What would you say roughly was a decent amount to save each month?

[AWiseWomanOnceSaidFuckThisShit]

£50? £500? More less or in between...

Theres no set answer to this.
Currently I'm saving £1000 out of my wage and Dh givescme £1500 to put into savings.
15 years ago we could hardly put food on the table and trying to survive. Saving £5 a month was out if the question then.

Yes I'd definitely be saving on petrol, new job would be 8 miles closer to home (current job 10 miles away)

We pay an extra 100 off the mortgage (500 instead of 400), and save 200 on top elsewhere.

It's not lots, but works out about 10% of take-home.

We save a little over 5% each month.

@AWiseWomanOnceSaidFuckThisShit

Okay. My current ratio is:

Mortgage and bills (including just over £100 pm overpayment) 37%
Food, household items (fairy liquid, air fresheners etc) and petrol 26%
Savings 26%
Left over 16%

I'm seriously considering going from 5 days per week to 4 (I no longer want to work Fridays). New ratio would be:

Mortgage and bills (still including overpayment) 41%
Food, household, petrol 23%
Savings 17%
Left over 19%

No dependants, just me and I don't live a hugely expensive lifestyle. I know only I can decide how much the extra work / life balance means to me. I love my home and have no intention at the minute of moving for a good while, by which point hopefully my savings and equity will be enough or if not I guess I could always step back up to 5 days. I guess I'm still just a bit nervous of the income drop and want some reassurance that I'm not being financially irresponsible. I'm only late 30s so still young to be dropping days!!

Your current ratio adds up to more than 100%

Apologies 21% for food etc on current ratio, not 26%

Depends what age/stage of lfe you are at and what you are saving for.
I've always saved and invested as much as I can without compromising my lifestyle.
At the moment we have more in investments than cash savings but that's because we have properties and are about to retire early.
I will still save £200 a month in my stocks and shares isa when I have retired.

I was going to say that 26% seemed a lot for food and household.

My mortgage and bills is about the same percentage as yours, but food etc is less than 10%. I don't buy petrol, but still, the difference seemed big.

I never quite understand how people use the concept of 'saving'. Are you saving for something specific (new car? sofa? xmas presents?) or just in case? Saving anything 'just in case' is a pretty privileged position though a great idea if you can. I actually you're going to spend it all by the end of the year, then that's quite different. Just in case savings of 17% of income sounds absolutely massive.

We save 30% of our net monthly income but we don’t have a huge mortgage and housing and childcare is cheaper where we live than other parts of the UK.
This still gives us a very nice lifestyle with the remainder.

I would say whatever is affordable. When I was younger I used to feel very proud if I managed to save £50pm.

We’re not saving for anything in particular. Just like to have it there. Both have nice cars that we own outright and pay for holidays when we book them.
We’re both 30.

@Whatiswrongwithmyknee we don't save for anything specific really. We have a rainy day fund, dc college funds, car expenses, holiday fund etc but in our general savings we let it build up and once it gets to over 10k we take 10k and either invest it or split it between other pots.

You don't have to be a certain age to drop hours. Life is for living. If you don't want to work Fridays and you can afford not to then take the job and enjoy your Fridays off.

Outgoings including groceries, fuel & all bills
40%
Savings
30%
Left over for holidays, days out, shopping etc
30%

We save 25% and have done for the last 4 years trying to get a deposit together, which we now have but no houses to buy! We're still saving as much but I don't think we will save quite as much once we've bought, or we'll at least redistribute the savings towards fun & longer term goals.

@Whatiswrongwithmyknee

Don't they say that you should have a minimum of 6 months salary saved for emergencies? I don't at the moment because I bought a house last year, but am trying to build it back up.

Also, if you own a house, savings are essential as you never know when maintenance issues might crop up. If you rent and have no intention to buy, then I guess that savings may be less important.

As PP says, dropping days will impact on your pension so take this into account. It may mean you have work until your older.

30%

How about your pension? How would it be affected?

I never quite understand how people use the concept of 'saving'. Are you saving for something specific (new car? sofa? xmas presents?) or just in case? Saving anything 'just in case' is a pretty privileged position though a great idea if you can. I actually you're going to spend it all by the end of the year, then that's quite different. Just in case savings of 17% of income sounds absolutely massive
I have a few different reasons for saving.
The main one is fear.
I said earlier I save £2,500 a month ( £1000 from my earnings and the rest from what Dh gives me)
15 years ago we lost our business and nearly everything due to a contract that went wrong and it was so stressful. Our marriage was on the brink, we nearly lost the house. The children were young then and it was bloody awful. I never want to be in a similar position again so save while the going is good.
I'm not saving for anything in particular but it's not causing me a hardship because I'm not scrimping or doing without from anywhere else. Im still able to eat out, go on holiday, pay my Bill's when they come in etc.

Having money saved means I can do things on impulse. Ds and his gf were going to buy a washing machine , tumble dryer and fridge freezer for their new house we are able to treat them to that.

Savings mean we can do things spontaneously.
You dont need to have a goal to save.

@notacooldad YY. Knowing you have money saved gives you more freedom in so many ways.

Especially at the moment and after covid. Knowing I have very few outgoings and plenty of savings is reassuring

How does food, household & petrol go down by 3% if you drop your income? Or do you spend a huge amount on petrol getting to work?
i think whatever you're comfortable with. You're young and saving a large amount already so if you can live on the reduced income I would go for it! I keep thinking about it but should probably put pen to paper as you have and work if it's ever going to be a reality.

@emmathedilemma

How does food, household & petrol go down by 3% if you drop your income? Or do you spend a huge amount on petrol getting to work? i think whatever you're comfortable with. You're young and saving a large amount already so if you can live on the reduced income I would go for it! I keep thinking about it but should probably put pen to paper as you have and work if it's ever going to be a reality.

sorry, just caught up on the next page!

@Whatiswrongwithmyknee

savings are for many different reasons

1. sudden unexpected bills or repairs anything from a boiler to your house roof, your car could be in an accident insurance payout even if not your fault is always less than a new similar car would be, if it is your fault there will be the £250+ excess
2. your job might not be secure so living expenses so you can cover bills food etc until you find new job most suggest a minimum of 3 months ( bare essential living expenses) if in secure job 6 months if less secure and 12 months if self employed starting a new business etc
3. Essential if self employed or more than one income stream saving for tax bill
4. house deposit /new car / taking longer than average materity or will only get SMP and need the shortfall may up to live on
5. Pension
6. Lifes extras holidays presents Christmas some people need to save for these things
7. University fees tuition extra stuff for kids

8 Money for retirement as you know your pension won't be enough 9 paying your morgtgage off early so you can work less hours 10. home improvements etc etc

surely you can work out why people save just putting unexpected things on a credit card or taking out a loan is not really sensible