How much savings do you have and what age are you?

20-05-2020 5:56pm

Muscles Schultz wrote: »

Big mistake if you’re not maxing out AVCs

I disagree if he is saving towards a goal.

I changed jobs last year, I had a compulsory pension in my previous job but would have to setup my own private one in my new job. I have decided against starting any pension for now as I want to maximise my monthly income so I can save more towards building my house and have a smaller mortgage. At this stage in my life it’s more important to have the money now.

I’m not saying a pension isn’t important and I will be starting one in the next year or so but if I were to start one now at the level I will need to my contributions would wreck my savings.

Cobalt17 · 20-05-2020 5:57pm

Wii776 wrote: »

These threads depress me. I'm 44, partnered and with kids. Renting, no savings, and no prospect of ever owning our own home. Partner works in precarious gig economy and I have small business. Both work hard, and have no real frivolous spending. Takeaway once a week. One foreign holiday in last 10 years. Reading about 20 somethings with 5 figure savings is depressing.
We would be better off on the dole and a council house.

I feel for you man. There’s an omnipotent power that ensures that no matter what, those that have never worked should be guaranteed a certain standard of living, whereas people like you work your arse to be ever indebted, whilst paying for Jancinta and Decos children. You my friend, have your pride and your standards, which is something your children will benefit greatly from.

Cody montana · 20-05-2020 6:01pm

37 and about 24 grand.

I’ve expensive tastes.

Mister Vain · 20-05-2020 6:03pm

€25000 at age 36. I've spent over €20000 on travel. I don't really drink though and lived at home til I was 32.

The Mighty Quinn · 20-05-2020 6:06pm

I feel I might be closer to the average person, but maybe I'm trying to console myself.

34yrs old
7K savings
32 years left on a mortgage
Married with a child
25K in pension

--
300 owed on credit card
4,500 outstanding on a bank loan
1,000 owed on finance for furniture bought when we bought the house

Not great. Not great!

Manion · 20-05-2020 6:11pm

Padre_Pio wrote: »

Ya, but you're still up money.
Your pension plan would have to fall by 40% for you to be better off taking the cash.

Ok, so the lump sum is tax free but the annuity is not. You'll be paying 20% on that on the flip side. Add in inflation and fees and potential risk of a government mash and grab of the capital (like they did in 2008) and you're chipping away at that % a lot. Considering you're putting money away for 40+ years. I've not been in a rush to top up my pension contribution. The company I work for offers a share matching scheme on a 24 month cycle where I'm up 25% roughly after tax.

Padre_Pio · 20-05-2020 6:29pm

Manion wrote: »

Ok, so the lump sum is tax free but the annuity is not. You'll be paying 20% on that on the flip side. Add in inflation and fees and potential risk of a government mash and grab of the capital (like they did in 2008) and you're chipping away at that % a lot. Considering you're putting money away for 40+ years. I've not been in a rush to top up my pension contribution. The company I work for offers a share matching scheme on a 24 month cycle where I'm up 25% roughly after tax.

Not really. Your pension should grow and outpace inflation. Fees are only 1 or 2%.

You annuity is taxable, but you still get tax credits same as ever. I'd prefer to pay 20% on a portion of my pension and reduce my 40% tax bill now.

The mash and grab was a blip on most peoples pension fund and it's hugely overblown by people who argue against pensions, the same way pension advocates talk about the public pension time bomb.

If your employer matches your contribution, you're refusing free money by not maximizing this benefit.

Manion · 20-05-2020 6:35pm

As said, I've a contributory pension. I put in 5% and my employer puts in 10% which is very good. AVCs are not matched however and I'm not convinced dumping most of my disposable income into a pension fund is the right decision. Live life and all that.

Former Great · 20-05-2020 6:36pm

35 , 250k in cash . no property

Padre_Pio · 20-05-2020 6:41pm

Manion wrote: »

As said, I've a contributory pension. I put in 5% and my employer puts in 10% which is very good. AVCs are not matched however and I'm not convinced dumping most of my disposable income into a pension fund is the right decision. Live life and all that.

Oh ya, if you need the money then scale back.
My advice is for people who don't need the money, or who are p*ssing money away. Pensions cost less than you think, and it's better to start today than any other time.

blade1 · 20-05-2020 6:41pm

FHFM50 wrote: »

F**king hell these kind of threads depress me so much.

Try running 3 houses,it's no joke I tell ya!

Padre_Pio · 20-05-2020 6:43pm

blade1 wrote: »

Try running 3 houses,it's no joke I tell ya!

Calm down Padraig!

:D

Viscount Aggro · 20-05-2020 7:17pm

Age 50
700,000 in cash, and near cash assets (bond ladder)
Life tenancy of a property
No debt
Never inherited anything
Annually, a very low spend / high savings rate
Saving 100% of salary since 2016
Investment income covers living expenses and throws off extra
Small pension fund of 80K

The Mighty Quinn · 20-05-2020 7:31pm

Viscount Aggro wrote: »

Age 50
700,000 in cash, and near cash assets (bond ladder)
Life tenancy of a property
No debt
Never inherited anything
Annually, a very low spend / high savings rate
Saving 100% of salary since 2016
Investment income covers living expenses and throws off extra
Small pension fund of 80K

I think with a savings pot of 700K at 50, the pension thing isn't that big a deal

Well done, it's a serious achievement.

Anybody have any stories where they kinda bumbled by til their mid 30s, had a family and somehow by 50 ended up with a decent chunk?? Inspire me!

0gac3yjefb5sv7 · 20-05-2020 7:32pm

Viscount Aggro wrote: »

Age 50
700,000 in cash, and near cash assets (bond ladder)
Life tenancy of a property
No debt
Never inherited anything
Annually, a very low spend / high savings rate
Saving 100% of salary since 2016
Investment income covers living expenses and throws off extra
Small pension fund of 80K

May we ask how did you manage that? Very impressive!

The Mighty Quinn · 20-05-2020 7:42pm

Rightly or wrongly, I get the feeling that those who bought houses pre, say, 1995 have had a great chance to build some wealth.

Take my father. Now 60. Bought house in early 80s for 23,000. Huge interest, about 14%.by early 90s he had acquired a wife and 3 children, and his wages had shot up, and by 1998 house paid off. Would sell for 250K now at a conservative pricing. He's built up comfortable savings and a good pension, lives a nice life.

I don't feel that wages will shoot up that much in the next 20 years to make mortgage payments feel small by 2040 income standards like they did 20-30 years ago.

893bet · 20-05-2020 7:42pm

Ah a thread to make most people feel like they ain’t doing enough and a small few to feel elite.

No point doing a comparison from person to person.

I have more than some and less than plenty.

Cobalt17 · 20-05-2020 8:14pm

893bet wrote: »

Ah a thread to make most people feel like they ain’t doing enough and a small few to feel elite.

No point doing a comparison from person to person.

I have more than some and less than plenty.

Not really, it’s a good measuring stick, especially for young people, to see what their peers are saving.

Padre_Pio · 20-05-2020 8:23pm

Cobalt17 wrote: »

Not really, it’s a good measuring stick, especially for young people, to see what their peers are saving.

I think it's interesting to see how people got there.

I was basically broke until 27, then got a decent job and massively cut down on drinking. No house, no kids. Maxed pension, maxed share scheme, spent money frugally enough, but I'm not scrimping.

Nights out are a curse, easily 100 down by the end of the night. Coffees, lunches out and all the "sure it's only a fiver" purchases really add up too.
Technology is another killer. A new samsung is much the same as a 2 year old samsung, and much the same as a huawei that's half the price.

You can buy ten year old cars that are in brilliant condition for little money if you've the inclination to fix them when they break.

Putting money in places where you can't get it is the best way to save.

Mister Vain · 20-05-2020 8:27pm

Anyone got any gold or silver?

blade1 · 20-05-2020 8:42pm

Padre_Pio wrote: »

Calm down Padraig! :D

Ok Padre :eek:

BorneTobyWilde · 20-05-2020 9:55pm

15 years old, 4 billion in savings. 10 yachts and a 20 year old lover named Natasha

Geuze · 20-05-2020 11:02pm

The Mighty Quinn wrote: »

Rightly or wrongly, I get the feeling that those who bought houses pre, say, 1995 have had a great chance to build some wealth.

I don't feel that wages will shoot up that much in the next 20 years to make mortgage payments feel small by 2040 income standards like they did 20-30 years ago.

Yes, very true.

Although mortgage interest rates were high in the 1980s, and quite high until EMU in 1999, house prices were much lower.

Now, rents and house prices in cities are way too high, and real wage growth is slow.

Geuze · 20-05-2020 11:05pm

Here is some Household Wealth data:

https://www.cso.ie/en/releasesandpublications/ep/p-hfcs/householdfinanceandconsumptionsurvey2018/

PR_500989_-Household_Finance_&_Consumption_Survey_2018_Infographic_1875x1095px.png

PR_500989_-Household_Finance_&_Consumption_Survey_2018_Infographic_1875x1095px.png

Geuze · 20-05-2020 11:08pm

The median value of cash savings is 5,000, in the 2018 HFCS, see table 3.4.

Lower than I expected.

Median net wealth is 185k.

TallGlass2 · 20-05-2020 11:18pm

I'd consider what I have saved at the moment, fairly reasonable and sizeable. Rather than share the value, I will share some tips on what I done to get there.

Start small
Build on that foundation
If you can save more one month then save that little bit extra
Don't beat yourself up if you don't save your target amount
Life has hidden events, you'll see the balance drop at times
Have a goal, when you reach that goal consider if it's worth saving more or getting what you wanted
Mathematically work out what is realistic, if you find it's too high or too little adjust it
Most of all savings takes time

Mines for a deposit for a house, it will be a sad day for me too see my balance hit zero and a minus appear on my account, but I will just start again using the knowledge I got from saving previously.

Arghus · 20-05-2020 11:45pm

FHFM50 wrote: »

F**king hell these kind of threads depress me so much.

I wouldn't worry about it to much bro. Pretty confident 90% of what's written in these type of threads is bullshyte. Seen a few "how much do you get paid threads" and they're usually laughable, with all the clearly made-up salaries people claim to be on.

Padre_Pio · 20-05-2020 11:51pm

Arghus wrote: »

I wouldn't worry about it to much bro. Pretty confident 90% of what's written in these type of threads is bullshyte. Seen a few "how much do you get paid threads" and they're usually laughable, with all the clearly made-up salaries people claim to be on.

Dunno. If you're single and on 60k plus it's quite easy to save.
Plenty working in tech or finance who get pension, bonus and share benefits too which can add a fair bit over time.

Starting wages out of college can be low to mid 30s if you're lucky.

TallGlass2 · 20-05-2020 11:54pm

Arghus wrote: »

I wouldn't worry about it to much bro. Pretty confident 90% of what's written in these type of threads is bullshyte. Seen a few "how much do you get paid threads" and they're usually laughable, with all the clearly made-up salaries people claim to be on.

Very true, I always find it funny how flustered people get when they tell you there salary or earnings, yet they completely snooker themselves once you start asking how much tax they pay, always funny when people telling you there take home pay seemingly cannot remember what the tax bill was along with it/and or it doesn't add up.

Pinch of salt and move at your own pace

yabadabado · 21-05-2020 12:00am

TallGlass2 wrote: »

Very true, I always find it funny how flustered people get when they tell you there salary or earnings, yet they completely snooker themselves once you start asking how much tax they pay, always funny when people telling you there take home pay seemingly cannot remember what the tax bill was along with it/and or it doesn't add up.

Pinch of salt and move at your own pace

I dont know how much tax I pay tbh.I know my tax credit and I'm in 40% bracket but that's about it.
I rarely look at it unless my wage is different than usual.

Do most people know exactly what tax they pay?
I wouldn't have a clue how much tax I paid last year .

snoopboggybog · 21-05-2020 12:06am

yabadabado wrote: »

I dont know how much tax I pay tbh.I know my tax credit and I'm in 40% bracket but that's about it.
I rarely look at it unless my wage is different than usual.

Do most people know exactly what tax they pay?
I wouldn't have a clue how much tax I paid last year .

Well I just look at my monthly wage multiply it by 12 and take it away from my yearly salary unless I'm missing something completely different here.

TallGlass2 · 21-05-2020 12:08am

yabadabado wrote: »

I dont know how much tax I pay tbh.I know my tax credit and I'm in 40% bracket but that's about it.
I rarely look at it unless my wage is different than usual.

Do most people know exactly what tax they pay?
I wouldn't have a clue how much tax I paid last year .

I'd have a fair idea, maybe it's just me!

It's good to know what tax you usually pay, cause you can eyeball the figure Revenue give you and decide if its a good or bad idea to claim. However that system has changed and they tell you know if your under or over payed for the previous year before you hit the trigger.

snoopboggybog · 21-05-2020 12:08am

Mister Vain wrote: »

Anyone got any gold or silver?

I have expensive Gold and Silver goblets with emeralds which I drink my 5,000 euro bottle of wine from.

TallGlass2 · 21-05-2020 12:10am

Folks, if you want real advise. YouTube/Watch 'Extreme Cheapskates', them lads know the deal.

dartboardio · 21-05-2020 12:14am

22, no savings.

Earned about 20k last year, didn't save any of it, well, what I did save i spent.

I like spending money. When I have it, I want to spend it basically, on things like going away travelling for a month in the summer, or putting it into new ventures etc

Run music events every few months and also run my own online business so hoping that money will come from both of those, over the next few months! (not the events for a while anyway!)

snoopboggybog · 21-05-2020 12:18am

dartboardio wrote: »

22, no savings.

Earned about 20k last year, didn't save any of it, well, what I did save i spent.

I like spending money. When I have it, I want to spend it basically, on things like going away travelling for a month in the summer, or putting it into new ventures etc

Run music events every few months and also run my own online business so hoping that money will come from both of those, over the next few months! (not the events for a while anyway!)

Your 22, spend everything you can on what you want and enjoy. Plenty of time to get a few bob together but a lot of people with huge saving have it for a reason. They'll die on their death bed with it and will never spend it.

Enjoying life comes first.

TallGlass2 · 21-05-2020 12:22am

If I was looking back at 22, I would put 20€ away a week, by the time your 27 and need to get stuff moving you'll have about 5k banked at that stage. I say that looking back now at 30, at a career I had for 7 years, part time (since I was 17!). I made around 120k over them 7 years. I hadn't anything banked from it at all, that annoyed me more than anything. I made changes after that realisation.

An Ri rua · 21-05-2020 12:27am

Mister Vain wrote: »

Anyone got any gold or silver?

I got the gold bug about 11 years ago. Then bought antique Georgian and Victorian silver on eBay at scrap silver prices (or close enough). Never sold it (even when things were bleak). Started using Bullionvault in 2009 and made 400 on a 1300 investment around that time. Gave it away to Syria at the time.
Late February I took a punt on silver bullion and hoovered up about 3k of coins. That will do very well.
Since April, have put 20k into gold via Bullionvault and will take profits as they come and re-invest. I've been studying gold and silver for 12 years now so I'm happy to have converted 400 savings pm into 500 pm loan repayment and reduced savings.
To me, it's an educated punt in highly surreal times and it's a market I study and know.

I wouldn't be leaving too much money in cash right now. Savings will die on their feet. I'd convert it into assets as inflation will hit hard from early 2021.

NSAman · 21-05-2020 12:29am

When I was in my 20s I saved a huge amount. Had nothing to spend it on. lost that with a business venture... left with nothing.

Started saving again once I got started again.

now in my 50s I am comfortable and will not invest in anything apart from what I am interested in and have control over. I save between 3 and 5000 a month currently.

BohsCeltic · 21-05-2020 12:30am

Nothing lol.
Been out sick from work doesn't help.

But i have always been a spender. I understand everyone is different. I had a deposit for a house in 2008 but ended up buying a new car and going to New York plus a few other holiday's instead.
If i had of gone for the house i would have lost it as i was made redundant from my old job.

I don't begrudge people who are good at saving.

In the last 4 years i have been to many countries travelling. I've been to Thailand 6 times, Germany 3 times, France, Portugal,Turkey, Vietnam, UAE and uk.

Of course if i added up what i spent it would be quite a lot, but i enjoyed it and have really good memories so i am happy with that.

I don't have children or a mortgage so it's a bit easier to do things like that(well not now being out sick and also this stupid virus) but once i get back to work i will do it all again.

I do have money in a pension but cannot touch that. If i could i would take it out now lol.

Kh1993 · 21-05-2020 12:32am

27 here. 45k in savings. Public sector job since 22. Majority of that money will be gone on a house deposit in the short to medium future.

The mad thing though, 35 of that 45k was saved before the last 2 years. Renting now and really feeling the squeeze to save big time. Extras like Health insurance, food shops, the Xmas electricity bills all seem to get you when you think you’ve done well and can save a good few quid.

In a way I think if you commuted to college, commuted cheaply to your first few jobs and lived with your folks, you were lucky in that you saved a fortune. At the time you feel like you were missing out by getting that bus home from college rather than going out. Then you realise your country mates in college were dropping at least 5 grand on accommodation a year plus 3-4 nights out a week.

Everything is circumstances really.

RandomViewer · 21-05-2020 12:36am

51, no savings,once I gather a few grand I buy something, no mortgage, no debt except a few grand on credit card which I clear every now and then. Know people who lived in freezing kips of houses, drove crap vehicles, didn't socialize, when they died they left small fortunes to people who used the money as it was designed for, spending

raze_them_all_ · 21-05-2020 12:36am

Kamu wrote: »

I am 27, I have a Civil Service Job on 30k per year and I have 30K saved so far.
I save about 1000 per month.

I am currently self-learning to code and possibly looking to return to do a Masters in Software Development as I want to move into a more (hopefully) fulfilling career.

I holiday 1-2 times per year, (before this year) and if I want something, I will buy it a month later. Living a decently good life I would like to think.

That's 572 a week.=2307 - 1000+ 1307 before any bills, food is paid for. I'll assume no kids, no rent/mortgage and no car? Cos otherwise that's lies

ongarboy · 21-05-2020 12:41am

RandomViewer wrote: »

51, no savings,once I gather a few grand I buy something, no mortgage, no debt except a few grand on credit card which I clear every now and then. Know people who lived in freezing kips of houses, drove crap vehicles, didn't socialize, when they died they left small fortunes to people who used the money as it was designed for, spending

Do you not worry about even having a small rainy day fund (e.g. 5k) for unforseen large expenses? Boiler breakdown or if you suddenly lost your job etc?

CBear1993 · 21-05-2020 12:42am

Cross that bridge when we come to it sure. Be grand

ted1 · 21-05-2020 12:43am

I’d say when you look into it people figures are different then they say.

Money in bank = not great.
1 income ,wife+ 3 kids

However I’ve been paying into pension and topping up with AVC’s which I could just put into savings I stead.

Then I’ve about LTV of 30% on my main PPR,

I’ve several properties which are rented out. And the mortgage is being paid off resulting in a good bit of equity built up but no point counting that as the Matket could collapse.

Having lots of saving will do you well but as soon as you buy property you’ll wipe it out , then having kids and perhaps one income will restrict your saving.
Food and clothes for 5, ballet, swimming , kickboxing lesson s etc are where saving go once you have responsibilities.

An Ri rua · 21-05-2020 12:44am

TallGlass2 wrote: »

If I was looking back at 22, I would put 20€ away a week, by the time your 27 and need to get stuff moving you'll have about 5k banked at that stage. I say that looking back now at 30, at a career I had for 7 years, part time (since I was 17!). I made around 120k over them 7 years. I hadn't anything banked from it at all, that annoyed me more than anything. I made changes after that realisation.

It's hard to have sense at that age. Tomorrow seems forever away. I had the chance to buy a cottage for 3k, on an acre about 2 miles from a large town, in 1995. Subsequently earned €20pw rent. It was basic! But that's a 3 year earn-out.
I bought my first motorbike instead. I couldn't wait. Even with training in derivatives, the rubber meeting the road was poor quality. You've got to have a real conversation with yourself when you embark on a financial plan/path. If you have an emotional need, a hankering for some physical product or experience, you may have to satiate it before you commence.

What I've learned is that old cars trump new cars, mobile BB and freesat trump's TV packages and exercise involves a doorway pullup bar, dip bars, Hindu pushups and squats, not gyms and (delightful) gym bunnies. Expensive eye candy. Conspicuous consumption!

There's no good time to not spend. Whether it's sessions, holidays, wedding seasons, stags, hens, further education etc etc. But you MUST spend, paying yourself first. Once you do that, it all clicks into place.

If you have not much money, but take 1000 and learn how to use something like Bullionvault or any market with miniscule brokerage fees, you could, by learning how to take profits, make another 1000 in a year on a commodity like gold silver or indeed oil. Buy you must get to know your subject well.

When I was penniless, I thought how could I put 1000 into anything? But put it into something illiquid and then that's that.
I don't recommend borrowing money to invest. Although I personally think it's a no-brainer in my scenario.
But offload some junk! Raise the cash. Then put that 1000 to work. That's all there is to it. Stop looking to your wage. It's one stream. Open your mind to more. Savings are for rainy days. They will never leave you well-off.

ongarboy · 21-05-2020 12:57am

TallGlass2 wrote: »

Very true, I always find it funny how flustered people get when they tell you there salary or earnings, yet they completely snooker themselves once you start asking how much tax they pay, always funny when people telling you there take home pay seemingly cannot remember what the tax bill was along with it/and or it doesn't add up.

Pinch of salt and move at your own pace

So if someone says they have more savings then you did at their age or are unable to instantly recite their monthly tax payments, they must be bluffing, even if their circumstances, outgoings and ability to save each month were/are completely different to yours? That's a very sweeping and flawed assumption to make that seems driven more by the green eyed monster than by logic!

RandomViewer · 21-05-2020 1:09am

ongarboy wrote: »

Do you not worry about even having a small rainy day fund (e.g. 5k) for unforseen large expenses? Boiler breakdown or if you suddenly lost your job etc?

Reasonably well paid, can fix most stuff myself, if I had 5k in the bank I'd buy something I didn't need,
Worrying about the future and dwelling in the past are stresses I don't care for.

Dwarf.Shortage · 21-05-2020 1:12am

Neil3030 wrote: »

You have far more sensible spending habits than I...

So if the night out starts in the local, that'd be maybe 2 drinks: ~€10
Last bus into town, or taxi if we missed it: €2-€7 (sharing the taxi if applicable)
Box of cigarettes: €5-€10
Nightclub entry: €5-€10
Drinks in the nightclub: Say 4 drinks at... maybe 5-8 each: ~€25
Kebab after: €10
Taxi home: €10-€20 depending on whether the group dispersed

So that's a fairly tame night out (no late bar crawl before nightclub, no trip to the casino afterward, total of 6 drinks, not getting stung on an unreturned round, etc):

€80

No bag of sniff off the rickshaw drivers etc

How much savings do you have and what age are you?

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