Finally in a place to save again, advice?

Laconic

Hello,

I hope this is the right place to ask for strategic advice.

I worked after my first degree for ten years and finally decided to scratch the itch to return to full-time education for postgraduate study. I used a combination of a Career Development Loan and savings to fund an MPhil, which took longer than initially planned but ended very successfully!

Over the summer, I had a pretty tough time after finishing between job hunting and the demands of loan repayment, but come August, like all the buses arriving at once, I got a job *and* an acceptance to a funded PhD programme nearly at the same time. The job is part time and very flexible in hours and so is fitting in well with the studies, so I've been able to keep it!

It does mean that I have an unexpected opportunity: having used Martin's budgeting tools, I should have about £800 a month to save.


So what are my priorities?

1. To rebuild the emergency cash-reserve that so saved my life earlier.

I'm extremely aware that nothing is guaranteed -- not the continuation of my job nor even of my studies. So something that pays decent interest but allows ready withdrawal is a priority.


2. To pay off the CDL as early as possible.

Currently owe about £8000 which I'm paying off at £200 a month, but at 9.9% APR it's a right pain. They'll only take a full settlement, so I'd like to eventually pay it off with a lower interest loan which allows for overpayment, but that's for later.


3. To save/invest a lump sum either for a deposit on graduation or to have the money for relocation -- never know where I'll ultimately end up.

Painfully aware that I'll be 40 when I graduate from my PhD... so house-buying sounds more likely, but again, nothing in life is guaranteed.


4. I'm aware that my pension arrangements are... underfunded, to put it politely. So I've got to start thinking about what I can do about it.


I've no kids, no pets (or I'd probably not have done this!). I'm hoping for any advice and things I may not yet be thinking about.

atush

I would address the debt and the emergency savings first.

Saving 8K at 800 per month would only take 10 months (11 if you want to keep an emergency 800.) So whack it into the best savings acct you can find and pay off your debt then start your other savings goals