The 'We're saving for a deposit' thread

tara747

Yes, do it!

[Deleted User]

JimLad wrote: »

Hello all!

Im up to 61% of my 20k target now

Got a bit of a decision to make now..wonder if you lovely folks could help. I have now worked at my current job for 6 months and therefore am elligable to start a company pension. If i put in 5% of my salary, they will put in 7.5% which seems pretty good.

I am currently 23, living with my parents and saving for my own house. Do you think i should start my pension? It would be £100 less i can save every month.

Jim

Hi Jim
I was 20 when I started my pension with my bank and I actually laughed at the woman behind the counter when she asked if I had thought about it. I received my salary at that time by cheque and had to put it into the bank that way, but when I thought about it , it seemed a sensible thing to do.
My current job I started when I was 23 and I joined the pension scheme straight off as it was offered and the returns from that were better than what I had been putting towards the pension at the bank.

Although you would be saving £100 less each month, think about where that £100 will be going to - it will be going towards your retirement. The sooner you start investing in a pension, the more money you will have for your retirement. Also it seems to be a pretty good pension scheme you have with your employer.

Good luck with whatever you decide
P

tara747

I meant to ask - is it a final salary pension or a defined contribution pension?

Vixstar

Can I join in too. Think my situation is a little different as I have a flat which I'm trying to sell so will obviously add a variable amount to my deposit but the equity in it isn't enough for my deposit so I'm trying to save as much as I can for the day when my place finally sells. I'm aiming for 10k to start with, as that plus equity plus a loan from my employers would be a reasonable amount. My next effort will be to save up enough not to need the loan.

butterfly72

JimLad wrote: »

Hello all!

Im up to 61% of my 20k target now

Got a bit of a decision to make now..wonder if you lovely folks could help. I have now worked at my current job for 6 months and therefore am elligable to start a company pension. If i put in 5% of my salary, they will put in 7.5% which seems pretty good.

I am currently 23, living with my parents and saving for my own house. Do you think i should start my pension? It would be £100 less i can save every month.

Jim

Your company will be in effect giving you FREE money and remember there are tax benefits too!! Have a look over in the pensions forum. you might get some more info. I understand your dilemma. I pay into my pension even though I'm still renting and saving. I'm even buying extra pension. I pay in approx £350 per month and an extra amount into a S&S ISA which is money not going into my deposit fund. However, I'm not sure I could live on £95 per week and whos to say the state pension will even be around in years to come!?

Squish_21

JimLad wrote: »

Hello all!

Im up to 61% of my 20k target now

Got a bit of a decision to make now..wonder if you lovely folks could help. I have now worked at my current job for 6 months and therefore am elligable to start a company pension. If i put in 5% of my salary, they will put in 7.5% which seems pretty good.

I am currently 23, living with my parents and saving for my own house. Do you think i should start my pension? It would be £100 less i can save every month.

Jim

Definately or you'll regret it down the line!!

Ive had a pension since age 17.

Squish_21

My house savings are gradually growing but it seems to far away AT LEAST another year till we reach out deposit target. Even then im not sure whether it will be enough or not, lots of factors to take into account, housing market, what we will get for our current place, interest rates etc.
Keep losing the light at the end of the tunnel lately!

tara747

butterfly72 wrote: »

Your company will be in effect giving you FREE money and remember there are tax benefits too!! Have a look over in the pensions forum. you might get some more info. I understand your dilemma. I pay into my pension even though I'm still renting and saving. I'm even buying extra pension. I pay in approx £350 per month and an extra amount into a S&S ISA which is money not going into my deposit fund. However, I'm not sure I could live on £95 per week and whos to say the state pension will even be around in years to come!?

£350 a month into a pension??? Yikes. I guess I don't know how lucky I am sometimes. I have a final salary pension which only costs me £40 a month for a VERY generous package including a tax-free lump sum of 4x final salary on retirement. It's changed for new entrants, they pay a bit more in contributions than I do for the same benefits. Final salary pensions are like blimmin' gold dust these days...

ginchyqueendangle

Hi all

Just found this thread and thought id say hello.

Im 26 and living with my parents at the moment. Im desparate to get my own place, got loads of the stuff to go in a flat, just not the flat lol. I did rent a property with my bf but when we split up i moved back home (unfortunately wasted about 1k of my saving in the whole process)

Im putting aside money from my wage every month and so far have about 4.1k saved up. Its def a long process but im getting there.

Good luck everyone, its encouraging to read all your posts.

G

Dinah93

JimLad wrote: »

Hello all!

Im up to 61% of my 20k target now

Got a bit of a decision to make now..wonder if you lovely folks could help. I have now worked at my current job for 6 months and therefore am elligable to start a company pension. If i put in 5% of my salary, they will put in 7.5% which seems pretty good.

I am currently 23, living with my parents and saving for my own house. Do you think i should start my pension? It would be £100 less i can save every month.

Jim

I'd always say do it. I'm 24 and have a similar arrangement, and have been paying into my pension for just over 3 years now. They're effectively giving you free money to save for old age, so I think this is a really good plan.

Hi ginchyqueendangle, we need all the stuff for inside the new house too. We're setting aside £50 a month completely seperate to the house savings to buy things, as well as me writing dooyoo reviews and making approx £40 a month amazon vouchers as well. We do have the added bonus of getting married next September as well, so hopefully we'll get a bit of help towards buying or filling the house from people then too.