How to fall in love with saving money

cathybird

YoungBusinessman wrote: »

Iv sent you a pm :cool: Woke up to snow here, took an extra 20 mins to get to work Was home before 12 and knocking up a quick forecast budget see how much i can save the rest of this year, if anything with me losing work due to weather! Just got to crack on when i can and cut the expenses :money:

Yes, I'm sure if I looked harder I could trim expenses a bit more too ... possibly a lot more

YoungBusinessman

I think most of my motivation comes from my parents. They live in a council house, one works part time one is self employed but only has enough work to be classed as part time. They struggle to pay the £600 a month business premises costs in rent, always late etc. who knows how much they are owe in total but they owe me £2000. Don't want to end up like that at all. Iv taken on massive debts of £20k to better myself, if it doesn't work out I'm still young enough to recover from it.

Want to live well within my means next year, as frugal as possible with a % of savings dedicated to "treats" say 10%. So the more I save the bigger a treat I can afford so more motivation to save! If that makes sense!

Don't want to end up in their situation as the stress brings them so down and changes them, causes arguments and to be fair, life is too short.

cathybird

YoungBusinessman wrote: »

I think most of my motivation comes from my parents. They live in a council house, one works part time one is self employed but only has enough work to be classed as part time. They struggle to pay the £600 a month business premises costs in rent, always late etc. who knows how much they are owe in total but they owe me £2000. Don't want to end up like that at all. Iv taken on massive debts of £20k to better myself, if it doesn't work out I'm still young enough to recover from it.

Want to live well within my means next year, as frugal as possible with a % of savings dedicated to "treats" say 10%. So the more I save the bigger a treat I can afford so more motivation to save! If that makes sense!

Don't want to end up in their situation as the stress brings them so down and changes them, causes arguments and to be fair, life is too short.

Your parents' situation does sound difficult. I hope never to be that badly off either - what I don't want is to spend happily all the way to retirement age and then discover I've got hardly anything to live on. I've started lateish but am not in too bad a position and I'm hopefully not too late. Good for you in taking on the debt - you sound so determined that I bet you'll succeed

WantToBeSE

Gosh, it's gone quiet on here!
I dont even know what "Stocks and Shares" are, or how to buy them etc. It's something i would look into once i have saved up all i need to, filled a few ISAs and have a bigger income.

I am starting to look into private pensions at the moment too.

115K

WantToBeSE wrote: »

Gosh, it's gone quiet on here!
I dont even know what "Stocks and Shares" are, or how to buy them etc. It's something i would look into once i have saved up all i need to, filled a few ISAs and have a bigger income.

I don't really understand either and I'm thinking about doing the same as you and waiting until I have more of a cushion saved up before I even think about the subject.

I cannot wait until payday as I want to put money into my ISA!

I have all the paydays marked on the calendar for 2014 and I have made a plan to aim to get my mortgage down to £60,000 and my savings to reach £12,000.

I can't possibly do both but I'm aiming high.:rotfl:

cathybird

Sorry, I may have put people off. I know about stocks and shares because I used to own them. I'm very interested in equities and I think the aim of building up investments could give me the motivation I need to fall in love with saving I'm a bit worried I did send out what seemed to be a bit of a mixed message though.

cathybird

115K wrote: »

I have all the paydays marked on the calendar for 2014 and I have made a plan to aim to get my mortgage down to £60,000 and my savings to reach £12,000.

I can't possibly do both but I'm aiming high.:rotfl:

Sounds good to me. I need to aim high for the next year too.

WantToBeSE

115K wrote: »

I don't really understand either and I'm thinking about doing the same as you and waiting until I have more of a cushion saved up before I even think about the subject.

I cannot wait until payday as I want to put money into my ISA!

I have all the paydays marked on the calendar for 2014 and I have made a plan to aim to get my mortgage down to £60,000 and my savings to reach £12,000.

I can't possibly do both but I'm aiming high.:rotfl:

Hehe, same here! I have gone from "I can't wait for payday, i want to buy (insert name of clothing here)" to "I can't wait for payday, i want to save more money"...what have you all done to me?? :rotfl:

cathybird wrote: »

Sorry, I may have put people off. I know about stocks and shares because I used to own them. I'm very interested in equities and I think the aim of building up investments could give me the motivation I need to fall in love with saving I'm a bit worried I did send out what seemed to be a bit of a mixed message though.

Hey, no need to apologise, it's your thread. you certainly didn't put me off, i am interested in learning about things like stocks and shares, it's useful info that i will hopefully need at some point

Eco_Miser

WantToBeSE wrote: »

I dont even know what "Stocks and Shares" are, or how to buy them etc. It's something i would look into once i have saved up all i need to

115K wrote: »

I don't really understand either and I'm thinking about doing the same as you and waiting until I have more of a cushion saved up before I even think about the subject.

Put simply Shares are each a tiny share in the ownership of a company. The holder of each Share receives a proportionate share of the profits of the company, as an annual (or semi-annual) dividend. The value of the share also increases with any retained profits (which would usually be used for expanding the company). If the company is ever wound up, the shareholder receives a proportionate share of the realised capital of the company. More usually, when a shareholder wants to get his money out, (s)he sells (some of) the shares to somebody who wants the income stream and/or capital growth the share represents, at a price acceptable to both, or to a dealer in shares, who sells them on.

In the worst case, a company could go bust and the shareholders lose all their investment. In the best case, the investment is returned a thousandfold (or more, there is no limit).

Usually the capital growth keeps ahead of inflation and the dividend is better than bank interest, but there are no guarantees, and wild swings in value as sentiment changes.

Stocks are much the same thing, but structured slightly differently. Both are also known as equities.

Stocks and Shares ISAs can also hold Bonds, which are loans to companies or governments at fixed interest rates for (normally) fixed periods.

Many of the threads on this board are about stocks and shares, and collective investments into them, known as funds.

115K

Eco_Miser wrote: »

In the worst case, a company could go bust and the shareholders lose all their investment. In the best case, the investment is returned a thousandfold (or more, there is no limit).

Usually the capital growth keeps ahead of inflation and the dividend is better than bank interest, but there are no guarantees, and wild swings in value as sentiment changes.

Thanks for your helpful post, this forum has taught me so much.:)

This is what worries me about the idea of investing. I don't think I am confident enough to take risks at the moment. Maybe when my mortgage is at a more reasonable level (around £20k) and my ISA savings are up more I will consider making different choices with my money.