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London Cost of Living 2025/26

£120,000 Salary in London

On a £120,000 salary in London, your take-home pay is £6,346.45/month. Here's what that means for your London lifestyle.

Gross Salary
£120,000
per year
Take Home
£6,346.45
per month
Max Rent (35%)
£2,221.26
recommended
Assessment
Very Comfortable
for London

What £120,000 Gets You in London

Very Comfortable for London

Excellent London lifestyle with premium housing options and significant savings

Recommended Housing

Based on the 35% rent rule (max £2,221.26/month), you can comfortably afford:

1-bed flat
Average: £1,800.00/month (£1,400-2,400)

Monthly Budget Scenarios

Shared House

Rent-£900.00
Transport-£150.00
Groceries & Bills-£450.00
Disposable£4,846.45
Rent: 14% of net income

1-Bed Zone 3

Rent-£1,500.00
Transport-£180.00
Groceries & Bills-£450.00
Disposable£4,216.45
Rent: 24% of net income

1-Bed Zone 2

Rent-£1,800.00
Transport-£160.00
Groceries & Bills-£450.00
Disposable£3,936.45
Rent: 28% of net income

Key Insights for £120,000 in London

Savings Potential

With careful budgeting, you could save £1,154-1,739/month

Zone Recommendation

Zone 1-2 affordable for a 1-bed flat

Lifestyle

Comfortable dining out, regular entertainment, and travel budget

Comparison to Average

The average London salary is ~£45,000. You earn 167% above average.