Bank of England Base rate & other news

[northernladuk]

10% best earners is only above 59k? that is absolutely crazy, down south for that amount of money you need to live in a shed, so no wonder no one thinks they are wealthy.

It's not really if you just look around. Virtually everyone that works in shops, garages, restaurants you name it are way under that. Virtually all teachers and even in a general large company if you look around at the types of jobs there are everyone under middle management level are under that which will generally be a majority of the workforce. This is only a surprise if you are living in an ivory tower and haven't looked closely at the real world.

When you say London then you are right but it's a small area compared to the rest of the country so always got to come

Like nearly every short article on this topic they completely confuse, wealth, income and rich which are all very different things

[dsc]

It's not really if you just look around. Virtually everyone that works in shops, garages, restaurants you name it are way under that. Virtually all teachers and even in a general large company if you look around at the types of jobs there are everyone under middle management level are under that which will generally be a majority of the workforce. This is only a surprise if you are living in an ivory tower and haven't looked closely at the real world.

When you say London then you are right but it's a small area compared to the rest of the country so always got to come

Like nearly every short article on this topic they completely confuse, wealth, income and rich which are all very different things

60k is 3.7k take home, for a single that might allow you to live fairly comfortably, but you'd be mad to call yourself wealthy at that point. We are talking 10% of the entire work force, "best earners" in the country, that is imho very depressing how tulip wages have been in the UK over the last 10 years. This also means that a couple, each earning 30k will effectively together be in the 10% of "best earners", now find a family that does this and ask them how wealthy they are doing.

[northernladuk]

60k is 3.7k take home, for a single that might allow you to live fairly comfortably, but you'd be mad to call yourself wealthy at that point. .

They two are completely different. A wage is income, wealth is 'an abundance of valuable possessions or money.'

You can have been rinsed in a divorce and have nothing but earn 60k and you are far from wealthy.. in fact rather poor. Or you can earn 10k a year but you've a paid off 1 million pound house in which case you are wealthy. Neither compare and neither can singularly cover both aspects.

You then throw in rich.. I'm healthy, got a good lady that puts up with me, got my pup and all that so I'm rich beyond my wildest dreams. Rich doesn't even always equate to physical stuff.

You can be rich, good income and poor with no readies to hand. You can be not be rich, be on the dole but have a million in the bank yadda yadda

[dsc]

We are talking average values, not extremes one way or the other. You can be earning 60k, but have a trillion pound debt, or come up with whatever different scenario you want, but we all know that when we talk wealthy we mean having a tulip ton of cash to do whatever you like, go on holidays, don't need to budget for anything etc. You can be earning 10k a year and have 55 rental properties, but I'm sure that then you would actually call yourself wealthy. If you flip this scenario and have people on 60k who are not calling themselves wealthy, I really doubt they have a number of rental properties and six sport cars. They will be your AVERAGE person / family, just like the salary number is an average.

The bottom line is that people on 60k a year minimum, that form the 10% of best earners in the country (so more than 60 million others) are saying they don't have a tulip ton of stuff, no need to come up with definitions for every possible word related to wealth...Objectively speaking 60k a year isn't a ton, so for that to be a threshold for the 10% best earners just shows how tulip the wages in the UK are.

[Martin@AS Financial]

Bank rate maintained at 5.25% - February 2024

Full report here:

https://www.bankofengland.co.uk/mone.../february-2024

[Fraidycat]

60k is 3.7k take home, for a single that might allow you to live fairly comfortably, but you'd be mad to call yourself wealthy at that point. We are talking 10% of the entire work force, "best earners" in the country, that is imho very depressing how tulip wages have been in the UK over the last 10 years.

I just googled top 10% income in the USA, it came back with $173K. And the top states like California are way more than that.
And the tax rates over there are way lower as well for someone earning that kind of money.

We have almost created equal pay for all workers communism here in the uk. Over 70% of the full time workforce earn after tax somewhere between £1600 and £2600 a month. If you earn £60K, top 10% you take home after tax just a bit more than double what a full time cleaner on minimum wage does. If you earn 100K you take home around 3.4 times what a cleaner does.

[Martin@AS Financial]

UK inflation holds steady at 4% in January

Hopefully this is a sign that things are gradually improving although still a fair way to go to get the government set target of 2%

Full story here:

https://www.financialreporter.co.uk/...n-january.html

[Smoggy]

The CPI index is at the same level it was 7 months ago meaning inflation of 0% over this period. Unless something dramatic happens the BoE will easily undershoot the 2% year on year target in the coming months.

[Paddy]

The CPI index is at the same level it was 7 months ago meaning inflation of 0% over this period. Unless something dramatic happens the BoE will easily undershoot the 2% year on year target in the coming months.

Despite what the gov and BoE say, interest rates are not about controlling inflation. Recent inflation was caused by "printing" too much money but it's much easier to blame Joe public spending on extravagant items such a water, electricity and food.

[Smoggy]

There's more than one factor, for sure. Wars, pandemics, interest rates, money creation, crop yields, sentiment will all be having an effect. I don't think many people actually are blaming the public for high inflation anyway?