Students expect £100,000 salary by 40

[MyUserName]

It's do-able if you work for yourself, you have niche skills or you reach a high position in a business; what may be unrealistic is to expect your earnings to carry on rising, as some people seem to expect. More realistic to expect ups and downs in life.

True but how many ambitious 18 years olds realise that or realise it and want to admit it to themselves?

It often takes a couple of years of experience to show people what things are really like.

[Mich the Tester]

True but how many ambitious 18 years olds realise that or realise it and want to admit it to themselves?

It often takes a couple of years of experience to show people what things are really like.

Very few, but what I find more of a concern is people in their 20s and 30s who assume they'll carry on earning more and more and so take on a huge mortgage that they struggle to pay later on when the market falls and their pay goes down with it. There are quite a few of those in IT circles in NL.

[MyUserName]

Very few, but what I find more of a concern is people in their 20s and 30s who assume they'll carry on earning more and more and so take on a huge mortgage that they struggle to pay later on when the market falls and their pay goes down with it. There are quite a few of those in IT circles in NL.

Ah, right. I see where you are coming from.

[NorthWestPerm2Contr]

£100,000 after tax = £5,413.63/month

That is a decent salary no doubt but I'm sure most contractors take home more than that when they split the divis between them and their wife. The expenses are also a nice little earner.

[Mich the Tester]

£100,000 after tax = £5,413.63/month

That is a decent salary no doubt but I'm sure most contractors take home more than that when they split the divis between them and their wife. The expenses are also a nice little earner.

Shut up! Hector may be reading this!

See my rant from earlier this week; http://forums.contractoruk.com/gener...ml#post1836560

[doodab]

Shame during the education someone didn't point out that taking 2004/5 tax year only out of 30.2 million tax payers only 411k earned over 100k.... In 2012/13 year there were only approx 3% of the population earning the same amount. The maths ain't on their side.

What? 41,000 -> 900,000 in 9 years? An increase of ~22 times. So in 18 years pretty much everyone will be earning a million quid. Of course a loaf of bread will be about 4 grand and the average London house several quadrillion, so it won't seem like as much as it does now.

[doodab]

Errrm, isn't the whole point of this Press release is that a bank/pension company is flagging up that only 9% of these people surveyed pay in to a pension and that this is bad news (for them)

So basically people are distrustful of financial institutions? Maybe they would do better to find out why....

[NorthWestPerm2Contr]

Shut up! Hector may be reading this!

See my rant from earlier this week; http://forums.contractoruk.com/gener...ml#post1836560

Nice post - I guess it's only a nice little earner when you are working relatively close to home. While permies would be paying for the travel cost out of their post tax pockets, we get to take it out before hand and we don't have to pay the 40% tax on it.....

[d000hg]

Is this before tax? £100k a year is less than £5.5k a month after you are bent over by HMRC.

When did you ever see a job advertising what you'd earn after tax, you numpty?

£100,000 after tax = £5,413.63/month

That is a decent salary no doubt but I'm sure most contractors take home more than that when they split the divis between them and their wife. The expenses are also a nice little earner.

a)Most contractors don't income split
b)If your partner works full-time income splitting doesn't really help much, surely
c)You left out "most contractors in the south-east"



Back on topic, £100k is a great salary in 2013 but in 20 years time maybe it will be a normal salary...

[jamesbrown]

Back on topic, £100k is a great salary in 2013 but in 20 years time maybe it will be a normal salary...

Assuming that is 4x average salary now and annual salary inflation is about 3%, it would take just under 50 years.