Jump to content
House Price Crash Forum

Child Benefit: A Stay-At-Home Mother's Story


The Preacherman

Recommended Posts

From yesterday's Guardian more whining from the secretly poor.

Husband a surgical registrar and 40% tax payer, she a stay at home mum. Loosing child benefit will push them in to 'poverty' because of their £230K IO mortgage on a 3 bed rural house.

Had to sack the cleaner, stopped shopping at Ocado and starting shopping at Tesco, stopped putting £20 a month in to child trust fund, making chicken last 3 days, making own soup, flogging old baby stuff at NCT sales, no coffee shops, wearing hand me downs, and no foreign holidays only a week in Cornwall.

My heart bleeds.

http://www.guardian.co.uk/money/2010/oct/09/child-benefit-stay-home-mother

Link to post
Share on other sites

From yesterday's Guardian more whining from the secretly poor.

Husband a surgical registrar and 40% tax payer, she a stay at home mum. Loosing child benefit will push them in to 'poverty' because of their £230K IO mortgage on a 3 bed rural house.

Had to sack the cleaner, stopped shopping at Ocado and starting shopping at Tesco, stopped putting £20 a month in to child trust fund, making chicken last 3 days, making own soup, flogging old baby stuff at NCT sales, no coffee shops, wearing hand me downs, and no foreign holidays only a week in Cornwall.

My heart bleeds.

http://www.guardian....tay-home-mother

Awww diddums, poor Tarquin. I'm beginning to see that it's mainly the 'middle-class' moaning and wailing about their state support ending.

Link to post
Share on other sites

These people are morons or its a made up story.

Moved to expensive Cambridge for her husbands job but he commutes 140miles to Ipswich? Move to Ipswich and save £100+ a week on fuel and a cheaper mortgage.

Saved £36 a month on car insurance... her car insurance shouldn't even be £36 a month unless shes driving something stupid... a Chelsea tractor maybe?

Your a stay at home mum and can't clean your self?

Your a stay at home mum and can't do your own shopping you have to have it delivered?

A pure ******** story.

Link to post
Share on other sites

These people are morons or its a made up story.

Moved to expensive Cambridge for her husbands job but he commutes 140miles to Ipswich? Move to Ipswich and save £100+ a week on fuel and a cheaper mortgage.

Saved £36 a month on car insurance... her car insurance shouldn't even be £36 a month unless shes driving something stupid... a Chelsea tractor maybe?

Your a stay at home mum and can't clean your self?

Your a stay at home mum and can't do your own shopping you have to have it delivered?

A pure ******** story.

I notice also that he is a trainee surgeon. Shirley once he stops being a trainee and becomes a fully fledged surgeon, he will be raking it in?

Pure lies the lot of it.

Link to post
Share on other sites

From yesterday's Guardian more whining from the secretly poor.

Husband a surgical registrar and 40% tax payer, she a stay at home mum. Loosing child benefit will push them in to 'poverty' because of their £230K IO mortgage on a 3 bed rural house.

Had to sack the cleaner, stopped shopping at Ocado and starting shopping at Tesco, stopped putting £20 a month in to child trust fund, making chicken last 3 days, making own soup, flogging old baby stuff at NCT sales, no coffee shops, wearing hand me downs, and no foreign holidays only a week in Cornwall.

My heart bleeds.

http://www.guardian.co.uk/money/2010/oct/09/child-benefit-stay-home-mother

Seemed to be on £46k or so (just over the mark - which for his training and experiences, are not excessive) : http://careers.bmj.com/careers/static/advice-salary-scales.html

£46k -> Take home £2700

IO Mortgage interest : 2.5% £230k : £480 per month.

Food : £500

Utilities + telecoms - £200

Cars and insurance (Average out) - £500. Petrol has just goes up a few p (thanks to the QE).

Council ltax - £150

Kids stuff - £100

Cars repayment ?

Nursery ?

Christmas/Easter present

The lessons

Think they will get by, but not luxurious in anyway. Many countries (France, Denmark, Asians) childrens automatically generates deduction in the tax

bills (In Asia, there are child allowances, France, Denmark basically tax on family income. )

Someone in Asia (or a british expats working in Dubai) will be able to afford the above lifestyle without much trouble at all (As they don't do the 40% + 1% NI + VAT + petrol duties)

By the way, Lord Ashcroft would probably qualify for child benefits if he arrange affairs accordingly (zero UK income, non dom, just spend overseas capital)

Link to post
Share on other sites

Seemed to be on £46k or so (just over the mark - which for his training and experiences, are not excessive) : http://careers.bmj.com/careers/static/advice-salary-scales.html

£46k -> Take home £2700

IO Mortgage interest : 2.5% £230k : £480 per month.

Food : £500

Utilities + telecoms - £200

Cars and insurance (Average out) - £500. Petrol has just goes up a few p (thanks to the QE).

Council ltax - £150

Kids stuff - £100

Cars repayment ?

Nursery ?

Christmas/Easter present

The lessons

Think they will get by, but not luxurious in anyway.

The above is a sensible budget for such a family but I doubt that reflects their current outgoings. To quote form the article "Our incomings – including that not insignificant £33.70 a week in child benefit – greatly exceeded our outgoings."

You're assuming that they've got a good deal on their IO mortgage. May be paying 5% or more due to it being fixed rate deal or having a small deposit. Wouldn't surprise if they're spending a grand or more a month on the mortgage.

The £500 a month is seriously an underestimate of their motoring costs to save £36 per month on motor insurance they've probably got a couple of prestige cars on a lease plan so lets call it £1000 a month on motoring.

Th council tax will be more like £200. And I bet this is a desirable country property off the gas mains and poorly insulated so I expect the heating bills are double. Plus there are probably credit cards and loans to be serviced.

So all their income has gone before they even think about day to day living.

Link to post
Share on other sites

The above is a sensible budget for such a family but I doubt that reflects their current outgoings. To quote form the article "Our incomings – including that not insignificant £33.70 a week in child benefit – greatly exceeded our outgoings."

You're assuming that they've got a good deal on their IO mortgage. May be paying 5% or more due to it being fixed rate deal or having a small deposit. Wouldn't surprise if they're spending a grand or more a month on the mortgage.

The £500 a month is seriously an underestimate of their motoring costs to save £36 per month on motor insurance they've probably got a couple of prestige cars on a lease plan so lets call it £1000 a month on motoring.

Th council tax will be more like £200. And I bet this is a desirable country property off the gas mains and poorly insulated so I expect the heating bills are double. Plus there are probably credit cards and loans to be serviced.

So all their income has gone before they even think about day to day living.

Boo ******ing hoo. Excuse me while I don't give a shit.

The sooner they realise they are poor, the better.

Link to post
Share on other sites

The above is a sensible budget for such a family but I doubt that reflects their current outgoings. To quote form the article "Our incomings – including that not insignificant £33.70 a week in child benefit – greatly exceeded our outgoings."

You're assuming that they've got a good deal on their IO mortgage. May be paying 5% or more due to it being fixed rate deal or having a small deposit. Wouldn't surprise if they're spending a grand or more a month on the mortgage.

The £500 a month is seriously an underestimate of their motoring costs to save £36 per month on motor insurance they've probably got a couple of prestige cars on a lease plan so lets call it £1000 a month on motoring.

Th council tax will be more like £200. And I bet this is a desirable country property off the gas mains and poorly insulated so I expect the heating bills are double. Plus there are probably credit cards and loans to be serviced.

So all their income has gone before they even think about day to day living.

in that case the £36 even if tax free will make very little difference to their lavish spending. That said I am sure it is a made up story but it reflect the ,nimbyism' of the comfortable middle class who have had it good for so long and now are squealing - it isn't fair, why me, why not them.

Link to post
Share on other sites

All this talk about government largesse is making me feel left out, I don't get a penny from the state for anything while households taking home 3 times what I do or old people who own big houses outright are entitled to thousands of pounds in benefits. Is it too late to get in on the other-people-paying-my-bills-for-me racket?

Link to post
Share on other sites

All this talk about government largesse is making me feel left out, I don't get a penny from the state for anything while households taking home 3 times what I do or old people who own big houses outright are entitled to thousands of pounds in benefits. Is it too late to get in on the other-people-paying-my-bills-for-me racket?

If you stand to inherit property, you have your ticket to it at some point.

If not, you just have to work for it, and pay half what you earn to prop up the system.

Link to post
Share on other sites

I fail to see how losing £35 a week has led to this amount of savings:

Sacking the cleaner we had for two hours a week, saved £80 a month.

shopping saves about £120 a month.

car insurance on moneysupermarket.com, saving about £36 a month.

Potty-training my son – he was ready but I'd been reluctant – saved the same amount in disposable nappies.

stopped the £20 a month put in each of the children's child trust funds.

School dinners now packed lunches, £10 a week,

we've reduced our alcohol consumption

frugal cook

We've also exploited our allotment.

sale of clothes; made me £85,

cheaper presents for the 20 odd birthday parties for the kids.

no books bought - library instead

IO mortgage

no foreign holidays

no ballet lessons for my daughter, but no jazz dance; no going out for the adults;

no coffee shops;

no haircuts and certainly no highlights

I have no sympathy.

Having a cleaner who charges £10 an hour?

She could always get off her ass and do that for some spare cash rather than lament the fact that it's tough living the dream.

Ok - her husband's income was cut by a few hundred a month - but it's hardly the end of the world - she should be able to live on that 40 odd K salary and still save money (or repay that 5x salary mortgage)

Link to post
Share on other sites

These people are morons or its a made up story.

Moved to expensive Cambridge for her husbands job but he commutes 140miles to Ipswich? Move to Ipswich and save £100+ a week on fuel and a cheaper mortgage.

Unfortunately, as a medical trainee - that's what happens.

You apply for a 5 year fixed-term job in Cambridge. You get a job in Cambridge - and then, after you've worked there a year, they tell you, you'll be working in Ipswich for the next 6 months. Then Hatfield for 6 months, then Gt Yarmouth for 6 months, then Norwich for 6 months, then Peterborough for 6 months... Been there, done that.

East Anglia is quite spread out so this is more of a problem there than many other areas. In London, for instance, applying for a job in 'Euston' may mean that you'll also have to work in Brixton, Whitechapel, Hillingdon and other areas. Awkward, but manageable, no matter where you live in London, given the reasonable performance of the tube.

Saved £36 a month on car insurance... her car insurance shouldn't even be £36 a month unless shes driving something stupid... a Chelsea tractor maybe?

A lot depends on the area. When I lived in Cambridge 5 years ago, I was paying close to £800 to insure a clapped out old hyundai. Best quote I could get - 10 years no claims, blah, blah. Moved to Yorkshire, and the renewal was less than half that. No idea what was going on with those prices - guess they must have thought that area of Cambridge was a bit rough - then again, I suppose it was. I did get woken a few times by cars being burned out. :ph34r:

Your a stay at home mum and can't clean your self?

Your a stay at home mum and can't do your own shopping you have to have it delivered?

Can't say I have much sympathy there.

It sounds like this family's financial problems run deeper than just the child benefit though. The biggest problem seems to have been buying a grossly overpriced house which they can't really afford, and which actually suits work rather poorly.

Link to post
Share on other sites

A lot depends on the area. When I lived in Cambridge 5 years ago, I was paying close to £800 to insure a clapped out old hyundai. Best quote I could get - 10 years no claims, blah, blah. Moved to Yorkshire, and the renewal was less than half that. No idea what was going on with those prices - guess they must have thought that area of Cambridge was a bit rough - then again, I suppose it was. I did get woken a few times by cars being burned out. :ph34r:

That will be all those ivory tower academics on a night out! :huh::o

Link to post
Share on other sites

Unfortunately, as a medical trainee - that's what happens.

You apply for a 5 year fixed-term job in Cambridge. You get a job in Cambridge - and then, after you've worked there a year, they tell you, you'll be working in Ipswich for the next 6 months. Then Hatfield for 6 months, then Gt Yarmouth for 6 months, then Norwich for 6 months, then Peterborough for 6 months... Been there, done that.

It sounds like this family's financial problems run deeper than just the child benefit though. The biggest problem seems to have been buying a grossly overpriced house which they can't really afford, and which actually suits work rather poorly.

That's about it for me - they would've been aware that they were in for a period which required him to move regularly for work (she blames their lack of savings on the cost of moving so often) so it would've been sensible to rent until they were in a position to commit to an area, or at least not get mortgaged to the hilt before he has fulled qualified.

Common sense and self-awareness don't appear to be a strong point, and her kid-on martyrdom is grating. Other people have real problems.

Link to post
Share on other sites

From yesterday's Guardian more whining from the secretly poor.

Husband a surgical registrar and 40% tax payer, she a stay at home mum. Loosing child benefit will push them in to 'poverty' because of their £230K IO mortgage on a 3 bed rural house.

Had to sack the cleaner, stopped shopping at Ocado and starting shopping at Tesco, stopped putting £20 a month in to child trust fund, making chicken last 3 days, making own soup, flogging old baby stuff at NCT sales, no coffee shops, wearing hand me downs, and no foreign holidays only a week in Cornwall.

My heart bleeds.

http://www.guardian....tay-home-mother

I see the children have been reduce to foraging for wild berries.

sarah-hall-child-benefit-006.jpg

Link to post
Share on other sites

I checked our household income on some website a while back and found out we we in the top 85% net income group. But, in reality, we could never lead even a small percentage of the s-w-a-n-k-y 'middle class' lifestyle outlined in this daft article.

Mrs and I even get clothes from charity shops or, for something special, off eBay.

If we have even a few modest treats in the space of a single month the credit card bill trebles.

We don't feel poor, though. We save. The second hand/giveaway scene means we can obtain an embarrassment of stuff for tiny fractions of shop prices.

What would help? Well, if we'd been just a few years older and bought pre-boom we'd probably have a mortgage less than half our rent. A few hundred quid back in our pockets per month would make a big, big difference.

Link to post
Share on other sites

Archived

This topic is now archived and is closed to further replies.

  • Recently Browsing   0 members

    No registered users viewing this page.

  • 415 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



×
×
  • Create New...

Important Information

We have placed cookies on your device to help make this website better. You can adjust your cookie settings, otherwise we'll assume you're okay to continue.