£32,000 salary - How can I save?

Sammy85_2

Get a little clio or similar if you really need a car! My sister pays around £150/month incl 1yr warranty, insurance and servicing.

If you're in greater london i dont see you really need a car, but if you must have one then just get a cheap run-around.

huntersc

Go easy on the guy! He only asked for a bit of help, crikey.

When I first left Uni I had just over a £30k wage. I managed to pay off various debts and save for a house deposit but it was hard work. I actually sold my car rather than buying one, I didn't really need a car in London and although my parents lived some way away I got the train when I needed to visit.

I just cut own on everything for about 2 years, stopped smoking which helped a bit. Ultimately though, circa £30k in London is not the best wage to be on in the long term. At your age I would assume it'll at least double in the next few years, if not more so remember to take your time, there's no hurry right now, save what you can, wait for your wage to increase over time and you'll have enough money for a deposit etc. Finding a partner also helps because they can share in the deposit and costs.

One last bit of advice, as much as it's good to save, you're young, don't waste your early years in London by saving every last penny and never doing anything. That would be a waste. Splash out once in a while.

Castleman

Bl00dy hell!

Nearly everyone I know in London who are graduates from top10 universities with 3-5 years experience are on 20-28k.

I imagine that some people are reading this thread and thinking so this is seeing how the other half live!

chewmylegoff

Castleman wrote: »

Bl00dy hell!

Nearly everyone I know in London who are graduates from top10 universities with 3-5 years experience are on 20-28k.

I imagine that some people are reading this thread and thinking so this is seeing how the other half live!

clearly you don't know any professionals then. either that or they're lying to you about their income to make you feel better.

[Deleted User]

Castleman wrote: »

Bl00dy hell!

Nearly everyone I know in London who are graduates from top10 universities with 3-5 years experience are on 20-28k.

I imagine that some people are reading this thread and thinking so this is seeing how the other half live!

Blimey, are you sure? I started working in London 3 1/2 years ago as a 'graduate' (but with 2 years experience) and i was on £26k .. our firm doesn't even pay great salaries

I don't feel too sorry for this chap - i managed to save £12k when i was earning £20k and not living at home. He just wants to keep up with his flash mates and have a flash car. Its not unreasonable to expect a house deposit to take a few years to save. Even at the current rate and spending it's ok

Torby

£32k and you're only 22?.....pigs back springs to mind...and no student loan either....any vacancies where you work...can't wait to hear what you do for a "very good" non graduate living at 22...

System

I think people are being a bit hard on you here mate. For what its worth i was in a similar situation myself. I earn around 32k and i am based in Manchester. I understand people's point who say £700 a month is alot to spend but at the end of the day you are a young guy in a great city and just going out on a Friday and Saturday night can easily cost you £50 a night when you factor in food, beer, taxi's home etc. As you're 22 I would suggest you give up on the house dream for a couple of years. Maybe rent a flat with some mates and have a good few years having fun before you need to worry about mortgages, house repair work, bills etc. I bought my first house at 29 and now have to limit the craic so to speak as half my income now goes on mortgage, bills, student loan payments, home improvements and need to be more sensible with my finances. Get yourself in a stronger financial position and see what you can afford in a few years!

Also 28k for a graduate from a top 10 university in London after a few years sounds pretty poor! I read somewhere that the average starting salary of a graduate in London is around the £25k mark.

Running_Horse

huntersc wrote: »

One last bit of advice, as much as it's good to save, you're young, don't waste your early years in London by saving every last penny and never doing anything. That would be a waste. Splash out once in a while.

Agreed. This board is littered with the broken dreams of those who rushed into property too early, and ended up with unsellable/unsuitable dumps.

Enjoy being young and well paid in one of the most vibrant cities in the world, while keeping an eye on the long term by saving. It is worth waiting an extra couple of years to make the right decision.

KiKi

goater78 wrote: »

I think people are being a bit hard on you here mate. For what its worth i was in a similar situation myself. I earn around 32k and i am based in Manchester. I understand people's point who say £700 a month is alot to spend but at the end of the day you are a young guy in a great city and just going out on a Friday and Saturday night can easily cost you £50 a night when you factor in food, beer, taxi's home etc.

I certainly don't disagree. And as I said in my post - if he wants to spend it, it's up to him.

But he is spending £700 a month on those things - and asking for tips on how to save more for a deposit. The tip is: don't spend £700! Or don't get a car!

I don't think that advice is harsh, just reasonable.

KiKi

GDB2222

Is a car necessary to attract a bird these days? I'd have thought a well-feathered nest is better, so I'd save the money for a deposit.