Saturday, July 9, 2011

Parents face rising cost of living

Parents face soaring living costs

Category: Money
Date: 05/07/2011

Some families an increase in the cost of living almost a quarter of this year face, a report has warned.

Joseph Rowntree Foundation (JRF) found out that parents have to contribute at least £ 18,400 with two children, offer an acceptable quality of life.

A number of factors, including cuts and freezes on benefits for child care, have increased the amount that parents need to take each year.

It means that parents face having to to cover net income up to a quarter (24%) to a minimal budget.

"The reduction of child care support was particularly important." "For example, it means that with two children pay someone £ 200 a week in childcare £ 60 instead of £ 40 to these costs - a 50% higher can contribute", according to the report.

", From which the loss of additional 1,000 £ should annual disposable income."

"This would generate additional gross income of approximately £ 3,700, with £ 1200 control then racked and require social security contributions and a reduction of £ 1,500 in tax credits."

"This helps to explain why a couple with two children, both parents work full time, would have to, 24% to earn more in 2011, as in the year 2010 as a minimum budget to cover, once child care costs are taken into account."

A single person have to earn before taxes overall acceptable to achieve living standards £ 15,000.

An annual income needs a single parent with a child just shy of £ 18,250 per year.

Budgets for all groups due to the rising food and utility prices, have been compressed to high inflation and pay freezes.

The report predicts that the significant increase in cost increases some families from work, which could put pressure on the State.

"The squeeze living standards caused by the combination of rising prices and stagnant income low income is hard, hitting", according to the report.

"This is in part, but also because of the political decisions that have restricted their net income because she face relatively high inflation rates,."

"In particular the decline in support for child care has aggravated many low earning families out." "While it has significantly reduces the incentive to work for relatively low wages for families who use child care, need to do this."

For financial information for you -compare financial solutions


No comments:

Post a Comment