Saving small amoutn each month - For life

pmartin86 · 9 January 2018 at 10:03AM

Morning All

I'm finaly in a position with my finances to be comftable in putting a set aside amount each month from my salary to long term savings, call it a retirement bonus i suppose. I've got a small pot to start (400 ish) and intend to supliment that starting at £50 a month, given 6 months or so, i should be able to increase that to £100, so its never going to be "huge" numbers.

I've opened a regular saver with my bank (First Direct) at £50 a month, but was wondering where to put the £400 + the £600ish on the 12 month maturity mark? The intention after 12 months would be to open another regular saver and start again.

Im not looking for anything spectacular as im aware with limited funding its not going to make me rich, more of a "in 30-40 years when i retire I'll have a gift to myself.

Regards
Paul

Owen1991 · 9 January 2018 at 10:19AM

Look at setting up a SIPP if you won't need the money till 55+, or a S&S ISA and you could use the Vanguard range of funds (VLS80 or VLS100 funds) if you want to keep it simple.

Savings account you're just losing money over the long term with current inflation rates.

enjoyyourshoes · 9 January 2018 at 10:24AM

FD rs max pm is £300 pm, the first few months will have the maximum interest (i.e. full 12 months, then 11 etc), so stick the £400, £300 first moth, the £100 plus two £50 equalling £200 in second month.

Next year when it mature , again front load the savings plan to use all the saved monies first.

PeacefulWaters · 9 January 2018 at 10:36AM

Pension.

LISA.

Stocks and shares ISA.

Saving small amoutn each month - For life

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