How much of your income do you save?

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+744 – I know everyone’s situation is different… but roughly how much do you put away into a rainy day fund each month?

PS Which habit of yours has saved you the largest amount of money?

2022-04-04 08:00:40

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Comments

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43 Comments
  1. Stopped buying coffee and avocados. Then I cancelled my gym membership and Netflix membership. Now I’ve got a deposit for a house and I’m on track to become a millionaire by the end of year thanks for the tip Kirsty.

  2. I struggle TBH. The only way we can save is if no one-off costs happen (MOT, renewals, birthdays, Christmas, weddings etc) *and* if we basically don’t have any fun. So it’s constantly the balance between like… the depression arising from our financial instability and the depression arising from never going anywhere or doing anything

  3. *Fuel and Energy Prices enter the chat. Laughs in crippling price rises. Leaves*

  4. I’ve stopped buying any pre-made food. Takeaways, coffees, restaurants, except in special circumstances.

    I fell into a routine of getting takeaway several times a week during lockdown and it costed me thousands over the year.

  5. Whatever I don’t spend.

  6. I save about 5% of into pure savings for an appliance breaking down or purchasing a new car every 10 years – something large or unexpected. I save about 7.5% in a different account which is the holiday fund so it gets emptied regularly and is specifically to pay for holidays.

    ​

    My greatest money saving device has been sending my wife in to negotiate prices on cars or big items like a kitchen remodel, anything with a salesman. She is far more cut-throat than I am and she will metaphorically grab the balls and squeeze until they cry. I can’t watch. I walk away and let her point at me and tell the salesman from 20 yards away that I am the bastard who won’t let her spend more.

  7. Reply
    CatFoodBeerAndGlue April 4, 2022 at 3:59 pm

    Nothing. In fact less than nothing…

  8. This is interesting but I think it would only be meaningful if people also shared their actual incomes and said if they live alone or not.

    Cause saving 30% of a £20k salary is very different to saving 30% of a £60k salary.

    And saving £300 a month while your partner covers the bills, or you live with your parents, is really different to being able to save £300 a month when you live alone.

  9. Reply
    PlasticFannyTastic April 4, 2022 at 3:59 pm

    2020 – about 35-40% of my salary.

    2021 – about 20-30%

    This year so far – 5-10%

    Reflective of how many bloody events, weddings, festivals, gigs, hotel stays etc we’re doing to make up for ‘lost time’…

  10. Reply
    PrestigiousTest6700 April 4, 2022 at 3:59 pm

    I’d change “ do you “ to “ can you “ ….

  11. Reply
    Extreme-Database-695 April 4, 2022 at 3:59 pm

    I save about a third of my income each month. WFH has saved me a lot in commuting costs, I don’t drive, don’t take holidays, don’t buy expensive clothes, don’t turn my heating on, have switched to the cheaper supermarkets, never eat takeaways or buy coffee on the high street, and only really treat myself once a year at Christmas, and only then if I feel I need a boost. I never thought I could save a deposit for a house but I’m in that region now, after four years of this.

    I’ve found that it’s not the big one-off purchases that are the issue, but the smaller, repeated purchases. Years ago, I’d buy takeaway food three times a week and spend up to £20 each time. A purchase of £20 doesn’t sound so bad, but it came to over £3,000 per year. In the five years that I’ve not been eating takeaways, that’s £15,000. If you add coffee into that and bottled water and all the other things I didn’t need, like pre-made sandwiches it adds up to much, more more than spending £1k on a computer or sofa (which may last for 10 years).

    If you want to save money, look at how much you are spending on things per year, as opposed to individual purchases. I honestly don’t understand why people buy coffee at three to four pounds when you can make it at home and carry it in a flask for pennies.

  12. Used to be 60% of take home.

    Biggest tip for me was moving all major expenses to 1st of the month, and scheduling savings out of my account on the 1st as well. Anything left over was all I had to use, preventing lifestyle creep, and anything left goes to savings at the end of the month.

    No idea what I’ll be able to save going forward, a large portion of what I was saving certainly will be lost to energy costs etc. No idea how realistically most people will be able to save anything going forwards.

  13. About 20% while I’ve been saving for a house. When we move in it’ll be a little different in that I’ll probs continue to spend that on the house, but I suppose you could call that investing.

  14. £600 a month mortgage and bills:

    * £237 Mortgage (£71k borrowed over 30 years @ 1.25% interest)
    * £105 council tax
    * £200ish utilities (probably will be £300ish over the next 12 months so… thanks)
    * £20 a month building insurance

    £600 a month to spend on anything I really like:

    * Groceries (usually only spend about £50 to £60 a week, occassionally I’ll also pick up some bits and pieces for the person who lives in my spare bedroom)
    * Random Amazon Purchases
    * Event & Experiences

    £1800 a month into savings:

    * Currently just going into an instant access saver as an emergency fund, but will be diversifying that once I have 2 years of living costs

    Once I have 2 years of living costs saved (£14,400), I’ll be using the rest of the money to re-do insulation, get the house up to a high EPC rating and get solar panels, which will hopefully drop my bills to a slightly lower amount.

    I also have a family member who lives with me, their contributions to the household is occassional household items that we all use (toilet roll, washing up stuff, etc) and our internet connection (£55 a month), while they save for a deposit of their own.

  15. Around 40% of our joint net, plus anything saved on variable outgoings.

    We saved for a house, then a big wedding and so became accustomed. Now saving for renovations, early retirement and/or startup funds.

  16. Reply
    flibz-the-destroyer April 4, 2022 at 3:59 pm

    Save? Ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha ha…

  17. At the moment – zero. But that’s because i’m a PhD student only receiving £15k a year in stipend.

  18. Nothing

  19. I try to put £200 a month into a savings account. Sometimes I have to draw some back out again towards the end of the month, but I also have a policy of putting whatever left in my current account in there the day before payday too (the ‘residuals’ as I call it), so it is going up.

    To be honest, the biggest money saving boon for me has been working from home. No cheeky Greggs or drinks at the pub on a Friday has helped a lot.

  20. Reply
    ICantBelieveItsNotEC April 4, 2022 at 3:59 pm

    We save just over 50% of our household income.

    I’ve found that the best way to save is to put the money away before you get to use it – we have a direct debit with Vanguard that takes our savings on the day after payday. If you put leftover money away at the end of the month then the temptation to spend more than you need to will always be there.

    I also think that it’s better to make the change gradually rather than as a big bang. If you go from saving nothing to saving £1,000 in a single month then it will feel like a massive lifestyle shift, but if you start by saving £100 and increase it by £100 every month, the changes will be incremental and you will never feel excessively squeezed.

  21. About £100 a month. Not much but it is what it is

  22. None. And I barely spend anything. I’m poor.

  23. I take a “top slice” of £500 as soon as I get paid – £200 into a stocks and shares ISA, £100 into premium bonds, £100 overpayment on mortgage (which I’m technically counting as a saving but I suppose that’s up to interpretation!) and usually an extra £100 into my private pension unless I know something big is coming out this month like a car repair or something.

    At the end of the month I’ll hopefully have between £200-400 left in my current account, which I’ll chuck into the ISA.

    My take home pay is about £2,400 a month.

    (Edit – I will add that this overall picture has been greatly improved by a permanent shift to working from home – even factoring in an increase in home energy usage I’m probably saving £200-£250 extra a month from the lack of petrol, parking and city food spending)

  24. I have children, what are savings? 😂😂

  25. Nothing. Rainy day fund is gone. I’m a student and skint.

  26. That’s the neat part, I don’t make enough to save

  27. lol. None. Not really possible.

  28. I try to put between £400-500 but I always end up dipping in, that’s a huge chunk of my wage but my bf pays for most things cos he earns like 5 times what I do lol

  29. You guys are saving?

  30. £45k salary living in London. Saving £500-£1000 per month.

    Key to saving is working from home, learning to cook nice food, hardly drinking alcohol and certainly not buying drugs. So many friends will gladly spend £80 on a ‘packet of charlie’ (whatever that means) every week!

    Oh but currently paying £98 for energy though… Used to be £42 🙁

  31. I’m saving for a house and currently save about 40% of my pay- this is obviously a lot and tbh I’m only able to do this because I have an above average salary and I live with my partner who has a very low mortgage payments and earns more than me so covers more of our expenses. I changed my spending habits a lot during the pandemic and some months I saved more than half my pay as my expenses decreased and I got a new job which paid more. So none of these things are really habits, but definitely look into whether you can move job for more money if you want to save more.

    The biggest thing habit wise IMO is making a budget and sticking to it. Start with how much you want to save and then allocate what’s leftover to different categories. If I go over in one category then I have to take it from somewhere else. I use monzo pots to help with this and I always put the money in savings first then don’t touch it. And when I go somewhere whether it’s just the pub after work or a weekend away with friends, I decide how much to spend and keep that in mind e.g. Sometimes I’d go to the pub after work and want to spend less than £10 so not go in for a round and just buy 2 half pints. If I wanted to stay longer I would switch to water. It sounds boring but if I was there to socialise then it should not matter how much I’m drinking. I started these habits a few years ago when I had to pay off credit card and overdraft debts and it really did make a difference as I used to just spend without thinking and always run out of money at the end of the month.

  32. I think I do pretty good as I’m in a fortunate position.
    Including my LISA I put around 25% to my house deposit, around 15% to savings, and another 30% to investments

  33. In normal circumstances, tended to be around £500 a month that I’d put away. But I live naturally pretty monkishly – I go ‘out’ out about once a month or less, get takeaway every two weeks or so and eat a pretty cheap diet and make all my lunches at home. I rarely drink too.

    Most of my money just goes on just food, bills, gym and my monthly charitable donations. Has to be noted – I have no children and split the rent/bills with my partner, so I know I’m in a position of privilege.

  34. I save nothing. I use my money to payoff debts. If there’s anything left at the end of the month then I have a takeaway to celebrate!

  35. 50% savings
    25% bills
    25% yolo

  36. I still live with my parents so am in a fortunate position in terms of my outgoings being very low. I do send some money over to my parents every month, though it is miniscule compared to what I would be paying if I moved out. In total on a good month I could save 50-60% of my income.

  37. I’m usually saving around 20%. Biggest saver – being WFH permanently now means I’m not spending loads of money on expensive coffee from Costa and the like.

  38. Reply
    handsomehotchocolate April 4, 2022 at 3:59 pm

    If coffee does work out too expensive for people to buy then there are always the options of getting a Pret subscription which is £20 for upto 5 coffees a day. I know it’s not the same as sitting in Grind or Flat white but equally it’s a cheaper alternative to spending £50/60 a month of coffee.

  39. At a minimum – 50%, max about 75% depending on the month and needs etc (I’m following FIRE plans). Nb: have a high household income with minimal committed expenses / no debt to achieve this. Took years of committed hard work to get rid of debt.

    My tip:

    * Zero based budgeting (I.e. planning all expenditure up front for the upcoming month (with some leeway for stuff I forgot to budget for) and giving every £ a purpose. I pay my future self first (I.e. investments).
    * Get rid of your debt – it limits your potential.

  40. I probably save about 15-20% each month, although I will also pay for some big things like holidays out of those savings, so I may not actually finish the year with that much of my take home salary sitting in my savings.

    >PS Which habit of yours has saved you the largest amount of money?

    The best thing I’ve found for organising my money is to have a separate bills account, which all the important things like the mortgage come out of. I calculate how much money is needed to cover all that stuff, and just after each pay day it gets taken out of my main account and in to the bills account. What’s left over is money I can either spend on whatever I fancy, or save up. At the end of each month I see how much was left of my “spare” money at the point when I got paid, and put that in to my savings.

    It’s not strictly a money saving exercise, but it helps me get a clearer idea of what I’m spending on important stuff, and I can more easily keep an eye on it all and try to make sensible decisions.

  41. none. i spend every penny i get within 3 days of being paid. i am now skint until the 28th.

  42. I downloaded plum, which rounds up to the nearest quid every time I make a purchase. I save about £200 a month this way it’s madness

  43. Save 60% but I’m lucky

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