Income Independence Day: households need to work 22 days to cover costs

Average household has now earned enough to cover the bills for the month.

Today is the day you stop earning money for your bills and start earning money for yourself. That's according to research from Halifax, which found that 22nd May is the day most households have worked enough days to pay off their main living costs for the month.

Based on the average household living cost of £2,043 and the average gross monthly household income of £2,956, Halifax worked out that across the month of May today would be ‘Income Independence Day’. That’s the day the living costs for the month have been covered and the average household is earning money they can spend as they wish.

Income Independence Day moves within the month depending on where you live. People living in Yorkshire, the Humber and the North West would have covered their living costs two days earlier on the 20th May, whereas those living in London must wait until 26th May before they reach independence.

Across the nations it is the Scots who cover their living costs quickest, with people living in England having to wait the longest to hit Income Independence Day.

Even if you strip out other living costs and just look at Income Tax and the cost of housing, it takes an average of two weeks for households to earn enough to cover those costs. This rises to three weeks in London.

The average household covered housing and Income Tax costs on 15th May.

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The 'fun fund'

Interestingly, according to Living Social, we are only days away from another notable day - the start of the 'fun fund'.

The site reckons that it takes 146 days - which means until the 26th May - for the average salaried worker to earn enough to pay off rent, bills and other essential expenses before spending on fun activities can begin. 

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