What is your long term saving strategies?

Isabella_k

Good for u rictus. The haters only wish probably that they had done same. Not great to be old AND pennieless. :-) Go for it.
Good luck.

rictus123 wrote: »

Starting at no debt and assume no savings this s


ummer when i go onto my time served wage...if i keep throwing in the overtime im going to treat my payrise as if some of it doesnt exsist if that makes sense? Long term i want to be "well off". My idea of well off is not living payday to payday, having 4 or 5 years worth of living expenses in savings, mortgage free/very cheap mortgage payments and healthy equity.

Im going to do all i can to get their and il do whatever it takes. Its also a great learning experience for me.

The plan so far is to treat £1000 a month like it isnt even there. As soon as i get it on payday, get rid of it and hide it in savings accounts. I could earn £1000 a month in overtime only, between overtime at work and homers that i do at nights and on weekends. Il be 20 years old this summer. No longer a teen. So time to get going with building my assets and net worth for the future.

If i "ignore" that £1000 a month between 20 and 25...assuming 4% net intrest then il have £60,000 of my money invested and il have £66,404.11.

Also what i save now and what i save beyond that £1000 a month will be for my first house deposit..which is going to be half the cost of everything(gf paying other half) Need about £30k between us so 15k each. Im sure we can do that in 2 years at £600 a month each.

Any cash surplus will be going on overpaying the mortgage, that £1000 wont be touched but it maybe offset against the mortgage if that works in my favour?

So at 25 my goal is to have £66k personal savings, a mortgage with gf with about £50k equity in our house, and a steady income.

Then itl be time for a major review of lifestyle,home,career(for her) and make any changes we can. If all of this goes to plan and how i want it then the next block will be a 3 year until im 28...then it may be time for our family.....


Please, haters stay out. Im not wanting told to go out and get !!!!ed and live my life. This is how i want my life....This is my dream...

LongTermLurker

Half the thread's disappeared???

Jake'sGran

Isabella "Good for u rictus. The haters only wish probably that they had done same. Not great to be old AND pennieless. :-) Go for it.
Good luck."

Where did the haters come into it? I have saved and watched the pennies since the early 80's and now have a large pot but Rob 192 is right, to make really good gains you need to be in the stockmarket as well as savings accounts too if you like. But guess what, it's not much use to me now be due to health problems. One £2k investment I made last Summer is now worth £2500. My family will get all this money, including grandsons who won't come out of university owing anything. I never thought it would turn out like this but still think it's good to save.

Accountant_Kerry

Jake'sGran wrote: »

I have saved and watched the pennies since the early 80's and now have a large pot but Rob 192 is right, to make really good gains you need to be in the stockmarket as well as savings accounts too if you like. But guess what, it's not much use to me now be due to health problems. One £2k investment I made last Summer is now worth £2500. My family will get all this money, including grandsons who won't come out of university owing anything. I never thought it would turn out like this but still think it's good to save.

Sorry to hear your situation it sounds very sad , do you regret being so frugal and wish you'd splashed out a little more?

LongTermLurker

Where did the haters come into it?

Deleted, along with a page of "non-haters" - think we need to start a collection to buy Martin some new moderators.

LongTermLurker

Jake'sGran wrote: »

But guess what, it's not much use to me now be due to health problems. One £2k investment I made last Summer is now worth £2500. My family will get all this money, including grandsons who won't come out of university owing anything. I never thought it would turn out like this but still think it's good to save.

Sorry to hear about that JG, hope all goes well for you. And I'm sure there's many on here who'll benefit from your posts and suggestions as well.

Good luck with whatever it is.

LTL

Isabella_k

Am sorry jakesgran that you find yourself in that situation.
That worried me and I took the attitude of spend spend spend when I was young and single.
Paid off my debts, and now starting to save for the first time in my life.
I wish I had done it before, but that only means I try to encourage others not to make the same mistake.
Rictus got some negative comments on here but I have nothing but respect for his intention to work hard and save.
He calls those who posted these comments 'haters', hence my reference.

As regards a saving strategy, trying to educate myself using this site and become smarter about money.
Haven't decided yet best way forward in my circumstances so starting to save over the coming year and figure it out from there.
Good luck everyone, jakesgran, your family are very lucky.

Jake'sGran

What happened to the THANK YOU button. I can't find it and wanted to thank all the kind posters who expressed their regrets for me. (It's a bad heart I have and other problems).
I am not downhearted but I would have liked to spend more on holidays, building work, etc etc.

One consultant, whom I deeply admire, did not want me to go anywhere by air, but a more senior consultant says he has no objection so I am considering short haul for November, maybe the Canaries.

I wish my son had saved liked Rictus intends to do. He earned a lot of money but overused a credit card and then left his job because of the travelling. In the end he was
buying food with the card. He got a job at a horrible company even though he knew he was ill. Upshot was he had an ulcer which
burst. An ambulance was called and they
managed to save him in hospital with 6 pints of blood. He destroyed the CC in front of me and he looks great today.
I only told you this to show the difference between two people in one family.

To Kerry - Sometimes I do think I have been
too frugal but it is better than spending what you don't have and I never pay interest on anything. Trouble is I still look for a cheaper way with everything, except food. And, it is good to know that I can have anything and don't need to worry about the Chancellor's
cuts on Wednesday.

N1AK

Firstly, good luck. You've set some tough targets and I hope things work out for you.

rictus123 wrote: »

The plan so far is to treat £1000 a month like it isnt even there. [] £600 a month each.

£1,600 per month would require an income of £25k before tax. Assuming you live on £400 per month, you'd need to earn £32k gross. I don't know your trade, or you yourself, if this figure seems plausible then no worries :j

As you're intending not to use the first £1000 for any expenditure in the next 5+ years I'd suggest considering longer term investment opportunities, for at least some of it. Achieving 4% net could be quite difficult for the next couple of years. I'd suggest researching this yourself. I personally use Zopa and fixed term accounts for what I can't protect in ISAs.

Additionally, given the instability in the property market at the moment, it may be worth considering investing more in property if prices do fall again over the next year.

Whatever happens, I hope it works out well for you both.

Accountant_Kerry

Jake'sGran wrote: »

What happened to the THANK YOU button. I can't find it and wanted to thank all the kind posters who expressed their regrets for me. (It's a bad heart I have and other problems).
I am not downhearted but I would have liked to spend more on holidays, building work, etc etc.

One consultant, whom I deeply admire, did not want me to go anywhere by air, but a more senior consultant says he has no objection so I am considering short haul for November, maybe the Canaries.

I wish my son had saved liked Rictus intends to do. He earned a lot of money but overused a credit card and then left his job because of the travelling. In the end he was
buying food with the card. He got a job at a horrible company even though he knew he was ill. Upshot was he had an ulcer which
burst. An ambulance was called and they
managed to save him in hospital with 6 pints of blood. He destroyed the CC in front of me and he looks great today.
I only told you this to show the difference between two people in one family.

To Kerry - Sometimes I do think I have been
too frugal but it is better than spending what you don't have and I never pay interest on anything. Trouble is I still look for a cheaper way with everything, except food. And, it is good to know that I can have anything and don't need to worry about the Chancellor's
cuts on Wednesday.

:A You sound like an inspiration, your family are very lucky to have you.