Do lots of people have these sorts of savings? Or am I bloody right?!

[moneuapme]

I feel like utter shit after a meal with friends at the weekend. We all have decent jobs but I am still a long way down the ladder after re training. We don’t usually talk about money but will go to nice places for a dinner etc which I can afford easily too. But it turns out that 4 out of the other five of them are saving between 1k to 1,500 a month and already have over 50k savings?! The other woman there said she has no savings and I just said I had some but not that much. The truth is I have 2k to my name and save around 150 a month usually. I earn 53k. I feel really stressed and worried about the future now as I have nowhere near the security they are talking about. I have tried to keep telling myself this week that that’s surely unusual but is it? Have I just massively fucked up somewhere? Last week I felt really content and lucky and now I just feel like a failure.

I earn a little less than you. I have a very large savings pot (circa 45k) and an investment portfolio that's just as large (40K-ish).

But I come from humble beginnings so learnt to live way below means. So have had a strong saving habit since I entered workforce - trait taking on from one parent who was exceptionally tight, and another who was a tad frivolous.

For context I'm not rich at all, I definitely earn less than a lot of my peers. I'm 2nd gen immigrant I'm in early 30s, have 2 small children, and a 2 bed house in greater London.

I'm trying to change my habits to try and enjoy life more. I just know what it's like to have nothing and I'm scared of going back pr subjecting my children to that.

Forgive the life story. I guess point is, you can do a lot with a little.

I save £800 a month on a £30k wage and don't live a scrimpy kind of life. What's your monthly budget for everything?

@Outliers what are your housing and childcare costs?

@Allthislovelygreen what are your housing costs?

Not comparable unless we know:

• how old you all are
• in which city you and they live
• are you all home owners
• do you all have pension pots
• are you all employed or self-employed
• are you all single or married/equivalent
• do any of you have children
• Are you all of independent financial means or has family money been involved

Only when we know all of those things can we start to make comparisons, and let you know if your comparisons are reasonable or not.

As many have said, there are too many factors to give a simple, one-size-fits-all answer, but personally, I would look into ways to save more, where possible. However, I have a strongly saving-focused mindset, passed on from my parents, who are still more frugal than I am.

There are so many who have no independent savings at all, but just because it's common doesn't mean it's good. It may not be possible for everyone to save much, or every month, but those who can should give themselves a buffer against hard(er) times and rainy days.

I earn pretty much the same as OP and it works out at around £2700pm (after tax, student loan, pension etc has been deducted).

Would be impossible to save £1500-2000 and pay rent/mortgage, bills, car, groceries etc as well! Assuming OP is living alone (as I am) and has no second income to help with all these bills.

Well you're doing better than me. We live on £1500 a month and have zero savings. Don't even own our home, never likely to be in a position to buy🤷 I'd stop comparing and be happy that you're doing better than a lot of people nowadays

Comparison is the thief of joy......honestly.

Savings vary depending on what's happening at the time.

I personally save £300 per month into a work share scheme. This is the maximum allowed.

I have a pension which I save into

I have instant access savings and the amount varies, depending on what it's for (holidays, home improvements etc) I access this whenever I need to.

We reduced the term on our mortgage a few years ago and blitzed it. It allowed us to purchase our dream home which is a wreck, so lots of extra money into renovations at the moment.

As others have said, it totally depends on your circumstances, disposable income etc. accept that things change and aim to save more if it makes you feel better.

And so OP not yet being able to maintain that security level that you feel is basic, and asking for advice on it means that you can make her feel worse?

You weren't helpful. You were nasty.

@Campcritters £700/month

If you are on 30k, that's a take-home of what, 2k a month?

So 800 savings, 700 housing leaves 500 to cover transport, food, insurances, pensions and just general day to day living. Not many people can realistically do that.

Fact is, anyone who is putting away something each month is ahead of the game.

Currently they're very high due high interest rates and we pay for nursery (4 half days - sometimes more depending on work).

Obviously savings helped weather cost of living challenges, though it hasn't been easy. I'm on maternity leave recently, so able to reduce childcare costs for now.

I'm hoping things will get easier once children are eligible for funded childcare hours and we remortgage to lower interet rates in a year or 2.

For further context - partner is not a high earner either (about same as me) - but also comes from humble beginnings so is an aggressive saver.

@Allthislovelygreen so you save £800 & spend £700 on housing. The remains £500 covers transport, pension, food, utilities, insurance? Wow!

My own position: single, no kids, 53, no mortgage, no loans, no credit card debts, etc. Essentially I owe not a single penny to anyone and don't have expensive tastes.

Salary £96k gross but I net £6.1k per month as I have a very high tax code due to my pension contributions.

Of the 6k net, I pay £2.5k per month into my private pension and £1.7k per month into my ISA (making the full £20k ISA per year).

Bills, food, clothes, car insurance & tax, socialising, etc., only comes to £1.1k per month, so I also save the other £800 or so left but will spend that on holidays, car & home maintenance, etc.

However... I have a colleague on pretty much exactly the same salary but who will net more like £5.4k as they don't pay extra into their pension. They're married but are the only earner in the house and they have 2 DC, a mortgage, etc. etc.

I would be surprised if they're able to save very much at all from the same gross salary.

There is no point comparing yourself to anyone else, OP, as everyone is living a different life.

Currently they're very high due high interest rates and we pay for nursery (4 half days - sometimes more depending on work).

They can’t be very high if you are living off 2.5k…

A big factor in this is what makes you happy. My in laws have huge savings, they never spend anything, they have poor health and tight fugal. My mum who is 5 years old than them said she’s not saving at all, she wants to be out with her friends for brunch and weekends away while she is fortunate enough to be able to do it.

So you'd expect me to pay for your benefits via my taxes, including tax on my savings.
Not saying benefits is a an easy life, but.....

It is all about budgeting and having cheaper lifestyle , otherwise you cannot save that much

I have spent 10 years building a pot of 20 k the majority of which will shortly be spent in new windows/roof and my car will need replacing shortly. So I’m not building a pot long term.

Just had a baby. Pre baby we have over £2k a month left to save. Now with nursery fees it’ll be a lot less as I’ll go part time and £750ish for nursery.

I think it just depends what stage you are at in life really and what age you have kids, mortgage size, family money.

Obviously savings helped weather cost of living challenges, though it hasn't been easy. I'm on maternity leave recently, so able to reduce childcare costs for now.

So you’re on maternity leave so don’t need as much childcare? Do you earn more when not on maternity?

Average savings uk is over 11k

Average savings by age can also be found online

Averages across the whole county will be more reliable than a small sample of mnetters

it depends what you mean by savings..... my friend said she saves x amount per month.... then she also said she spends it on her car insurance/holidays. That isn't saving to me. Its reallocating spending.
I think saving is what you don't touch. @showersandflowers I'd be interested if from that amount you save - do you touch it for a new car etc?

Crikey, talk about a leap of logic. I simply pointed out that she could make choices within the resources she has. That is my advice.