Page 3 | Should I be worried about my savings?

Sosomuchpain · 2024-06-03T16:57:54+00:00

or lack thereof We’ve got 20k between us. I don’t know, it hit me today that some people might consider that incredibly low. Is it? Should I be putting my sole focus into building back up my savings. 2 adults 2 children (one nursery- 15 hrs) atm it’s a moderate focus. Spare cash goes towards travel and savings from my old financial advise days it was around 6 months living expenses in savings which I think that is. Am I flapping over nothing? (we just shelled out 40k for our htb and 20k for a new car)

Sunshineclouds11 · 03/06/2024 21:02

Take a read of the no child benefit payment thread.

You are more than alright

incywincyspiders · 03/06/2024 21:01

@Sosomuchpain of course you can ask for advice but you should also be aware of how privileged you are to have 20k in savings. You also should try to understand the frustration from people who have absolutely nothing and no chance to save through no fault of their own when you say you think that it's not a large amount.

FarmGirl78 · 03/06/2024 21:00

Sosomuchpain · 03/06/2024 18:42

It’s not a baity post, people from all walks of life do worry about money

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Oh jackanory! It started off with my goady alert just going off intermittently. And then when I read the "by the way we've just spent £40k and another £20k" bit it started going off continuously and now we're having to evacuate the building.

Nopetynoppy · 03/06/2024 20:59

incywincyspiders · 03/06/2024 18:37

I absolutely hate these baity posts in the middle of a cost of living crisis.

Same ! Not sure how old you are OP but most people do not have an extra penny to save. We now have extra money but that is from inheritance . We were earning quite well 20 years ago but never had any money for savings.
My children all have professional jobs but are absolutely skint at the end of the month.Absolutely no chance of saving,live frugally and are all renting.
That is the reality for most!

westisbest1982 · 03/06/2024 20:59

incywincyspiders · 03/06/2024 20:52

@Overthebow coming on here and asking "is 20k not a lot" is absolutely baity because everyone knows that in this day and age (actually I'd argue any day and age but especially during a cost of living crisis) that any savings are a luxury and 20k is definitely not a "small amount". As I said previously it's either baity or completely oblivious to the struggles people are currently going through.

Discussing money is not the issue but there are more sensitive ways of doing it.

No, savings are a luxury for some people, and for some it’s easily manageable, but that doesn’t mean those people are immune to feeling insecure.

incywincyspiders · 03/06/2024 20:52

@Overthebow coming on here and asking "is 20k not a lot" is absolutely baity because everyone knows that in this day and age (actually I'd argue any day and age but especially during a cost of living crisis) that any savings are a luxury and 20k is definitely not a "small amount". As I said previously it's either baity or completely oblivious to the struggles people are currently going through.

Discussing money is not the issue but there are more sensitive ways of doing it.

PontiacFirebird · 03/06/2024 20:46

Mumnsnet is obsessed with saving. It’s like the land of the lower middle class.
20k sounds fine to me but then I have always flown by the seat of my pants and have never really saved in a long term sense. You are young. Live your life and stop worrying about boring things.

Overthebow · 03/06/2024 20:26

incywincyspiders · 03/06/2024 18:37

I absolutely hate these baity posts in the middle of a cost of living crisis.

Why is it a baity post? People are allowed to discuss money. Questions are not limited to those who don’t have any savings.

VestaTilley · 03/06/2024 20:24

It’s fine, just try and rebuild it.

We only have a couple of grand saved after buying a house (heavily mortgaged) and treating ourselves to a couple of nice but modest holidays as DS didn’t go on one until he was 4 because we were broke.

I’m concentrating on building savings back up after the summer, with a view to overpaying the mortgage, but you’re better off than most OP, so I wouldn’t worry too much.

Noshowlomo · 03/06/2024 20:18

I have £30 in my savings. You’ll be ok

Outnumbered247 · 03/06/2024 20:16

incywincyspiders · 03/06/2024 18:37

I absolutely hate these baity posts in the middle of a cost of living crisis.

You do realise that millions of people have literally so much money they don't know what to do with it 🤷‍♀️

BobnLen · 03/06/2024 20:14

Yes my pension was like that, I put in 5% and company put in 10% but if you put in any more the company max was still 10% so I stuck with 5%

Original poster

Sosomuchpain · 03/06/2024 20:13

Fab238 · 03/06/2024 19:42

Well if my posts in the child benefit thread is anything to go by, a lot of folks would say you're extremely lucky to be in tbis position. I, however, disagree. In my view, you should have atleast 6 months of your net salary saved up to cover any eventualities. Whether or not this is achievable for you, I don't know - but that is my view!

So about 36k!

i like this 6 months net. It’s a nice figure to work with, probably take a year/ 18 months to get there, depending on expenses

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Original poster

Sosomuchpain · 03/06/2024 20:12

Regretsandregrets · 03/06/2024 19:59

I would personally prefer an emergency fund covering 12 month's expenses and a good amount saved in pension before i prioritize travel. A car bought for more than 15k is a saving opportunity wasted.

I guess because because we’ve got another 35 years working we’ve just figured we’ll keep that building up.

we couldn’t really get a newish 7 seater that fits 3 across for less than 17

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Original poster

Sosomuchpain · 03/06/2024 20:10

BobnLen · 03/06/2024 20:03

I just see you posted about pensions, they look fairly average.

It’s max matched we can do atm (aware we can do more if we chose but atm have chose to have it as savings)

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BobnLen · 03/06/2024 20:03

I just see you posted about pensions, they look fairly average.

BobnLen · 03/06/2024 20:00

I'm guess your house is fairly new as you had HTB so hopefully won't need repairs or updating so yes £20k sounds fine. Are you putting any extra money into your pension and also never too soon to think about university costs.

Regretsandregrets · 03/06/2024 19:59

I would personally prefer an emergency fund covering 12 month's expenses and a good amount saved in pension before i prioritize travel. A car bought for more than 15k is a saving opportunity wasted.

Original poster

Sosomuchpain · 03/06/2024 19:57

Overthebow · 03/06/2024 19:42

Just realised you meant you’ve paid off your htb loan? In which case that’s not too bad. I would want more than £20k if it’s your total savings, and also make sure you’re putting enough into your pensions and also saving for your DC. £6k ok holidays each year is a lot when you only have the basic emergency fund, could you half it for a few years and build up your savings quicker? Then go back to the more expensive travel.

Edited

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Yeah just paid most of that cash to minimise rate shock.

that was this year, we had a big hols. Year before we did 4k
yeah it’s our total savings.
we still save £75 a month for each kid.
pensions dh has 14% of salary and I 13%.

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Fab238 · 03/06/2024 19:42

Well if my posts in the child benefit thread is anything to go by, a lot of folks would say you're extremely lucky to be in tbis position. I, however, disagree. In my view, you should have atleast 6 months of your net salary saved up to cover any eventualities. Whether or not this is achievable for you, I don't know - but that is my view!

Overthebow · 03/06/2024 19:42

Sosomuchpain · 03/06/2024 19:15

My question was more on, if you were me, would you put your focus into building back up your savings and pausing all travel and holidays or basically don’t sweat it and carry on as is, gradual build up

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Just realised you meant you’ve paid off your htb loan? In which case that’s not too bad. I would want more than £20k if it’s your total savings, and also make sure you’re putting enough into your pensions and also saving for your DC. £6k ok holidays each year is a lot when you only have the basic emergency fund, could you half it for a few years and build up your savings quicker? Then go back to the more expensive travel.

Original poster

Sosomuchpain · 03/06/2024 19:39

ViciousCurrentBun · 03/06/2024 19:20

It’s the sort of question that really is irrelevant because for starters you haven't put your age or possible career projection. You also haven’t put what a years living expenses are for you. That’s the starting point to all budgeting with a % increase for inflation.

We’re mid 30s, fairly good progression. I earn 52k (+ 10-15% bonus) dh 57 (15% bonus). Dh Closer to his next step than I.

biggest outlays are childcare and mortgage. we spend about 3k a month and then budget about 6k annually for holidays.

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Original poster

Sosomuchpain · 03/06/2024 19:36

persisted · 03/06/2024 19:22

No, you shouldn't worry because that's a waste of time.

Sit and work it out, what happens if the roof needs repairing? The boiler blows up? One of you had an accident and was on sick pay for a year? Whatever other calamity comes about...(or a few at once, as is sometimes the way)

Then decide - yes I need more savings, or no I don't and own your priorities.

I would always choose the rainy day fund, there have been some very wet times in my life.

Dh would get 100% for 6 months and then 65% still state retirement

id get 12 weeks and then 65% til retirement

boiler and roof ? Yikes I’d have cow, no idea how much they cost

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Willyoujustbequiet · 03/06/2024 19:23

Sosomuchpain · 03/06/2024 18:30

I don’t think that’s true,

ive seen different figures, that the average is 11k or 17k and as a PP said about a 1/4 have basically none

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But the average is clearly skewed by the very wealthy so that's not representative at all.

65% of people don't have enough to last more than 3 months so you're well ahead of most.

persisted · 03/06/2024 19:22

No, you shouldn't worry because that's a waste of time.

Sit and work it out, what happens if the roof needs repairing? The boiler blows up? One of you had an accident and was on sick pay for a year? Whatever other calamity comes about...(or a few at once, as is sometimes the way)

Then decide - yes I need more savings, or no I don't and own your priorities.

I would always choose the rainy day fund, there have been some very wet times in my life.