Average family needs to earn £32,702 just to pay bills
November 25th, 2011
The average family with two children needs to earn nearly £25,000 a year after tax to meet all of their essential outgoings, according to research carried out by Skipton Financial Services.
This figure only covers essentials like rent or mortgage payments, fuel bills, clothing and food. It does not include spending on any leisure activities. The amount of money needed to survive is likely to rise further still as wage settlements continue to fall far short of inflation.
A basic rate taxpayer would need a wage of £32,702 to be left with the £24,600 needed to break even after paying tax. The average gross salary for a full-time worker is currently £26,200.
A typical two-child family spends £4,730.04 on housing costs, £4,457.96 on food, £2,455.44 on commuting to work and more than £3,000 paying off loans and credit cards.
Commenting on the figures, Andrew Barker, managing director of Skipton Financial Services, said: “It’s frightening how everything adds up. The cost of living is astronomical and now more than ever people have to be on the ball with their expenditure and to keep on top of things, particularly at a time where inflation is riding well above target at 5%. Inflation c
Tags: Average Family, Earn
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