Budget blues

deise-lady

anyone else feeling seriously deflated after that budget?

I reckon the government think we all have savings stashed away somewhere that we can dip into when the going gets tough.

I work part-time (not my own choice) and don't know how I'm going to manage. I'll just about make my mortgage repayments and get food on the table, but if any extra bills hit (even something like getting my car serviced), then I'm f**ked.

How's everyone else doing?

ziedth

I for one was screwed well before this budget came out,

I'd say i'm well on my way to becoming a statistic work wise. I feel for you though deise-lady, I don't owe anything major outside of credit card/friends/small loan so I'm not too worried that way.

The budget was never going to be pretty though. I think we should tax people with over 1000 posts :pac:

nkay1985

I think this budget has hit everyone but that was probably the fairest way to do it, I'm afraid. I'm no fan of Fianna Fail and, as they got us into this mess, I think they should be punished for it in the next general election but at least they've made this one quite fair.

I really feel for people who have two or three children and are seven years into their mortgage. And it'll only be worse when they start means-testing or taxing the children's allowance.

Personally I'll be paying 2% instead of 1% with the levy. I've no children. And I'm only getting the keys for my house tomorrow. So I've been very lucky with it.

deise-lady

nkay1985 wrote: »

And I'm only getting the keys for my house tomorrow. So I've been very lucky with it.

Yay!!! congratulations. A bit of good news.
Best of luck with the new home

robtri

deise-lady wrote: »

anyone else feeling seriously deflated after that budget?

I reckon the government think we all have savings stashed away somewhere that we can dip into when the going gets tough.

I work part-time (not my own choice) and don't know how I'm going to manage. I'll just about make my mortgage repayments and get food on the table, but if any extra bills hit (even something like getting my car serviced), then I'm f**ked.

How's everyone else doing?

hey sorry to hear that deise lady, know how you feel.....

gscully

I'm certainly pissed off with the whole thing.

I'm lucky enough to have a job, but we're a single-income family with one toddler and another due in 4 months, so every cent is valuable.

Things had been reasonable lately as the banks passed on the interest rate cuts to the mortgage, so that was good. However, as my mortgage hits 7 yrs next month, we'll be down €110 a month straight away, add to that the termination of the early childcare supplement, the rise to a 2% income levy and the health levy, and we'll be lighter to the tune of at least €250 a month.

It seems to me that the budget will seriously affect young families. So much for protecting the future!

Also, they've done absolutely nothing to encourage spending. I know we'll have to tighten our belts big-time, so any luxurious spending is a no-no. Shops will suffer because of this and more people will hit the dole...and as a result, we'll have to endure more cuts in December's budget!

mike65

ziedth wrote: »

The budget was never going to be pretty though. I think we should tax people with over 1000 posts :pac:

:eek:

Dunno how to feel tbh, it was never going to be anything other than bad. Its the thought of more of the same in December and again in 2010 and 2011 thats most depressing.

Cabaal

It was never going to be nice, I do however find it amusing that people blame the goverment, didn't matter who was in power we'd be in the same situation.

People seem to be blind to the fact that the whole world currently has issues

ziedth

Cabaal wrote: »

It was never going to be nice, I do however find it amusing that people blame the goverment, didn't matter who was in power we'd be in the same situation.

People seem to be blind to the fact that the whole world currently has issues

See I do agree with you that the "recession" can't be blamed on the Goverment and to be honest I'd worry about people that its solely their fault. However, I would question how the Goverment are trying to fix the problem.

I'm no economics expert by any means but spending should be encouraged the knock on effect is really starting to hit the retail trade (and other industries I'm sure) and IMO the only ones left standing are going to be Multi-national companies who's profits are moved outside the country anyway. Decreasing the VAT and making banks issue personal loans I feel would help.

j walsh

I taught the government were trying to stimulate the economy with this budget.
That certainly didn't happen, people will now stop buying altogether as they have slowed down already and more shops will close.

Bards

gscully wrote: »

I'm certainly pissed off with the whole thing.

I'm lucky enough to have a job, but we're a single-income family with one toddler and another due in 4 months, so every cent is valuable.

Things had been reasonable lately as the banks passed on the interest rate cuts to the mortgage, so that was good. However, as my mortgage hits 7 yrs next month, we'll be down €110 a month straight away, add to that the termination of the early childcare supplement, the rise to a 2% income levy and the health levy, and we'll be lighter to the tune of at least €250 a month.

It seems to me that the budget will seriously affect young families. So much for protecting the future!

Also, they've done absolutely nothing to encourage spending. I know we'll have to tighten our belts big-time, so any luxurious spending is a no-no. Shops will suffer because of this and more people will hit the dole...and as a result, we'll have to endure more cuts in December's budget!

In the same boat myself, I calculate our family income will be down by about €4,000 per year, if you take into account the early child care supplements etc

Aquos76

nkay1985 wrote: »

Personally I'll be paying 2% instead of 1% with the levy. I've no children. And I'm only getting the keys for my house tomorrow. So I've been very lucky with it.

And dont forget the extra 2% health levy you will be paying on your PRSI contributions aswell.

deise proud

im in one of the the emergency services i aint on a top wage i will be down 200e a WEEK since christmas including the measures in the current budget, income levy, health levy, moving on ceiling of prsi contributions, pension levy, child supplement culled, mortgage relief culled after 7 yrs, it has to stop somewhere soon enough ill be working for nothing....

Bards

there will come a time when it may not be worth our while working full time and may be far batter off working part time esp if they means test Childrens Allowance:mad:

Dum_Dum

Bards wrote: »

there will come a time when it may not be worth our while working full time and may be far batter off working part time esp if they means test Childrens Allowance:mad:

I argue hyper-inflation in the housing market made a mockery of the money supply and hence working.



If you can maintain income while others around you don't, then it certainly is the best time to be working as your purchasing power has increased.

gscully

Bards wrote: »

In the same boat myself, I calculate our family income will be down by about €4,000 per year, if you take into account the early child care supplements etc

To put a positive spin...it'll mean having to cut back on spending and takeaways will be first to go. Maybe then I'll get my figure back :pac: Of course, then I'll need new clothes and won't be able to afford them :mad:

Cabaal

ziedth wrote: »

Decreasing the VAT and making banks issue personal loans I feel would help.

I would have thought they would have touched on the VAT rate as many people are still going up north and this is resulting in the gov loosing even more revenue....even if they cut it half a percent it would have been a benefit.

Loans are abit iffy, you could end up in a very bad situation where people keep getting loans to pay off smaller debts and end up with bigger one's....think those ocean finance adverts on UK TV....

I guess people will just have to cut their cloth accordingly from now on, cut back on foreign holidays and the like, not going to be fun but things will sort themselfs out over time.....these things tend to go in a cycle

hellfireie

they should sort the VAT ASAP he said it himself that he made a mistake putting it up , so why the hell is'nt the mistake fixed . just think about if we had the same rate as the UK for a six month trial, i bet you would see a big difference peoples spending . if i lived any closer to the border you can bet i'd be up there too spending the few bob i have . no ones askin for freebees off biffo and the lads just abit of cop-on

nkay1985

Aquos76 wrote: »

And dont forget the extra 2% health levy you will be paying on your PRSI contributions aswell.

Yeah, forgot to mention that. All I'm saying is that I realise that I could have hit much harder and am not feeling too sorry for myself when I see friends and workmates effectively being forced to leave work because of this.

deise-lady wrote: »

Yay!!! congratulations. A bit of good news.
Best of luck with the new home

Thank you. I'm excited!

ToxicPaddy

I know how you feel Deise, I was in that situation a few years back, living month to month, no savings and if a major issue came up it was cap in hand to the bank looking for a loan.. managed to dig myself out of it, while tough, it can be done..

The budget is gonna hit everyone hard, even high earners, while not exacty on the breadline will have to cut down on their spending and curb the indulgences..

As someone said here, I cant complain too much, Im single, no kids, a low mortgage and relatively secure job for the time being, so will just have to keep the head down, less weekends out on the town, holidays and start bulking up the savings and hammering down on what loans I have..

Maybe its the incentive I need to do a few nights a week in the gym and get back to a decent level of fitness..

Hope things improve Deise..

Tox

deisemum

I'm not sure to what extent I'll be affected with the levies, as I've got a low income I pay the €253 per year and being self-employed get sod all for it. I work part-time some of the year and full time the rest and my income varies but it's very low and as I work from home I don't have to pay for childcare.

I never got the ECB as my youngest was just outside the age limit. We're aiming to pay off our mortgage by the autumn. Hubby works in construction and is self-employed so our income is down big time and we never know from one week to the next what we'll take in.

Trotter

Cabaal wrote: »

I guess people will just have to cut their cloth accordingly from now on, cut back on foreign holidays and the like

My holidays will certainly be reduced drastically but here's an example of why foreign holidays may well be more affordable. I was in Spain recently. I got there and back for €80. Car hire for 4 days €80. B&B in the mountains beside the most amazing lake, with a little pool to ourselves.. €38 per room per night. Burger and chips in a lovely little cafe bar with sports and broadband €3.20. Pint of San Miguel, €2. Coffee €1.20. 3 course dinner €16.

Compare that to the cost of a 4 day break at home. There is no comparison. I know it'll be tough to have holidays at all in the next couple of years but it is very frustrating to see how we are being ripped off at home. If its any consolation, there is value in breaks away in the sun now, and it will be manageable with a little time spent researching cheap alternatives and booking direct with hotels and B&Bs etc.

I'm not for a second ignoring that our FF friends have marched many to the breadline while wiping the debt of property investors but there is a glimmer of hope out there that the sun is free in Southern Europe and its getting cheaper to go over and relax away from the Irish doom and gloom.

I know none of that is any consolation when some people are working to put food on the table. Maybe we'll have a great summer at home for a change, and maybe they won't tax that.

rasper

While it is a savage budget still the real problems with waste and over spending still have not been addressed , because of this more jobs will be lost with a greater burden placed upon the State.
FF are in my eyes hoping that people will start to emirgrate again to relieve this pressure, and yes FF are to blamer for the crisis despite it being a global recession as the state should have kept expenses down and amassed a surplus of cash to splash out for when every economic cycle rotates simple economics.
For the voters who stay and especially to the every second voter who rewarded FF and their cronies in the last GE, we get the goverment we deserve.

nkay1985

Trotter wrote: »

My holidays will certainly be reduced drastically but here's an example of why foreign holidays may well be more affordable. I was in Spain recently. I got there and back for €80. Car hire for 4 days €80. B&B in the mountains beside the most amazing lake, with a little pool to ourselves.. €38 per room per night. Burger and chips in a lovely little cafe bar with sports and broadband €3.20. Pint of San Miguel, €2. Coffee €1.20. 3 course dinner €16.

Do you mind me asking where that was Trotter? And who you flew with?

PM if you like.