My bank statements for 2013 show that I saved on average 17% of my net income. However, I dipped into my cash ISA, so the actual % is likely to be a lot lower.
In March, I discovered various blogs and websites (such as these) and I upped my savings rate to 26.5%.
This month, having drafted my own plan for early retirement and made a concerted effort to cut out unnecessary (well, most) payments, I have saved 34.6%! Still well short of my average target of 50% over the year, but I’m quite pleased with this start.
Here’s what I saved (I’ve used today’s date as I’m unlikely to be saving any more this month):
This month has been boosted by £8.82 from selling some books and CDs on WeBuyBooks.co.uk, £30 from a piggy bank I have at work, £75 Grand National winnings/profit (I didn’t quite cut out all unnecessary spending but came out on top...) and £235 rental income.
The funds in the ISA are all less than 6 months old. A few of the funds in the SIPP are a little over 12 months old, though most are less than 3 months old.
I did a bit of research on my fund selections but not a huge amount – I’ve just tried to have a mix of UK equity, global equity and bonds in each pot. My intention is to keep them for at least 3 years and see where we are then, whether I sell and reallocate.
After seeing Huw at Financially Free By Forty reach a milestone recently, I realised that I hadn’t set myself a monetary goal for the year.
A personal milestone of portfolio value £20k will be nice but a quick play around on my ultimate goal spreadsheet gives me the following to aim for:
This figure starts the ball rolling towards my ultimate goal. Any real deviation will require some adjustment to my spreadsheet and future savings and targets. Let’s hope I continue to see an increase in gains!