The "Save 12k in 2017" Thread!

Hi,
I've had a good month regarding savings.
5% Regular saver matured yesterday £187.18 interest. Opened up another one today at 5%.
Total for month: + £1196.82.
Total for year: £1696.82
Off to do my form...and read everyone's entries.

rjrs0510 wrote: »

I am able to salt away £5000February...always remembering to try and pay my future self first...so I have precious little for the rest of the (thankfully short) month. As always, it is so good to read about everyone's progress... i am really trying to focus on early retirement now. I was reading that if you can save 80% of your salary for 5 years that you should have accumulated enough to retire if u can generate a 4-5% return..this percentage is now my goal!! Thanks, as always, to Slowlyfading for updating everything and doing so much:)

I didn't think that could possibly be right when I first read it, but it's actually a pretty neat little sum (if fairly difficult to achieve for most people) as if you can live of 20% of your salary whilst saving the rest, after 5 years a 5% return would be equal to that 20% of your current salary and you already know that you can live off that! Nice rule of thumb.

It is both inspirational and discouraging to see people who manage to put away very high amounts each month, and especially here it might be fascinating to see these figures as a % of income (both gross and take home).

I have just been given a promotion at work with a pretty decent raise from the end of march payday on (33%) which means that my £12000 a year super ambitious target suddenly becomes very doable. I'm determined not to fall into the same lifestyle traps I see many of my friends falling into and am trying to see this as a bonus for future me. I'm trying to work out what the smartest way to deal with the extra is. Currently 20% of my gross salary ends up in my pension each month (14% me, 6% employer) and I have a healthy cash cushion. So I'm thinking that it's probably a good idea to put the increased take home pay straight into an S&S ISA?

MacyD wrote: »

I would love to do this challenge and have followed on and off for years. I just don't have the confidence to even know where to start. I do not have debts except a mortgage. But could really do with building up savings.

I would say it's the other way around: this challenge builds your confidence, rather than requires it. I had absolutely no idea how to save money until a year or so ago and was just spending money as soon as it came in. Putting the focus on it and being accountable for what you've done with your money to a group of strangers on the internet is oddly brilliant. I saved around £8,500 with it last year; the previous year - without the challenge - I saved barely £3,000 (and that was me trying - the year before I saved £0). Just sign up And ask us if you want tips for saving. Number 1 tip will be: do a budget.

bobobski wrote: »

I would say it's the other way around: this challenge builds your confidence, rather than requires it. I had absolutely no idea how to save money until a year or so ago and was just spending money as soon as it came in. Putting the focus on it and being accountable for what you've done with your money to a group of strangers on the internet is oddly brilliant. I saved around £8,500 with it last year; the previous year - without the challenge - I saved barely £3,000 (and that was me trying - the year before I saved £0). Just sign up And ask us if you want tips for saving. Number 1 tip will be: do a budget.

Spot on bob!

I'd love to hear any tips you can share! Although I have done some digging on the forum for other tips, sometimes it's always good to refresh them in my mind.

I've decided to think seriously about saving this year and have two pots of money for my savings - one for holidays and the other for a house deposit. I decided to use a journal to write down how much I spend each day in my current account and it's been really helpful. I set a budget at the beginning of each week and aim to try and stick within it - rolling any extra onto next week's budget. Whilst I find this great, I think I may need to use it for my joint account as it would be good to keep a track on this for daily spends. I've also created spreadsheets with budgets set for joint account and recording savings on the other. But again I think this needs a look at.

I think it's all about seeing what works for you - so start simple and then throughout the month maybe see how it can be best adjusted to your own personal needs.

Happy saving everyone!