Unfortunately there is no easy answer for most people other than dig deep and tighten the belt. Sure the option of working more hours is always there, but whether it is cutting back or working more, the trade off is always going to be quality of life. What if do like about channels such as this is that it promotes a forward thinking attitude and number one is being financially literate. However, I would temper that by saying most people who are going to watch a video such as this are already fairly financially literate. But even then, sometimes something comes out of the blue, and rather than being able to take it in ones stride you simply have to get the head down and soldier on.
Sometimes you have to take the savings hit and save less, but even if it's £50 a month you should still save. Current me has dodged many bullets because of past me knuckling down and putting money away rather than spending it. And Future me will be grateful for the security current me is building for her. I paid £1500 a month for my daughter's nursery bills, then had a small respite between children and for a whole year I saved 45% of my salary (much to my friend's shock) and now find myself only saving 15% because I'm paying nursery bills again. But I know it's just for a few years (honestly all the school clubs I pay for don't even make me blink because of the crazy comparison of nursery costs), and then I can go hard again and continue saving for my house deposit, but paying for nursery put us back by so much. We'll get there eventually, and hopefully the cost of mortgages will get a bit more reasonable.
Keep going! You’ll get there one day and it’s your race no one else’s!! We have a 1.5 month old and are still saving for the deposit (avg house ~£450k where I live) but are getting there! High earner but still tough!
Honestly the answer is…get used to living a frugal life and get a second job. The system is shattered we’ve been governed for too long now by mega corporations and rich parliament officials . The system is to benefit those that have money and keep the poor and middle class poorer through cost of living and taxation.
Be frugal consume minimal the basics food etc doensi3 entertain with freebies beach library etc if drink buy bottle scotch drink at home not 15 bucks shot at pub !!!
Unfortunately it's based on your gross income. Same as child benefits, I know it's just changed in terms of the figured but it used to reduce from £50,000 a year and stop at £60,000. So two people earning £49,999 a year could claim it while a single income on £50,000 would have to take a reduction.
People underestimate subscriptions. You dont just buy things anymore, youre forced to pay to play constantly. The Internet bills and netflix sky sports ect isnt what people had years ago. All great but cit the crap, and keep what you need or downgrade, turn the dam lights of if you dont need them.
I love your videos. Simple - passive investing get going , little by little and you’ll get there. Because I’m lazy - and I know fees change all the time it’s hard to know which is the best platform . But on average it seems the cheapest are .. Invest engine for ISA. Vanguard for SIPP. But what about junior ISA and junior SIPP?
5 місяців тому+1
Oh shit that is my question! Fair play! Thanks a lot for the in depth answer
@@garyreid2472 barely... We are not struggling like many people are, we are just taking a big hit on our long term goals like early retirements and such. The only change we have been able to make it reduce the working hours from my partner to reduce the child care time (as stupid as it sounds) so our kids still enjoys the socialising aspect of it.
My brother in law is in the high earner group that pays more than 100% in tax. It’s outrageous. 3 kids and income means no support at all, plus no tax free threshold. Each £1 he earns over £100k costs him more than £1. He and family leaving the country partly for this reason (works for American company so U.K. will just lose all his tax contributions).
The job market is not tight in all sectors. IT in particular has far fewer jobs than applicants. I know quite a few people who were in well paid jobs get made redundant in the past year and can't find another job even at a lower wage.
5:28 this is why it's a false economy to not fund the NHS properly, how many of those would be back working if they could just get treatment. And the treatment would probably be cheaper if it was done earlier
Everyone I know (Wealth Management) is looking for a job I had one terrible job offer in the past year I’ve been looking. There’s just no jobs right now recruiters put me forward then don’t hear anything or get to second interview then just miss out. Other people I know about 10 haven’t even had an interview all in Wealth Management it’s terrible market salary not even that much more than minimum wage in London as well.
Paying yourself first is just non-negotiable in my book. Most people receive their paycheck then pair their bills, buy lots of crap they dont actually need or use then save/invest what's left, if there is any. More often than not there isn't anything left anyway. Always, Always, Always, pay yourself first (Savings/Investments), then pay your bills, then spend what is left and You'll be well on your way to a comfortable retirement of financial freedom.
It’s not good etiquette to promote on other people channel. On another note, I do agree paying yourself first should be an none negotiable habit for everyone
The words of someone that never suffered real financial hardship, or has a very short memory. I certainly agree that luxuries come last but the consequences of not paying bills are even more dire. Everyone needs to work to a budget, which includes an element of savings and then, maybe, you can afford some luxuries sometimes (not every time).
How many people are affected by the cost of living crisis? What does it mean for them? They can't afford to give their children £15 for breakfast? Does it affect working people? Who are working people? Rishi Sunak's job is Prime Minister, so does that not make him a working person? Cost of living higher in London than Mancheste, so £50K goes farther in the North than in the South. Far too many generalisations. Need to dig deeper into individuals personal circumstances and the decisions they make. 🤬
Hi lads. I’m moving back to the UK after living abroad for a few years. I was wondering how bad the current cost of living crisis actually is (beyond the doomsday headlines) but more importantly I’ve heard the job market is the worst it has been in years and that it’s impossible to find a decent (high paying) job. Would you both agree with this. For context I’ve worked in the finance industry similar to your old job Damo
The problem is that people naturally tend to live to (or even beyond) their means and especially younger generations have become used to lower living costs (except housing, before shoots me down) and are then less able to withstand the shock of higher inflation and lower wage growth.
You live in cloud cuckoo land. Mecca million or 2 to enjoy retirement lol. The only way for most of the current generation to enjoy a resonance retirement will be to retire to a low cost country. It is not feasible for the working man to build wealth in this country anymore.
The school system is designed that way because otherwise teacher would need to work 7:30 til 6:30 just to keep up and they don’t get paid for it. You shouldn’t be expecting the state to provide childcare for your children anyway, look after your own children!
This is why ppl decide not to have any children. They need to prioritize their careers and the government needs them to pay income tax, there's no time or money for children from any perspective, state or family level.
Funny that people crying about a cost of living crisis whilst driving round in their brand new pcp car and got the latest iPhone and buying new clothes every other week
They're not necessarily the same people. The ppl complaining to me are the ones not buying any cars, using cracked phone and eating off brand wheat biscs.
The cost of living crisis is very real some people I work with don't have the latest phone or car yet struggle with high rent and increased mortgage costs since the truss disaster budget.
@@pip1723interest rates were going up irrespective of Truss. She caused a short-term spike in the bond market, but they were artificially low for far too long and inflation caused by all the money printing and supply issues would have resulted in interest rate rises, just like they did in the US, and they did not have Truss.
Strange comment. Some people will complain while in a position like this sure, but many will complain because they can’t put food on the table either. I think that’s a valid complaint
The cost of living crisis didn’t start during covid, people saved a fortune by not going out, the prices of everything was stable or even dropped because the cost of a barrel of oil. The problem started when Russia invaded Ukraine and the cost of oil, gas and electric sky rocketed, it has had a massive effect on everything we buy.
@@theguy9067 wrong actually! Ukraine asked to joined nato in the January 21 (inflation 0.9%) Russian forces started to gather on the border in the spring, April 21 inflation was 1.6%, which is still well under the target figure, by this time there was hundreds of thousands of troops on the border, apparent training exercises! But the gas and commodity prices already started rising because they knew what was coming!
The only reason I’m ahead is I’ve put the work in. I don’t save, I invest. I spend hours most days doing more research to get a better understanding. Bitcoin is a liferaft, it won’t make you rich but it will counteract inflation.
I got a weekend night job ontop of my 9-5.
It sucks, but after two years, I am in a much better financial position.
I've also picked up a 2nd job to turbocharge my saving. About +£120 per week has made a big difference!
@Helpline_official_ sod off 😂
Easiest spam report I've ever seen!
Unfortunately there is no easy answer for most people other than dig deep and tighten the belt.
Sure the option of working more hours is always there, but whether it is cutting back or working more, the trade off is always going to be quality of life.
What if do like about channels such as this is that it promotes a forward thinking attitude and number one is being financially literate. However, I would temper that by saying most people who are going to watch a video such as this are already fairly financially literate. But even then, sometimes something comes out of the blue, and rather than being able to take it in ones stride you simply have to get the head down and soldier on.
Sometimes you have to take the savings hit and save less, but even if it's £50 a month you should still save. Current me has dodged many bullets because of past me knuckling down and putting money away rather than spending it. And Future me will be grateful for the security current me is building for her.
I paid £1500 a month for my daughter's nursery bills, then had a small respite between children and for a whole year I saved 45% of my salary (much to my friend's shock) and now find myself only saving 15% because I'm paying nursery bills again. But I know it's just for a few years (honestly all the school clubs I pay for don't even make me blink because of the crazy comparison of nursery costs), and then I can go hard again and continue saving for my house deposit, but paying for nursery put us back by so much. We'll get there eventually, and hopefully the cost of mortgages will get a bit more reasonable.
Keep going! You’ll get there one day and it’s your race no one else’s!! We have a 1.5 month old and are still saving for the deposit (avg house ~£450k where I live) but are getting there! High earner but still tough!
Imo it's important to keep working even if you're making a "loss" due to childcare costs to keep up your pension contributions and experience.
Honestly the answer is…get used to living a frugal life and get a second job. The system is shattered we’ve been governed for too long now by mega corporations and rich parliament officials . The system is to benefit those that have money and keep the poor and middle class poorer through cost of living and taxation.
The working man is now screwed. Plan to retire in a low cost country it will be your only option.
Be frugal consume minimal the basics food etc doensi3 entertain with freebies beach library etc if drink buy bottle scotch drink at home not 15 bucks shot at pub !!!
Tell everyone in tech the job market is tight!
Is it bad or good now? I've not heard anything good about tech jobs right now :(
Both guys are stumped here.
I mean, really stumped.
Surely with that scenario you could just salary sacrifice to put yourself back under 100k?
Unfortunately it's based on your gross income. Same as child benefits, I know it's just changed in terms of the figured but it used to reduce from £50,000 a year and stop at £60,000. So two people earning £49,999 a year could claim it while a single income on £50,000 would have to take a reduction.
@@kirkfriend5410 .gov says it’s adjusted net income, and that pension contributions can be taken into account
Speak to your employer and ask for a pay cut
Yes you are correct you can salary sacrifice to reclaim benefits
People underestimate subscriptions. You dont just buy things anymore, youre forced to pay to play constantly. The Internet bills and netflix sky sports ect isnt what people had years ago. All great but cit the crap, and keep what you need or downgrade, turn the dam lights of if you dont need them.
I love your videos. Simple - passive investing get going , little by little and you’ll get there.
Because I’m lazy - and I know fees change all the time it’s hard to know which is the best platform . But on average it seems the cheapest are ..
Invest engine for ISA. Vanguard for SIPP.
But what about junior ISA and junior SIPP?
Oh shit that is my question! Fair play! Thanks a lot for the in depth answer
Thanks for the question
Did you find a way to improve your situation
@@garyreid2472 barely... We are not struggling like many people are, we are just taking a big hit on our long term goals like early retirements and such. The only change we have been able to make it reduce the working hours from my partner to reduce the child care time (as stupid as it sounds) so our kids still enjoys the socialising aspect of it.
My brother in law is in the high earner group that pays more than 100% in tax. It’s outrageous. 3 kids and income means no support at all, plus no tax free threshold. Each £1 he earns over £100k costs him more than £1. He and family leaving the country partly for this reason (works for American company so U.K. will just lose all his tax contributions).
The job market is not tight in all sectors. IT in particular has far fewer jobs than applicants. I know quite a few people who were in well paid jobs get made redundant in the past year and can't find another job even at a lower wage.
The Government should really push up the 20%-40% tax threshold, its a piss take at £50k
Don't forget NI as well
10 years of wage stagnation? More like 16 years for university staff
10% are off work w long term sickness? country wide? is that not extremely alarming?!
I think it's more than that. 20% of the working age population is on some kind of benefits and not working. It's unbelievable and unsustainable.
Pay rises, that's fair, the problem is that many people now drop into higher tax bands
You only pay the new band on income above the line. The rest is taxed the same.
Childcare - given up work as a solicitor to become a child minder. Net - much better off, spend my days playing with my kids and no crazy commute
5:28 this is why it's a false economy to not fund the NHS properly, how many of those would be back working if they could just get treatment. And the treatment would probably be cheaper if it was done earlier
Thrift underconsumption frugal minimal now save work less hrs
Everyone I know (Wealth Management) is looking for a job I had one terrible job offer in the past year I’ve been looking. There’s just no jobs right now recruiters put me forward then don’t hear anything or get to second interview then just miss out. Other people I know about 10 haven’t even had an interview all in Wealth Management it’s terrible market salary not even that much more than minimum wage in London as well.
I'm excited for NHS pay to catch up from 2010, let alone 2020 😂
Paying yourself first is just non-negotiable in my book.
Most people receive their paycheck then pair their bills, buy lots of crap they dont actually need or use then save/invest what's left, if there is any. More often than not there isn't anything left anyway.
Always, Always, Always, pay yourself first (Savings/Investments), then pay your bills, then spend what is left and You'll be well on your way to a comfortable retirement of financial freedom.
Please don't promote your channel on other people's channels. Not the thing to do.
It’s not good etiquette to promote on other people channel. On another note, I do agree paying yourself first should be an none negotiable habit for everyone
@@oric4281 Noted and Edited.
@@johnristheanswer Noted and Edited
The words of someone that never suffered real financial hardship, or has a very short memory. I certainly agree that luxuries come last but the consequences of not paying bills are even more dire. Everyone needs to work to a budget, which includes an element of savings and then, maybe, you can afford some luxuries sometimes (not every time).
How many people are affected by the cost of living crisis? What does it mean for them? They can't afford to give their children £15 for breakfast? Does it affect working people? Who are working people? Rishi Sunak's job is Prime Minister, so does that not make him a working person? Cost of living higher in London than Mancheste, so £50K goes farther in the North than in the South. Far too many generalisations. Need to dig deeper into individuals personal circumstances and the decisions they make. 🤬
I'm soo glad we've got a paid for house...
You're alright Jack!
Hi lads. I’m moving back to the UK after living abroad for a few years. I was wondering how bad the current cost of living crisis actually is (beyond the doomsday headlines) but more importantly I’ve heard the job market is the worst it has been in years and that it’s impossible to find a decent (high paying) job. Would you both agree with this. For context I’ve worked in the finance industry similar to your old job Damo
After Brexit it has gotten terrible. My advice: go elsewhere
@@Marenqo I last lived here in 2020 - has it gotten a lot worse since then?
Yes it's bad. The worst it's been for 15 years. Don't come here if you don't absolutely have to. IT and finance and consulting hit badly.
@@s_don57683 one word, yes
The problem is that people naturally tend to live to (or even beyond) their means and especially younger generations have become used to lower living costs (except housing, before shoots me down) and are then less able to withstand the shock of higher inflation and lower wage growth.
What's the idea around having children and then expecting the schools and childcare to raise them for you?
You live in cloud cuckoo land. Mecca million or 2 to enjoy retirement lol. The only way for most of the current generation to enjoy a resonance retirement will be to retire to a low cost country. It is not feasible for the working man to build wealth in this country anymore.
The school system is designed that way because otherwise teacher would need to work 7:30 til 6:30 just to keep up and they don’t get paid for it. You shouldn’t be expecting the state to provide childcare for your children anyway, look after your own children!
This is why ppl decide not to have any children. They need to prioritize their careers and the government needs them to pay income tax, there's no time or money for children from any perspective, state or family level.
@@IAmebAdger yes, very sad! One of the best things in life is raising children!
People should be allowed to work the same hours that their children are at school. What kind of a ridiculous system is it.
@@sarahfellows3074 thats the answer!
Funny that people crying about a cost of living crisis whilst driving round in their brand new pcp car and got the latest iPhone and buying new clothes every other week
They're not necessarily the same people. The ppl complaining to me are the ones not buying any cars, using cracked phone and eating off brand wheat biscs.
@IAmebAdger I drive a 2011 fiesta with 140k on the clock, my phone is 4 years old cracked, but I do eat proper weetabix and I'm definitely not crying
The cost of living crisis is very real some people I work with don't have the latest phone or car yet struggle with high rent and increased mortgage costs since the truss disaster budget.
@@pip1723interest rates were going up irrespective of Truss. She caused a short-term spike in the bond market, but they were artificially low for far too long and inflation caused by all the money printing and supply issues would have resulted in interest rate rises, just like they did in the US, and they did not have Truss.
Strange comment. Some people will complain while in a position like this sure, but many will complain because they can’t put food on the table either. I think that’s a valid complaint
The cost of living crisis didn’t start during covid, people saved a fortune by not going out, the prices of everything was stable or even dropped because the cost of a barrel of oil. The problem started when Russia invaded Ukraine and the cost of oil, gas and electric sky rocketed, it has had a massive effect on everything we buy.
Incorrect, inflation began to rise well before the invasion
@@theguy9067 wrong actually! Ukraine asked to joined nato in the January 21 (inflation 0.9%) Russian forces started to gather on the border in the spring, April 21 inflation was 1.6%, which is still well under the target figure, by this time there was hundreds of thousands of troops on the border, apparent training exercises! But the gas and commodity prices already started rising because they knew what was coming!
The only reason I’m ahead is I’ve put the work in. I don’t save, I invest. I spend hours most days doing more research to get a better understanding. Bitcoin is a liferaft, it won’t make you rich but it will counteract inflation.
I've beaten inflation, and haven't invested in stocks once.