A growing number of high earners in the UK say they are struggling to manage their finances, with one in eight feeling “trapped” by their financial commitments despite earning over £100,000 a year.
According to a new survey by wealth manager Killik & Co, many of these individuals are navigating high costs without the cushion of inherited wealth or family support. The research found that 44 percent of respondents said they could not comfortably meet their monthly financial obligations, while 18 percent said their financial situation was causing stress and anxiety.
More than a quarter said the cost of supporting loved ones was eroding their ability to save, and a similar proportion reported that their own living expenses were eating into their financial buffer.
Common outgoings beyond rent, mortgage and utilities included insurance (reported by 66 percent of those surveyed), commuting costs (47 percent), private healthcare (45 percent) and credit card debt (36 percent).
The findings suggest that many high-income households are living month to month. More than half of respondents said they plan only one year ahead when managing their finances, with just 3 percent thinking beyond a five-year horizon.
Will Stevens, head of wealth planning at Killik & Co, said the financial reality for high earners without inherited wealth is often less secure than it appears. “A high tax burden, loss of free childcare, family dependants and mortgage costs all stack up,” he said. “Even those on six-figure salaries can find it difficult to build resilience.”
He added that longer-term planning and tailored advice could help reduce the pressure and support more sustainable wealth building. “Upweighting pension contributions, managing salary increases and making the most of tax structures can all help avoid common financial traps.”
The study, conducted by Censuswide in April and May, surveyed over 2,000 UK residents earning £100,000 or more who do not stand to receive an inheritance and receive no financial support from parents.
