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Survive in London on a salary of £20k? (1666 after tax per month)

What are your honest thoughts on this? Unless I have counted wrong, it comes out to roughly £1666 pcm after taxes.

10 600 is tax free. The rest, 9400, is taxed at 20%. Is there anything wrong with this?

  • Rent: 750
  • Bills: 50
  • Food: 250

  • Commute: 230 (monthly travelcard, zone 1-6).

This leaves roughly 400 pounds after everything has been paid.

In my calculations, I think the rent and the travelcard might cost on the higher-end of things. Therefore there might be cheaper alternatives?

My question is, is it possible to live within 30 minutes by bike to tower of London for a rent that is between 400-750(which is roughly where the office is)?

London | 👁 992 | Posted February 12, 2018 | Share on Facebook | Twitter | Google+

| Modified: February 12, 2018 | Author:

17 Comments

cyclegaz 3 years ago

A nice house share in zone 6 with all bills included is around 500.

Djn7sEeVEDr7D 3 years ago

He/She mightn't have much of a choice...

Djn7sEeVEDr7D 3 years ago

I live in zone 2 (east London) and pay 660 a month for a (small) flat.

mr-mistoffelees 3 years ago

1666 * 12 = 19992 so OP has definitely gone wrong with the calcs somewhere!

KevinAtSeven 3 years ago

Food: 250 Do you have an Aldi or Lidl close to you? Since switching to Lidl my grocery bill is around 20 a week for myself, which leaves me enough left over to go out a couple of times a week.

No_Dana_Only_Zuul 3 years ago

Confused about why you need a 1-6 travelcard when you'll be cycling to work. Just use PAYG.

Actinism 3 years ago

This, zone 2 East has flats for closer to 600 if you want to share.

ohaipavement 3 years ago

You don't need a zone 1-6 travelcard. You can easily live in zone 3 (more like 145/month for travelcard) at a rent of 550 if you're in a houseshare. If you want to be near Tower of London, try Wapping - I know someone who lives there for around 650. 30 minutes by bike is quite far though, you could be in Hackney, Isle of Dogs or Peckham by that time. You're bills are probably too low though if you're including council tax in there. 20k is not that bad. It wouldn't be a lot of fun - I'd take the food bill waaay down from 250 though - if you're on 20k, you can't expect to be eating out all the time, and I don't think groceries for one person need to be 60/week (I mean, I definitely wasn't spending that on food when I was a student). So my calculations would be more like: Rent: 540 Bills: 90 Tightly budgeted food shopping (make work lunches at home..): 150 Commute: 145 = 925 According to http://www.thesalarycalculator.co.uk/salary.php your take home would be 1390 though so you're about back to where you started with 465 left over in a month. If you cycle a lot as well though you could potentially save on the travel card.

philipwhiuk 3 years ago

Or pension.

DicevsMice 3 years ago

Take the rent down to 500-600 by living somewhere like canning town. The bills will be at least 100 so take that up. Food: seems high but if it includes eating out then fair enough. Travel: If you have the cash flow get the season ticket, or expect to pay 120-170 depending on zone 2/34. You've probably forgotten a few bills like your mobile phone. And if you've done uni then don't forget your student loan. Honestly, it's doable and you can live a little but it will be very tight and the generally higher cost of living will eat your social / food budget faster than you think to the bike question yes sure, in fast very close. Look at Shadwell/ Whitechapel / along that area. Plenty of cheap shares (or there was 2 years ago, can't imagine it's changed hugely)

multiculturalman 3 years ago

You'll be fine dude. I lived on 20k before getting bumped up a few months ago, paying 600 a month rent. People here are making good points about bills being higher, council tax etc. but it's not too much. I was going out big once a month or so and definitely wasn't a hermit for the rest of the month but I didn't have anything to save at the end of the month. As for finding somewhere to live 30 mins from Tower of London, try looking south, I'm in New Cross and there's shared places for under 600 if you look. Hope all goes well :)

1L4ofDtGT6kpuWPMioz5 3 years ago

I wouldn't want to try it

BobTheDoc123 3 years ago

I make 1800 per month after taxes as a young doctor and can live on that in london, Ok I dont live well but I get by.

[deleted] 3 years ago

You can live in East London and get the bus or cycle or walk to work in that time. Definitely don't need a 1-6 card.

mralistair 3 years ago

your take home is less than that I think, youve got national insurance as well http://www.listentotaxman.com/20000 it's very tight but people do it, if you are in zone 6 you should be paying less than 750, get a houseshare closer in. on a plus side, 250 for food is high

ken_new 3 years ago

50/month on all monthly bills is too low. Don't forget to factor in council tax, TV license, water rates, internet. If you pay 250 in rental agents fees (which is not unrealistic) then that's effectively more than 20/month onto your bills over a year. Edit: although why buy a travel card each month if you're planning to cycle? You won't have the budget to be going out that much, so the vast majority of your journeys will be your commute to work. For everything else just use contactless.

thefuzzylogic 3 years ago

20,000 annual salary is 1390.60 per month after tax and NI, assuming you get the full 1060L tax code and no student loan. http://listentotaxman.com/20000? Is it enough to survive? Yes. However, you will have to share a flat with a few others, aim for closer to 600pcm rent maximum, and bills will be a lot higher than 50 per month. You will have to live very frugally and won't have anything left over. You also haven't budgeted for mobile phone, council tax, or entertainment.


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