savings plan

Minime2.5

Need to create a budget planner and how to divide short and longterm savings . Im single no mortgage or depentents . Ive no debts but little to no savings . Here is a list of costs I need to budget for

1.Rent
2.Car
3.Lotto
4.Phone
5.Food
6.Entertainment
7.Gas/Elec
8.Clothing

Any others?

How much would should a single person spend on these things monthly

I know it can vary

Johnny Sausage

Why is the lotto so high up on your list?

Minime2.5

Johnny Sausage wrote: »

Why is the lotto so high up on your list?

The list isn't in order of priority. Its just what I spent money on a monthly basis on

Johnny Sausage

Well if you didn't gamble then there's some savings straight away

Heres Johnny

Minime2.5 wrote: »

Need to create a budget planner and how to divide short and longterm savings . Im single no mortgage or depentents . Ive no debts but little to no savings . Here is a list of costs I need to budget for

1.Rent
2.Car
3.Lotto
4.Phone
5.Food
6.Entertainment
7.Gas/Elec
8.Clothing

Any others?

How much would should a single person spend on these things monthly

I know it can vary

When I was single,up to 2 yrs ago mine was

Mortgage 900
Car Inc tax insurance and repairs 500
Lotto 0
Phone,TV and broadband, Netflix, Spotify, 125
Food (supermarket) 150
Entertainment incl food out 500
Gas/electric 100
Clothing average per month 80
Pension since I'm 21 300
Bins, home insurance, home maintenance 100

Now mortgage and anything to do with the house are more or less halved which is nice for a change I was paying it all myself for about 8 years. I still pay for them all because they're in my name but the fiance transfers 700 into the account they are paid from each month and we probably pay for shopping and entertainment in turns but we don't really keep track.

Esse85

You can eliminate the lotto.

You can reduce your phone to €10 per month if you haven't already done so.

Static M.e.

The basic rule is to divide up after-tax income and allocate it to: spending 50% on needs; 30% on wants; and putting away 20% to savings.

Pension should be on your list. If you start now, you will never regret it.

Minime2.5

Esse85 wrote: »

You can eliminate the lotto.

You can reduce your phone to €10 per month if you haven't already done so.

With who

Lyan

Stop playing lotto dummy.

What kind of money are you spending on clothes and "entertainment" per month?

con747

Might help if you give some idea of how much you have to budget per month to try allocate your finances in the right direction.

Minime2.5

Lyan wrote: »

Stop playing lotto dummy.

What kind of money are you spending on clothes and "entertainment" per month?

post reported

Toots

Lyan wrote: »

Stop playing lotto dummy.

What kind of money are you spending on clothes and "entertainment" per month?

Keep it civil. If you can't post without insults, don't post at all.

Lyan

Woah, geez okay I'll calm down. lol "dummy" is a fricking junior infants "insult" and you just tattled on me.
The people who purchase lotto tickets are interesting specimens.

con747

Lyan wrote: »

Woah, geez okay I'll calm down. lol "dummy" is a fricking junior infants "insult" and you just tattled on me.
The people who purchase lotto tickets are interesting specimens.

Why? Can people not not spend a few quid a week to try and win money that will change their lives.

The Phantom Jipper

I'd decide how much you need to save per month and work backwards from there. If €1000 a month saving gets you where you want to go, spend accordingly.

Lyan

con747 wrote: »

Why? Can people not not spend a few quid a week to try and win money that will change their lives.

I was just making fun of OPs childishness, but if you want a serious answer I'll give it. It's simply economically unsound. It's no argument that the odds of a big win are highly unfavorable and in the long run you are losing money. Putting the money spent into perspective, the cost of even five euro a week adds up to what a lot of people would love to be getting in interest on their savings account. Investing that small amount over the years instead of spending it on lottery tickets can easily appreciate into the thousands over the years. I mean heck, if you really want to play lotto then at least go for prize bonds.

con747

Lyan wrote: »

I was just making fun of OPs childishness, but if you want a serious answer I'll give it. It's simply economically unsound. It's no argument that the odds of a big win are highly unfavorable and in the long run you are losing money. Putting the money spent into perspective, the cost of even five euro a week adds up to what a lot of people would love to be getting in interest on their savings account. Investing that small amount over the years instead of spending it on lottery tickets can easily appreciate into the thousands over the years. I mean heck, if you really want to play lotto then at least go for prize bonds.

You might want to look at what people that have prize bonds get back in earnings so. There is plenty of posts on it. And a lot of people playing the lotto do it in the hope of winning something they could never get in reality. A lot of people would spend more on coffee on their way to work on most day's.

Lyan

con747 wrote: »

You might want to look at what people that have prize bonds get back in earnings so. There is plenty of posts on it. And a lot of people playing the lotto do it in the hope of winning something they could never get in reality. A lot of people would spend more on coffee on their way to work on most day's.

I know prize bonds are measly returns but it's better than losing money. I'd also have to question the soundness of buying a cup of coffee a day if your goal is to save money. You become rich by being smart with every penny, not by buying lotto tickets.

con747

I know where your coming from and I hope you know where I'm coming from, but this is getting off the op's subject so i'll agree to disagree.

Lyan

Well I wouldn't exactly say it's off topic. It's a legitimate point of concern in OPs savings plan. It's a question worth a couple hundred euro a year to him.

Minime2.5

I earn 3500k net a month

my fixed costs

rent-582
phone-25
Internet and tv-60
Netflix -11.99
Gas/Elec-100
Lotto-48
Car-200

I dont have a budget for food and entertainment I just spend what I like

Heres Johnny

Minime2.5 wrote: »

I earn 3500k net a month

my fixed costs

rent-582
phone-25
Internet and tv-60
Netflix -11.99
Gas/Elec-100
Lotto-48
Car-200

I dont have a budget for food and entertainment I just spend what I like

Are you renting on your own or sharing?
Your rent figure seems low but you have a full gas and electricity bill there by the looks of it.

Anyway, keep playing the Lotto it's only a few quid, unlikely to generate a return at all but you never know.

You've only 1000 euro in there as necessities.
Leaving you 2500 to play with. Although you've not included things like food and entertainment so I've no idea what this is. It could be anywhere between 100 and 1000. I spend 500+ a month on entertainment whether that be pints with the lads, trips away with herself, went bowling the other night even.
I bet my bottom dollar you have seriously underestimates your car expenses, no matter what you drive I bet all in its double at least what you have put there. I don't know anyone running a car on under 50 euro a week all in. Realistically so you've probably 2000 or thereabouts.
I'd look at something like transferring 1000 into a revolut account each month and use it to track what you're spending. Use it instead of cash when you can.
Put the other 1000 into savings, but figure out what you are saving for, if it's a house, rainy day fund, accumulate wealth long term. If it's short term, just a bank deposit account or credit union, if it's longer term figure out how to invest it, if it's for retirement for gods sake start a pension or put more into one you already have.

Depending on what you want to do the savings could be upped and the revolut account used for day to day stuff could be decreased.

You need a proper budget though you've left plenty out, clothes, some household expenses like cleaning and toiletries, food, going out....

With that rent figure being nice and low and your income being good you don't really need to make a choice between living day to day or saving, you can easily do both it's just a matter of how much of each you want to do.

I try to have 500 to 800 from the previous months salary in my account by the time I get paid again (my net pay is about 4000) and then I either put it away or buy something nice with it or go on a little weekend away etc... I get paid tomorrow and I have 150 left from last one but that includes Christmas etc...

I don't waste money on frivolous things anymore though, don't spend 10 euro on sandwich, crisps and a drink anymore for lunch every day. If I go out for lunch I go and get a proper feed in a pub or something but most days I bring my own. Don't buy takeaway tea or coffee ever.

I've full tracking on my spending now, things I deem worth it I continue to spend, things I don't I've cut out. I walk to the pub if possible or drive there and walk the dog to collect car next day, it is a tenner saved in a taxi. Don't eat horrible deli sandwiches. Don't buy any cheap junk anymore either. Buy stuff that lasts.

edunne2010

Start small and get an account with your local credit union, if you work where there is a credit union nearby even better. Maybe your employer has a credit union listed for deductions from your income.

Minime2.5

how do most people split their savings

Jim2007

Lyan wrote: »

Woah, geez okay I'll calm down. lol "dummy" is a fricking junior infants "insult" and you just tattled on me.
The people who purchase lotto tickets are interesting specimens.

You have already demonstrated that you don’t know what a rainy day fund is so you are not in a position to criticize anyone.

Static M.e.

Minime2.5 wrote: »

how do most people split their savings

What do you mean?

I put my savings in a credit union account that I cannot easily access. I have to walk into the branch - I know this isnt mature but it works for me and stops me buying new tech when I see a "deal".

As Here's Johnny said, I found that transfering my spending cash to a revoult card was very good at tracking my spending in real time. I also don't spend more than my allocation per month on my card, which helps.

beggars_bush

Static M.e. wrote: »

What do you mean?

I put my savings in a credit union account that I cannot easily access. I have to walk into the branch - I know this isnt mature but it works for me and stops me buying new tech when I see a "deal".

As Here's Johnny said, I found that transfering my spending cash to a revoult card was very good at tracking my spending in real time. I also don't spend more than my allocation per month on my card, which helps.

exactly
take chunks of the savings out and invest in either a term deposit or an investment product

cefh17

Static M.e. wrote: »

What do you mean?

I put my savings in a credit union account that I cannot easily access. I have to walk into the branch - I know this isnt mature but it works for me and stops me buying new tech when I see a "deal".

As Here's Johnny said, I found that transfering my spending cash to a revoult card was very good at tracking my spending in real time. I also don't spend more than my allocation per month on my card, which helps.

It is mature if it works for you not having easy access, imo

OP, It’s difficult to advise on this as we don’t know your short, medium and long term goals.

I’d recommend getting health insurance and a pension if you don’t already them. (I recommend it even though I haven’t been clever enough to start myself yet)

But if you’re looking to buy at some point, might be worth putting all your eggs in that expensive basket and reviewing other needs afterwards.

A small percentage of your savings could go towards holidays and nice things like that.

Jim2007

Static M.e. wrote: »

What do you mean?

I put my savings in a credit union account that I cannot easily access. I have to walk into the branch - I know this isnt mature but it works for me and stops me buying new tech when I see a "deal".

As Here's Johnny said, I found that transfering my spending cash to a revoult card was very good at tracking my spending in real time. I also don't spend more than my allocation per month on my card, which helps.

It is actually very mature. A failure to recognise your own strengths and weaknesses is often one of the main reasons people loose money when it comes to saving and investing.

If you know that you are likely to spend money if it is accessible to you, then the obvious solution is to put it out of reach.

iamtony

Hi op. Dave Ramsey. Stick the name into a podcast machine or youtube and then buy his financial peace book. Today is the 27th of January, I'll count down the days till you thank me personally.
He has a baby steps program to follow to financial freedom and your in the perfect position to follow it. I haven't borrowed money since about 2005 and I drive a 2015 car and the missus drives a 2019.