🗳️ ELECTION 2024: THE MSE LEADERS' DEBATE Got a burning question you want us to ask the party leaders ahead of the general election? Submit your suggestions via this form or post them on our dedicated Forum board where you can see and upvote other users' questions. Please note that the Forum's rules on avoiding general political discussion still apply across all boards.

How much do you save a year?

Options
Was reading this artcile: http://www.forestersfriendlysociety.co.uk/latest-news/foresters-blog/average-saving-habits-2015-how-do-yours-compare/

And it sugests on average a person saves about £1 to 2,000 a year.

Surely it's higher than that? How much do you save a year?
«13

Comments

  • Eco_Miser
    Eco_Miser Posts: 4,708 Forumite
    Name Dropper First Post First Anniversary Combo Breaker
    Options
    Since the average person has total savings of less than £2000, that sounds a little optimistic.
    These averages will be median or mode, not the mean, which is massively distorted by a few millionaires (and also by the careful, canny, and frugal people who tend to frequent this board).
    Eco Miser
    Saving money for well over half a century
  • Superscrooge
    Superscrooge Posts: 1,171 Forumite
    First Anniversary Name Dropper First Post
    Options
    Do the figures also take account of those who save a negative amount each year, by getting further into debt?
  • trailingspouse
    Options
    Depends what you mean by 'save' - are you including overpayments on mortgages, paying off loans early to save interest, payments in to pension schemes? Or literally just money put into a bank account and left there?
    No longer a spouse, or trailing, but MSE won't allow me to change my username...
  • timmy963
    timmy963 Posts: 123 Forumite
    First Anniversary First Post
    Options
    I only earn about £12K and somehow manage to save about £9K annually which includes account interest.

    I can barely hand over 5p to the cashier for a bag just because it cost money.

    I think I have a problem...
  • PasturesNew
    PasturesNew Posts: 70,698 Forumite
    Name Dropper Photogenic First Anniversary First Post
    Options
    What is "save"?

    If I save, say, £100/month, then spend £1000 on a holiday in October, did I save £1000, or £0?
  • Eco_Miser
    Eco_Miser Posts: 4,708 Forumite
    Name Dropper First Post First Anniversary Combo Breaker
    Options
    timmy963 wrote: »
    I can barely hand over 5p to the cashier for a bag just because it cost money.

    I've never done that - 6p for a 'bag for life' is so much better value.
    Eco Miser
    Saving money for well over half a century
  • Pincher
    Pincher Posts: 6,552 Forumite
    Combo Breaker First Post
    Options
    Zero.

    I have never consciously saved. Every penny is simply on reserve in case it's needed for whatever. A Gledhill Hot water cylinder, £1,600 including fitting. It leaks, it's replaced.

    If somebody has a car repair bill of £500, and he has £500 "savings", does he not use it for the repair, because it's his savings?

    Somebody once explained the Treasury function to me.

    Any large corporation has a pot of money they need to manage.
    You need to keep enough to pay wages, taxes, rent on buildings, suppliers etc. , but you don't want to keep too much so it's sitting idle. It's actually easier to borrow money as and when you need it: the interest is even tax deductible.

    It's actually quite a head ache to invest the surplus money.
    If you lock it away for five years, it's a bit awkward if you need it two years later. Buy shares? Good luck if it tanks, and the share holders scream WHY DID YOU DO THAT!

    I find that is basically what I have been doing all my life.
    I keep a ready pot of money, in case there are expenses, but try to work the rest as hard as I can, within safety limits. And I don't call it saving.
  • TheShape
    TheShape Posts: 1,783 Forumite
    First Anniversary Name Dropper Combo Breaker First Post
    Options
    I'll perhaps echo Pinchers thoughts somewhat.

    I've ditched the concept of 'saving' or having savings accounts and now try to make what money I have work as hard as it can while maintaining my quality of life (I'm not going to sit indoors alone all weekend to save a few pounds).

    I shift my available cash funds to the accounts paying the best interest and withdraw money when needed from the account which pays the lowest rate. It's all one pool of funds.

    If paying of my mortgage debt becomes a better use of that pool of cash because my mortgage rate is higher than my 'saving' rate I will do so(subject to keeping an emergency fund).

    I'm three months into keeping a spreadsheet of my cash accounts. I total up all my accounts somewhere between the 3rd and 6th of each month (just after most of my bills have been paid). December was +£800 over November, January was -£400 from December, I expect February to be in excess of +£1000 over January. My aim is to keep the trend possitive.
  • Nick913
    Options
    I saved just over 11kin 2016, 550 of that was interest alone through playing the system of regular savers n current accounts. but to be fair I'm single, live with parents and like saving unlike the average male in his 20's �� So I guess I'm above average
  • shortcrust
    shortcrust Posts: 2,697 Forumite
    Combo Breaker First Post First Anniversary Newshound!
    Options
    I save around 500 every month. I take it a bit far. I've just agonised about putting the heating on for half an hour to heat the upstairs at the same time as using my log burner downstairs. I also often regret not buying things that I really wanted, or buying a lower quality item over a slightly more expensive alternative. I didn't buy the bottle of wine I really like yesterday because it was 50p more than the cash in my pocket and I was set on having a no card day. The one I got was just drinkable. Then I'll go and spend 150 quid on a rare record on a whim (often after drinking the wine I didn't really want!:)).
This discussion has been closed.
Meet your Ambassadors

Categories

  • All Categories
  • 8 Election 2024: The MSE Leaders' Debate
  • 343.9K Banking & Borrowing
  • 250.3K Reduce Debt & Boost Income
  • 450K Spending & Discounts
  • 236K Work, Benefits & Business
  • 609.2K Mortgages, Homes & Bills
  • 173.4K Life & Family
  • 248.6K Travel & Transport
  • 1.5M Hobbies & Leisure
  • 15.9K Discuss & Feedback
  • 15.1K Coronavirus Support Boards