This submit could comprise affilliate hyperlinks. It signifies that in the event you purchase one thing by means of considered one of these hyperlinks, we’d get a small fee at no additional value to you. Affiliate fee helps us hold this journey weblog working.
Is 50k gbp a superb wage in London? Nicely, there is no such thing as a simple reply! On this article, I’ll share how a lot it prices to stay in London as of late and what you’ll be able to actually afford on 50k in London when it comes to life-style.
So… think about. You’ve been provided 50K gbp a yr. Will you’ve got a snug life-style in London on 50k? The reply is: relies upon. Whether or not you reside alone or have a household (and, in fact, what wealthy means to you) – you’ll have a totally totally different degree of life in London.
Right here’s what you’ll be able to anticipate finding on this submit:
Which jobs pay 50K and extra in London?
There are many jobs that pay over 50K in London – attributable to the price of dwelling disaster, there was additionally a small improve in salaries within the final yr, therefore a few of the jobs, that have been beforehand paid worse, at the moment are paid at round 50k per yr.
I composed an enormous information to the common salaries in London by occupation and years of expertise, so in the event you’re curious, be happy to test it out right here! (Common wage in London in 2023 by occupation)
Will you be nicely off on a 50k wage in London? Life-style you’ll be able to afford on 50k in London
For those who’re questioning whether or not the 50K wage will make you nicely off in London, nicely, sadly not! London is an extremely costly metropolis. In actual fact, London is among the costliest cities in Europe, and its property costs are among the many highest on the earth.
It doesn’t assist that a number of wealthy folks from all around the globe come to London to stay completely or make it their second residence. When you’re uncovered to the type of locations these folks have a tendency to go to, you may get shocked! For the ultra-rich, it’s tremendous simple to spend your early wage in a day!
However anyway, let’s get again to the fact and discover the 50k yearly wage in London. How a lot is it monthly after taxes?
£50k a yr finally ends up (after paying all of the taxes and customary 3% pension contribution) being simply over £3,000 monthly. Which isn’t too dangerous in any respect! For some other metropolis within the UK aside from London. Nonetheless, to grasp what sort of life-style you’ll be able to have on 50k wage in London, let’s take a look at 3 very totally different situations:
- You reside alone and don’t have any dependants
- You reside with a companion who additionally works full-time or part-time
- You will have a baby, and your companion is a keep at residence mother or father
In fact, there are lots of extra situations (e.g. you’ve got 1-10 youngsters); you’ve got somebody who will depend on you and may’t work; you’re a single mother or father, or your companion works and earns greater than you, nevertheless, I needed to particularly concentrate on these situations, as they’re in all probability the most typical ones and offers you an understanding of what to anticipate from a life in London.
State of affairs 1: You’ve been provided 50K gbp in London, and you reside alone
Alright, let’s take into account the primary situation. You will have a wage of 50K gbp in London, and you reside alone.
You make £3,069 after paying all of the taxes and three% pension contribution.
You’ll be able to positively afford a studio in a good space of London (test my article about one of the best locations to stay in London for younger professionals) or a room with an en-suite in a way more central space. You’ll be able to in all probability afford a one-bedroom flat, however that might be round zones 4 and 5 and you’ll in all probability find yourself spending fairly a bit on transport.
You’ll find a pleasant studio for £1,300-£1,700 relying on the world and the scale of the studio. A room in a shared flat with an en-suite would value round £1,000-1250 relying on the placement. In fact, you too can discover less expensive rooms and studios in the event you actually need to get monetary savings.
Don’t neglect concerning the payments: electrical energy, gasoline, Web and council tax – on common, it will be additional £150-300 monthly (gasoline and electrical energy value quite a bit in winter).
Most jobs observe a hybrid mannequin, which signifies that you received’t have to commute to the workplace day by day. On this case, you’ll in all probability spend £100-130 on the underground. Nonetheless, in the event you’re fortunate sufficient to stay near the workplace, you may cycle and save fairly some huge cash each month.
For those who work from the workplace, you’ll, likely, eat your lunch outdoors. You’ll be able to spend something from £120-250 a month on lunches.
Groceries can value you something from £150 to £400 monthly relying on what and the place you purchase. Some shops are dearer than the others (e.g. Waitrose, WholeFoods are fairly pricy).
Subscriptions (telephone, Netflix, Spotify and many others.) can value you a further £50 monthly.
In spite of everything these spendings, you will discover your self with round £1200 in your pocket in the event you have been utilizing the decrease figures and simply £230 a month in the event you have been utilizing greater figures within the ranges supplied – left for anything: procuring, going out, travelling, garments!
That exhibits which you could’t have a bougie life-style on 50k wage in London – it’s good to compromise on one thing, e.g. carry lunches from residence, lease a room or a less expensive studio and purchase groceries in a less expensive grocery store. Nonetheless, fortunately, even on 50k, you’ll be able to nonetheless afford your personal place (even when it’s a studio).
State of affairs 2: You reside with a companion who additionally works and earns a wage
On this situation, you make £50K, and you reside with a companion who additionally works. Let’s think about your companion has a mean wage – round £40K per yr. That’s additional £2400 monthly after all of the taxes and contribution. So your mixed revenue is now over £5,4K.
On this case, you’ll be able to already afford a one-bedroom residence in zones 2-3 for £2000-2200 in month together with payments (council tax, electrical energy, gasoline).
Your grocery invoice, nevertheless, will improve and so will your transport prices. Nonetheless, after paying all of the payments and bills, you each will likely be left with round £2.2K in your accounts (mixed) which you could spend on something you need like travelling, going out, procuring or just saving cash.
State of affairs 3: You’re the solely breadwinner in a household with one child
Lastly, let’s take into account a situation the place 50K is barely sufficient to scrape by. That’s within the case once you’re the one breadwinner in a household with 1 child and your companion being a stay-at-home mother or father.
On this case, you’ll in all probability lease a really fundamental 2-bedroom flat in zones 3 – 6 of London or in a commuter city. You’ll be able to solely pay as much as £1400-1500 for lease (£1750 together with all of the payments). Nonetheless, your transport payments will improve because of the distance to the town centre until you’re employed close by – make certain to funds not less than £200 monthly on journey prices (until you do business from home more often than not). For those who add Web, telephone, Netflix and different subscriptions, that’s one other £70 a month.
Your meals invoice will likely be round £350-500 a month.
That’s already £2500 monthly, which leaves you with simply £500 to spend on different purchases (from garments to highschool expenses in your youngsters), going out, saving and travelling.
As you’ll be able to see, £50K in London is sadly barely sufficient to outlive in case your companion doesn’t work and takes care of the kid. On this case, in the event you can, attempt to discover a distant job that might will let you stay in one other metropolis and pay approach much less for renting a property and transport!
Another posts you may discover fascinating:
We purchased our home (first-time consumers in London)
Is London price it? Execs and cons of life in London
Price of dwelling in London – how a lot do it’s good to stay in London
