How much should you earn?

[RaptorSA]

Mmm, I also think these figures are way way too low. We hire based only on experience, diploma's and even degree's means absolutely *****. A guy with 2 years exp should earn no less than 20k. Depending on language maybe even more.

My 2c anyway.

Holy Crap! I've been doing SQL (MS Server 2000) for almost 4 years now, (Powerbuilder for about 1.5 years, and the last 2 years was spent on ASP .NET with C#) and I still barely take R16K home per month (Honors degree in I.T. too )

 

[Sandman30s]

solid investments

Pray tell, what are these?

 

[XSA]

So in my opinion you'd need about R30K+ take home salary to survive in an average/cheap house with two kids and two cheap cars.
That means no eating out, no DSTV, no Internet connection, no spare money for investments/retirements ...

yeah thats about right. I'm 26. Wife's a draughtsperson, I'm a web developer and run my own business on the side. With all 3 we pull in about R30000 on average, which is just enough to stay in our little 3rd floor flat in benoni, drive 1 car and send the kids to school/creche.

I honestly dont know how a lot of these people that earn R5000 or less do it. thats not even food and school fees

 

[FarligOpptreden]

It's worse than that.
My fiancee and I are looking at buying a house and with a combined income of R40K (gross) the max we'll qualify for is about R900K over a 20 year period at prime.
R900K for a 2 or 3 bedroom, free standing house, in a safe area is a bargain around the JHB, PTA area. We're still looking ...

That's 25K for me and 15K for her with a combined take home pay of about R25K.
The bond repayments are R12K per month, add rates and taxes, water and lights, food, etc. and you're up to about R14K per month ... just for a house.
Add R2500 for food, R1000 for house and car insurance, R4100 for repayments on two cheap cars, R3000 for fuel and suddenly you're up at R24600!
Now we have to figure out what to do with the remaining R400.

So in my opinion you'd need about R30K+ take home salary to survive in an average/cheap house with two kids and two cheap cars.
That means no eating out, no DSTV, no Internet connection, no spare money for investments/retirements ...

I know exactly where you're coming from. My and my wife's financial situation is about the same as yours (with around R30k take-home per month). This is the reason we settled on renting a smallish house (until the interest rates drop enough) instead of buying again. We sold our apartment off end of last year. It's madness paying in the region of R8k a month for a 2 bedroom, 2 bathroom apartment. Even worse, is we have to stay in Midrand (I work in Centurion, she works in Sandton), which automatically ups the price of property by about 15-20%.

Luckily for me, my work pays my internet connection and we decided to cancel our DSTV subscription, partially because we watch at most 4-5 hours of TV a week. Paying around R25 an hour to watch TV just isn't worth it.

 

[XSA]

R550000 bond @ 1.5 below prime (13.5%) = repayments of about R7600.

Bring on the depression! More interest rate cuts!! Lower fuel!! yeah baby

 

[xrapidx]

Holy Crap! I've been doing SQL (MS Server 2000) for almost 4 years now, (Powerbuilder for about 1.5 years, and the last 2 years was spent on ASP .NET with C#) and I still barely take R16K home per month (Honors degree in I.T. too )

A lot of it is getting in with the right company, some pay, some don't - where are you based?

 

[RaptorSA]

A lot of it is getting in with the right company, some pay, some don't - where are you based?

Yeah I know, the problem is that "job hopping" is not as easy as people make it out to be. I now work for a Data Warehousing company in Fourways, most of the people there are BI consultants but I tried to stick to the development position they had open. We're currently outsourcing to INM Outdoor Advertising (previously part of ClearChannel). Been on this project for 2 years now.

Also, I try not to leave any company too soon, sometimes it helps to stick around even if times are a bit tough. I hate having a CV where you divide each year into months spent at different companies!

 

[2CentsWorth]

Pray tell, what are these?

I'm not willing to dispense any investment advise on a forum. There are, however some instruments that do offer good returns, while ensuring your capital amount is guaranteed (such as a money market account). I suggest you speak to a financial advisor if you require investment advice.

 

[Sandman30s]

I'm not willing to dispense any investment advise on a forum. There are, however some instruments that do offer good returns, while ensuring your capital amount is guaranteed (such as a money market account). I suggest you speak to a financial advisor if you require investment advice.

This is exactly why I asked. Financial "advisors" only look after their own pockets and maximum commission. Don't worry, I didn't want you to reveal your secrets lol, it was a tongue in cheek question.

 

[DarkDenim]

Just to survive, be able to afford a house, 2 Cars and send kids to school one should at least be earning over R 20k per month and then have a spouse salary also. A combined salary take home of over R 25k or your fk'd

Sad aint it

Too low IMO. A R1m house costs about R11700 and 2 cars cost about R10k. That's R22k already!

 

[DarkDenim]

Take home on R40K is approximately R29K... of course thats after medical aid deductions so add on about R1.2K.

If you're contributing 5% towards pension then it's R27850 - medical aid

 

[LazyLion]

Wow, only 4 of us earning over R75,000

*** continues living in dream world ***

 

[maestro_za]

Dark times then.

28 yrs old, never earned more than R8k basic/take home (been a Sales Rep, PC techie and IT Assistant) when employed at a company. Running Quick Flow IT (average over 10k/month), which will soon be part-time as I will be moving into a broadcasting job @ SABC (*touch wood* confirmation over the weekend).

Completing a Communication Science degree through UNISA, as my folks didn't have the money to send me to university @ 18 like most people. Wanted to become a 3D animator, but the fees were also to high. Did diploma's and certification in IT things and got peanuts when a job came my way.

Have a GF (23), she's unemployed with a Matric only and has no money to study further - so the onus is on me to earn the dosh. Will get engaged sometime this year ... and now this survey and thread talks about the gross income and what it takes to afford a home, etc ... makes me want to P in da pants.

Tough times

 

[tjunyat]

Just to survive, be able to afford a house, 2 Cars and send kids to school one should at least be earning over R 20k per month and then have a spouse salary also. A combined salary take home of over R 25k or your fk'd

Sad aint it

My fiance and I earn a combined salary of over R60k / month before tax, no kids (unless you count our dogs ), 2 cars, 2 houses, none of which are paid off yet and we're not living a lavish lifestyle and it's still tight.
I have NO idea how people earning a combined salary of less than R30k/month are having kids, affording a house, a car, school fees or anything else.

The current market is insane!

 

[Tweak]

how many of the people here work for telkom? Lol

 

[DarkDenim]

My fiance and I earn a combined salary of over R60k / month before tax, no kids (unless you count our dogs ), 2 cars, 2 houses, none of which are paid off yet and we're not living a lavish lifestyle and it's still tight.
I have NO idea how people earning a combined salary of less than R30k/month are having kids, affording a house, a car, school fees or anything else.

The current market is insane!

Problem spotted. Why do you have 2 houses with a combined income of R60k?

 

[Rouxenator]

...looking at buying a house ... R900K for a 2 or 3 bedroom, free standing house, in a safe area is a bargain around the JHB, PTA area.

Do those exist?! I paid R1.1m in 2007 for a 3 bedroom, 2.5 bathroom, non free standing house in a security complex in Stellenbosch. Why are houses so cheap in PTA?

So in my opinion you'd need about R30K+ take home salary to survive in an average/cheap house with two kids and two cheap cars.
That means no eating out, no DSTV, no Internet connection, no spare money for investments/retirements ...

Agreed. I take home under 20k after tax and medical, one old car, no kids, expensive house, I k4k af

Sorry, no. Degree always counts, Hons. even better, Masters, now that counts a lot.

True, but it depends what direction you study in. I have a B.Tech degree in IT and it helps a lot. My wife is in science (reproduction/genetics) and she earned half what I did when she still had her masters, thats why she is now getting her PhD.

I disagree. Investment vehicles for someone your age is considerably cheaper. In any event, if you're putting away R5.5k a month in solid investments then you will in all likelihood have a fantastic lifestyle come your retirement. Unless you're investing stupidly that is. Perhaps buying a few Apple shares?

What is an investment car? I seriously doubt Golf and Polo GTIs fall into that catagory. Besides, cars are almost always an expense. I should be putting away R5.5k but I only manage R1.5k currently. My RA is at liberty life and my investment is with Alan Gray, I think the portfolio is called Stanlib, I guess they have some fruit shares yes

A life policy on you should be no more than R200 a month. I have R5 Million cover and only pay around R370. My wife pays a lot less and hers is also for R5 Million.

Mine covers death, disability and dreaded diseases (all triggered together). The disability (at Momentum) is in a job of my choice, not a category of theirs - watch out for those. Plus my company also has disability/death cover for all employees.

I have NO idea how people earning a combined salary of less than R30k/month are having kids, affording a house, a car, school fees or anything else.

My guess is they can't and slowly but surely they are drowning in debt, taking their kids down with them.

 

[Pyro]

Not everything in you life has to be expensive!

From where I currently am, I could take the bus to/from work. That costs only about R300/month, and saves me the R2500 monthly payments + R700 insurance + R1200 in Petrol + about R400 for maintenance ~ R4800. So I could save roughly R4500/month just by giving up my car. If I keep it for weekends, I can at least save R1400/month. There are alternatives.

Housing is the same. Everybody would love a nice R1mil house, but you can live with much less. R600k is plenty for a small place. You can go even smaller, and save more money.

Yes it'll be nice, but obviously not everyone grosses R50k. You are lucky, remember that!

 

[WolfByte]

I agree with shadowfox, i'm also earning less than the average unskilled worker... @.< Cripes, where was the survey done? I want to move there

 

[Other Pineapple Smurf]

My fiance and I earn a combined salary of over R60k / month before tax, no kids (unless you count our dogs ), 2 cars, 2 houses, none of which are paid off yet and we're not living a lavish lifestyle and it's still tight.
I have NO idea how people earning a combined salary of less than R30k/month are having kids, affording a house, a car, school fees or anything else.

The current market is insane!

My Wife and I have a combined salary of less than R20k/month. We rent (cheap place), my wife is 1km from her business and I'm 5km from my work so we only have one small car (paid off). We have a nanny for the little monster but she is only till the end of the year - creche will cost about the same though.

Its tough and I'm trying to study through UNISA too. Had to start canceling my policies as I cannot afford them and can't keep my head above water.