:

The working classes are the salt of the earth and a pain in the arse, I had one lad who came up to me when at RR and gave me a box, I opened it and there sat a chocolate cake, His wife baked it for me as a thankyou...all I did was what I was voted in for, That one year his 1st year at RR he got 5 wage rises thanks to the Union...that one gesture almost had me in tears and meant the world ☺️ others just take you for granted...it came with the territory 😉  

That's a lovely gesture by them, Alf, but I think I'd have had it tested by a Lab before I ate any of it, just in case, y'know....😉

 

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5 minutes ago, Crewton said:

That's a lovely gesture by them, Alf, but I think I'd have had it tested by a Lab before I ate any of it, just in case, y'know....😉

 

He worked at Ross Catherall in Denby, Part of an umbrella company owned by RR and was lucky to get a transfer, I believe he's a Manager there now 🤷‍♂️

As for the cake, No doubt 1 or 2 members would wish it was poisoned...you know the ones, Those that take the piss and expect no ramifications, The cake itself...was very nice and I ate it all myself ☺️ 

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9 hours ago, SillyBilly said:

Perhaps some would but I don't know any of them and I know a few personally. IME, they're ordinary people with perhaps extraordinary bank balances, to say otherwise would be giving too much credit in any case. So I doubt there would be much of an investment in time comprehending anyone elses' contentment vs their own, another families problems or concerns vs their own etc. So as ordinary as anyone else in every other way. Its the same problems for everyone IMO, money doesn't shelter anyone from relationship problems, deaths, internal struggles etc. 

FWIW I don't think (rich) people are easily able to draw a line of before and after either. As if you morph into a different person and suddenly start seeing the world differently. Perhaps if an angle is to portray a "them and us" mentality then that may apply, for me, it doesn't. You earn £20-30k a year? Well, your lifestyle adjusts to the income, along with all its challenges. Earn £60k? Your lifestyle adjusts. Earn £120k, again it moderates, the transition almost seamless through the income levels. £250-500k...you'd be surprised how this then becomes a new "normal", just like the £20-30k once did. However, at no point do you wake up and feel any different, you're the same person. May not be worrying about the rent payment at month end on the latter end of the scale but life feels much the same apart from that. If I went back to square one I would adjust back to a new income...because I'd have to, its as simple as that. And still nowhere I feel more comfortable than my modest childhood home, never leaves you.

Anyway, I'm at risk of trying to defend when I only want to offer my perspective, which could be different to others. I know I wouldn't have bothered without financial reward though, pay me a wage and I'd deliver in accordance to what I feel that wage deserves in terms of effort. I've always had pride in any work at any payscale, PAYE or own businesses, but with the former its wrapped in conditions, so I can understand a union mentality (as per Ram-Al). Albeit, uncap it in the latter and I will be incentivised to make things happen. One of my businesses is an appreciable exporter so I like to think these are jobs I have genuinely brought to the U.K., all of those jobs started as an idea in my head at some point in time, ideas which cost me money with no returns for quite a few years in some cases, a lot of sweat equity too...but in the end, genuine income in foreign currency coming into our country (not recirculating the same currency within domestic services) & a lot of tax money to pay for public services. If you capped at some point along the way, with a hypothetical 100% above an arbitrary number as postulated upthread, what is the incentive for people like me to do anything other than create my own job, hire a few employees to whatever the limit the then government decides is "reasonable" for me to live off? Fundamental misunderstanding of human nature, even if that nature is not liked. We live in an international world, if we don't fulfil the export need here, someone else would in another country.

 

The figures you mentioned were not really what I meant by very wealthy and perhaps there is a difference in thinking between those who have a comfortable income and the very wealthy, perhaps money corruption creeps up on a person's psyche as it gathers.  Also there has been a dividing line between new and old money, the latter frowning upon the late comers and their flaunting of the wealth, or so it says in books and movies, I have no experience there, but it would make sense that such a divide exists. 

It does seem to me that the super wealthy crave power over the rest of us as much as more money flowing in, apparently feeling it is their privilege and uh duty to oversee the peasants.  A local saying says, great wants more and I believe that to be so.  Did that mindset happen all of the sudden, or did it creep in, I ask myself.  It cannot be denied that money power runs this world, the politicians are the tools of big money to the point of democracy becoming a sour joke.  A clear example of money corrupting, don't ya think?

Until very recently I have always had to watch every penny I spent and I sometimes struggled to make ends meet until I, as you mentioned adjusted my lifestyle to my income.  A few months ago I received an inheritance, nothing mind blowing, but enough so that my wife and I were able to purchase a house without needing a loan.  No sooner had this new reality arrived than I began feeling pity for the folks struggling with loans and working long hours to stay afloat.  I felt blessed and uhm a bit detached from them and uhm what was that, conceit creeping in?  Not really, for I try and check myself always through brutal introspection, with a habit of being a little over critical of myself as a rule, yet I acknowledged the danger.  That and the fact that my wife knows real searing poverty, having grown up in a mountain village in The Philippines and she always keeps me grounded, bless her. 

Why should I live comfortably now while my neighbor struggles I ask myself, did I earn that?  Not really, my mother had some money is all.  I never used to think too much about money, but now I feel I have to make plans, take care that the small bunch we have lasts to assist our son in his education and so on.  It's a new kind of burden, not wanting it to waste away.  Is that what the wealthy feel, this worry that it might be gone one day?  Does that also help maintain a divide?   Oh, the horror, haha, sometimes I think it would be best to splurge what's left away, gift it to Derby County or something.    

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I think one major aspect is living within your means. I appreciate it's really difficult at the moment with costs of every day life. From all the podcasts and books I've read on money over the years, a key theme I see is many rich folks completely cut out "wants" at the beginning. I see so many people who have taken on loans and debt who cannot pay it back quickly and they are stuck with it for potentially decades. I read somewhere in a paper that car loans account over a quarter of the average full time worker's salary for many under 30s. It highlights this desire to buy the newest, shiniest thing. New phone, new car, new clothes etc.

I'm not exactly stating this will make you a millionaire. Cutting back on wants, not needs, will always give you more security financially. 

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1 hour ago, SSD said:

I think one major aspect is living within your means. I appreciate it's really difficult at the moment with costs of every day life. From all the podcasts and books I've read on money over the years, a key theme I see is many rich folks completely cut out "wants" at the beginning. I see so many people who have taken on loans and debt who cannot pay it back quickly and they are stuck with it for potentially decades. I read somewhere in a paper that car loans account over a quarter of the average full time worker's salary for many under 30s. It highlights this desire to buy the newest, shiniest thing. New phone, new car, new clothes etc.

I'm not exactly stating this will make you a millionaire. Cutting back on wants, not needs, will always give you more security financially. 

I probably fit into this category. No matter how much I earn, I always tend to find a way to spend just a little bit more than what I earn. I’ve got debt, but I’m not afraid of debt. I’d rather get the things I want / need now, and pay them off over time, than save for them and buy them later.

Our holiday to Florida went on a credit card. If I’d have waited til I could afford it, I’d be taking my grandkids. Now I’ve got a holiday my kids will remember forever.

could it be argued that they’d remember a holiday to mablethorpe just as much? No, that bull s***, Florida was amazing and I make those credit card payments with a smile on my face knowing what they bought me and my family.

Honestly, that’s the only thing I’d do if key was no issue. I’m happy with my house, I’m happy with my car, I just want to travel and make memories with the kids (and maybe pay off my credit cards). 

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Here’s one of my favourite facts. As much as I’m talking about the incomprehensibility of what a million quid actually is for us mere mortals, think about this:

1,000,000 seconds = 1.653 weeks. 

1,000,000,000 seconds = 31.71… YEARS!!

so as incomprehensible and out of reach as a millionaire is to us, that’s how millionaires must feel about billionaires. 

and oxfam reckons we’ll have our first trillionaire soon (which, if you’re interested, is 317 centuries!!!!). 

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7 hours ago, TigerTedd said:

That’s awesome. In a word, life. You got me worried now that my wife will grow tired of me after 40 years. (15 years this month (I believe we got married on the same day this forum was founded)).

15 years together. Two young lovers who are as sweet on each other as they were then. Yes a few bickers along the way, but considering their many, many issues, I can see David and Boycie being an unbreakable union of love and devotion for years to come.

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On 20/01/2024 at 18:36, TigerTedd said:

Where does all this money come from? . 

That is a question I have often asked myself. In the 1950s and 1960s everyone was working and usually making something that could be sold. We were one of the most productive countries in the world, but most of us were also poor.  There was little spare money.

Today we produce very little. In fact, I only know one person involved in manufacturing. Yet there seems to be an unlimited fund of money. We have so much spare money that we can take in millions of impoverished foreigners and make them wealthy beyond their dreams.

That does not make sense. I can only conclude that what we are told about economics is not true. I suspect that money is not real.

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3 hours ago, Normanton Lad said:

That is a question I have often asked myself. In the 1950s and 1960s everyone was working and usually making something that could be sold. We were one of the most productive countries in the world, but most of us were also poor.  There was little spare money.

Today we produce very little. In fact, I only know one person involved in manufacturing. Yet there seems to be an unlimited fund of money. We have so much spare money that we can take in millions of impoverished foreigners and make them wealthy beyond their dreams.

That does not make sense. I can only conclude that what we are told about economics is not true. I suspect that money is not real.

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On 20/01/2024 at 23:04, TigerTedd said:

there should be a rule. A mil a year, that’s the most anyone could possibly need. After that you get taxed 100%. 

France tried something like this, pretty much a tax that was at a rate of something like 80% over €1m of earnings. It never got through, to my recollection.

I've always wondered for film stars, entrepreneurs and the like there must just come a day where they wake up and think "this has all just gone mad". So few of them manage to remain grounded (Keanu being an example). I think they all just decide they need more 'stuff' - extra telly, then new watch, then new car, then extra house, then two houses, then five cars, then on and on it goes.

The problem for many of us as well is comparative wealth - I've heard it said that one of the better measures of contentedness is that you earn more than your friends. I also remember hearing a story that Roman Abramovich scrapped / sold a new yacht because he realised that one of the other oligarchs had gone and bought one bigger.

My point? It's not about wealth, relative wealth or desired wealth. It's about being contented with your own position in life - my Mum was anything but a millionaire (anything but!). But she was also always happy with her lot and I can assure you she lived a far happier life than many 'successful' businessmen. And her pot of ashes looks just the same as theirs.

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19 minutes ago, TimRam said:

It's the big houses they buy which I don't understand. Be a pain to walk from one room to another. I just want to walk a few steps!

And, all a bit of a hassle to run the hoover round - or pay someone else to do it. To quote Fight Club (which I know you're not supposed to do) "the things you own end up owning you"

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Good interview here with the Dutch author of the book "Limitarianism"

https://www.theguardian.com/books/2024/jan/21/how-much-personal-wealth-is-enough-ingrid-robeyns-limitarianism

When someone says it calmly and rationally it all seems to make a lot of sense doesn't it

We talk about eradicating poverty, but never about changing things from the other end

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On 21/01/2024 at 10:06, Ram-Alf said:

£16,250...that's how much, I'm single and mortgage free and 68 in 3 months time, I don't owe anyone anything, I refuse to have credit and don't own a credit card, I pay everything on my debit card or cash, I live in a 2 bed semi bungalow, I sold my car recently(free bus pass)still shop in the whoops isle at times...not because I can't afford the other things but because I get a deal, I go out on the lash once a week, I can holiday anywhere in the world I choose as I can afford too, But I choose to stay in the UK.

I wake up every Morning with a smile on my face and it's nowt to do with my genitalia, Life is great, Yes money plays a huge part in my life as I've earned it through hard work and investments, I've had nowt...back in the early 80s when millions had nowt life was tough, I've walked miles to get free food parcels(Thanks David Bookbinder)to feed our family...there's more...but I can see posters getting teared up 😉

I wish you well in your endeavours to chase the end of the rainbow, but be careful as life is what you make it and money can fcuk with your mind if that's all you're focussed on.  

Excluding our mortgage, our household expenditure is roughly £28k per year (2 adults, 2 toddlers). About £4k of that is the cost of having a single car and another £3k for childcare (I know some people who are spending in excess of £10k on childcare)

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16 minutes ago, Ghost of Clough said:

Excluding our mortgage, our household expenditure is roughly £28k per year (2 adults, 2 toddlers). About £4k of that is the cost of having a single car and another £3k for childcare (I know some people who are spending in excess of £10k on childcare)

I really wouldn't know how much it would cost a family of 4 to live comfortably(altho you gave your amount)I'd hate to be in a situation where families are juggling their finances to either pay the bills or put food on the table, I see the British Gas CEO said it was wrong for him to receive £4.5million a year 😮 but I guess that's where we're at, You pay a premium to get the best.

I learned a big life lesson in the early 80s(Thatcherism)money is very important for the quality of life you cherish, The then wife worked for £1 an hour at a fish n chip shop back then, I waited for my dinner at midnight, Christ I put some weight on as she brought home the leftovers from the nights cooking, That £1 an hour(£30 a week)got us through(yes she was working on the black)as I got dole money and milk tokens with rent paid.

I read where families or single folk are packing up work as the child care fees are becoming exorbitant, It's a case of chasing your tails and hoping to catch it, Throw in rent and mortgage payments and life can become very hard indeed.

As a footnote...I see RR Nuclear are balloting for strike action(Raynesway site)I know a couple of men that work there, £60k + a year for a skilled man, Both in their early 60s no mortgage and living with their wives who are both working, As for us older folk as one Prime Minister once said "you've never had it so good" 😉 

 

 

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