The rule of thumb
So, if you spend £1,000 a month on mortgage or rent, food, heating bills and other things you can’t live without, you should aim for £3,000 in emergency savings.
But, remember any amount saved will help you if you have to pay for something you weren’t expecting.
How much should you save a month UK?
It recommends keeping between one week’s and two weeks’ take-home pay as the buffer. Translated to the UK, this would mean saving between roughly £400 and £800. An emergency fund should allow for between six and nine months of expense, it adds. If these were to come to £1,000 a month, that’s between £6,000 and £9,000.
How much of my income should I save UK?
It states that 50% of after-tax income should be spent on necessities, 30% should be spent on discretionary items, with the remaining 20% saved for emergencies and retirement planning.
How much should a 30 year old have in savings?
Fast Answer: A general rule of thumb is to have one times your income saved by age 30, twice your income by 35, three times by 40, and so on. Aim to save 15% of your salary for retirement — or start with a percentage that’s manageable for your budget and increase by 1% each year until you reach 15%
How much should I save per month?
Many sources recommend saving 20 percent of your income every month. According to the popular 50/30/20 rule, you should reserve 50 percent of your budget for essentials like rent and food, 30 percent for discretionary spending, and at least 20 percent for savings.