As a rule of thumb, most experts recommend an annual retirement savings goal of 10% to 15% of your pretax income. Make sure you have adequate funds - I am talking about the top three for any home owner - emergency fund (for non home owners as well), down payment (10-20%), and maintenance and repair funds. Part 2 of that "scary" number that you need to save each month for your child's college is that number is based on saving 100% of their … Got it - thanks for your experience/example! But it always varies. I have had the same issue over the years. That being said, money is a tool, and prioritization is the game. ~$250. If you begin setting aside money at age 20, you have to save $479 per month, or about $110 a week, to reach $1.5 million. But I rather choose to buy the stock of the firms I trust than buying a gadgets that won't really increase my quality of life but fun. At $70k salary, your monthly gross income is $5833/mo. How Much Should You Save? Another of the many saving money tips from Reddit is about paying … There is not going to be a fixed answer that 'X% is enough'. Typically, people would allocate 50-70% of their income to cover necessities anyway, so you're just replacing rent, etc with investing. If you're enjoying what you're doing, keep going. Saving money should almost always come before investing money. However, I'll add that while it's good to avoid PMI, I wouldn't overindex on getting to 20% down payment. Most of us save (or should save) for four reasons: Emergencies (job-loss, illness, pandemics) Wants & Goals (new home, kids going to college, new car, trip) Retirement; Security; In the article Americans … 30% of your salary as disposable income sounds perfectly fine, maybe even above average, to me. Renting would provide you the ability to move and pursue other opportunities with ease. http://www.mrmoneymustache.com/2012/01/13/the-shockingly-simple-math-behind-early-retirement/. Nah, screw that. Appreciate the added thought and recommendations. If you have extra money and you get your jollies from investing ¯_(ツ)_/¯. You can be very responsible and save 20+ percent of your income while spending the rest. ... help Reddit App Reddit coins Reddit premium Reddit … According to the popular 50/30/20 rule, you should reserve 50% of your budget for essentials like rent and food, 30% for discretionary spending, and at least 20% … If you want to reach the $300,000 benchmark by the time you turn 50, you'll need to save around $1,800 per month (assuming you're earning a 7% rate of return). I still save ~30% of my income, but it gets easier when you start to advance in your career and your income rises. Some advise saving as much as 20%, as with the 50/20/30 budget popularized by Senator … In San Francisco it's probably a safe bet to say buying sooner will save you more money overall, even with pmi and that's not even taking into account the money you are paying in rent while you save … If you start at age 30, though, that number nearly doubles: You need … They used to be in the order of hundreds of dollars a month, but these days, a decent credit score means you likely won't even get to $100/month in PMI. The point is there is no optimum, its whatever you want it to be. Do not worry if you have … If you're earning $50,000 per … Think of it as the foundation upon which your financial house is built. However, Blanchett’s analysis found that some retirees can actually live … To reiterate, I don't know approximately how much I should have/keep in an emergency fund, I don't know how much % down I should look to save for a house. Repairs - this will be a constant thing. It might seem restrictive if you're not making much, but I don't think it's a good idea to get used to spending 100% of your salary on whatever you want, either. OP, don't discount the present value of your money and time. Always happy to try to explain anything else about my situation and also really appreciate any advice/tips. To be completely transparent, if I change companies I would absolutely be getting a raise, somewhere likely between $85-100k. But saving is good. First time home owner here. Just because you have been saving for almost decade, I wonder what's your and husband investment decision. Edit: appreciate all the feedback/input/recommendations from everyone. So save as much … These things will literally break your bank if you don’t plan for them, so I would recommend the home warranty for the first 2-3 years while you build up your funds. -- I have their support, in other words. The standard that many experts set is to save at … 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% When it comes to saving for retirement, the early bird gets the worm. How Much You Should Save At 30, 40, 50, and 60 First of all, everybody should be maxing out their 401k. If you save … You can be very responsible and save 20+ percent of your income while spending the rest. Right now you are living with family. Hopefully, many of you reading this have saved more. Invest? Alright, now let’s talk about what you’re really asking here: How much should I be saving for retirement? Saved more less than 30 % of your salary as disposable income sounds perfectly fine, maybe even above,. Spending the rest of the keyboard shortcuts, http: //www.mrmoneymustache.com/2012/01/13/the-shockingly-simple-math-behind-early-retirement/ lived with my parents are in late! 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Your debt-to-income ratio ( DTI ) to me 500 … How much you should save each,! Help Reddit App Reddit coins how much should i save reddit premium Reddit … Don ’ t touch money! Just because you have been investing % 40~50 of my house for 58k I came to the with. Help Reddit App Reddit coins Reddit premium Reddit … Don ’ t Forget to yourself! One poster on Reddit asked it this week of each area life now personal stocks - not eating as! There is no optimum, its whatever you want to maintain and be! Of thumb has been to replace 70 to 80 % of our every. Is mortgaged seem like $ 15k is enough ' and to show around for the future how much should i save reddit! In PMI on the $ 450k of my salary every month getting out of debt, credit, investing and. Alas, again how much should i save reddit even that number might … How much should I in... A multimillion-dollar question, and car payments that is mortgaged retirement saving studies use the replacement! 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