@@smann7236 You should always be investing a *portion* of it and saving the rest in a savings accout (because interest is a wonder). People do a lot of work to reach 5-10k, and if you take risks, you want to make sure you have decent savings to fall back on if a risk doesn't work out. Restarting from zero is doable, but it sucks. I am by no means a financial advisor, but that first 5-10k seems to be the largest hurdle for a lot of people. Your whole goal is to reach critical mass where you're exponentially growing, and for most of us that's *around* 10k.
This is very true, especially if you have financial anxiety like me (mother was an addict = insecure childhood, now forever paranoid about where I'm gonna sleep tonight, where next meal coming from, etc). I've actually found that £12k is the 'magic number' that helps me sleep at night. It's about your mindset as much as the money.
I found the best part about an emergency fund is that all my bills are paid a month early. I open my credit card bill knowing that it is already covered. Very little hits my mailbox that worries me. Having clawed myself out of a large debt that I acquired in my foolish youth, this was a huge turning point. Thanks to the cost of living crisis, I stumbled at the beginning of this year, made a couple of mistakes, and bills went to being paid on time, but I had the breathing room to find the cheapest way to solve the problem. This month I am back to where I was with a little cash left over. If I hadn't have had the emergency fund, recovery would have taken much longer.
There is no way of saying this without sounding out of touch, but for me personally, getting into the 10-20k mark made my life worse. Since I'm living with parents again, money stretches a lot further for me than most. I quit my job a few months ago simply because I didn't like my boss's attitude and wanted to "send a message". I haven't returned to work since. Whereas in the past, I put up with so much crap at other jobs because I was living paycheck-to-paycheck and had no other choice. I could aim towards getting my first house, but I'm scared of the commitment that brings. I hate the idea of not being able to walk away from a job when I want to. So I'm currently in a bit of limbo. Honestly, this safety has just made me lazy. I worked with so much purpose and enthusiasm when I only had a grand in the bank.
Totally agree you shouldn't stay in a job you don't like...the culture, your boss, the work itself, career development opportunities. But once you decide, just keep quiet and keep working. Instead, use your spare time to update your CV, send it out, apply, interviews etc...only once you get that offer do you hand in resignation. You can also honestly say you've got another offer. You may even get a counter offer (if you've impressed), but remember your original reasons. Also remember the grass isn't always greener...you will often have to deal with idiots in your career...and most often they will be your senior leaders. So I disagree anyone should advise such savings is so you can take a break. Emergency, sure, but not because you don't like your boss. I would also say defo use for deposit on your own property. A wise man once told me...as you progress in your career apart from the odd wobble, you will earn far more as you go. So a mortgage will become more affordable as you go (in terms of percentage of your salary). You just need to crack on and take the plunge. As the capital reduces, so will the speed of paying it all off. It just takes time. I'm nearly 50, and wish I could have told my younger self these things!! So this is my advice to everyone starting out. Yes it's scary, yes, don't stay in a job you don't like, but play the system and keep saving or investing... your elder self will be very proud!!
I have no idea why I watched this video, but I really like this advice. Especially the notion of breaking the goal down into smaller pieces. Such solid, quality advice. Thank you for your awesome video. You earned a subscriber.
@@upthegainsmoney Yes I do a mixture ,I realise premium bonds might not be the best if you only have £10 k total savings but there is always a chance to win that million,got to be in it to win it ,had them for years now and get something most months, mind you I have maxed out on the allowance and would not like to do the comparisons !
It's not something I would advise holding.as an investment. Perhaps they serve well enough as a place to store your 'liquid' cash when bank account interest rates are low. But their returns are appalling compared to any other investment instrument.
This is a brilliant video, I was quite lucky over the last 4 years and managed to save up £40k in savings. It is possible if you really work hard at saving every month and striving for better paid jobs.
I inherited 50K about 5 years ago. Its been a nightmare trying to keep it. It actually prevented covid payments/ support that millions got while I had to keep finding work.
if you had 50k in the bank, why would you of needed support from the government? I was self employed at the time and had next to no help until the government eventually gave us grants which we still had to pay tax on. meanwhile the PAYE employees got 80% wages for sitting at home during lockdown. In either situation 50k in the bank to fall back on would be great for most people.
You certainly have a lot more choice and a solid emergency fund so I would argue a lot has changed for you. But in terms of net worth exploding then 100k is certainly the figure to reach but you got to get to 10 before you can do 100. Keep it up.
Managed to save 30 grand over the course of the past four years by sacrificing and getting a new job etc. My next goal is buying a house - yet I'm full of fear about the economy crashing and being "tied down" to a mortgage. It's horrible. I know the finances of buying a house is better than renting, but now I have my safety net, it feels so hard to "let it go" into a deposit. You are completely right about the mental-health boost from having a safety net. I was once in 8 grand of debt, and did have those sleepless nights. Sometimes I leave a long work day and think "I could quit tomorrow and be fine for a year" and that really does help put things into perspective.
Owning a home is much more secure than renting. Mortgage will be paid up by the time you retire and the only changeable figure is the interest, you can manage this by buying a house you can afford and not stretching your money too far.
@@upthegainsmoney The best way for young people to starts saving is to stay living at home for as long as possible. So many teens want their independence as soon as they reach 18 or early 20''s, but this makes things alot harder in terms of saving. I personally got on great with my parents so never really thought about leaving home till I was over 25. I was actually able to save 90% of my salary doing precisely this. Later on I left full time employment due to a combination of some very poor treatment at consecutive jobs, and changes in the family situation. I retired from full time employment prior to reaching 40 and i'm unlikely to return unless certain criteria are met.
Fancy doing a guide for people who have never had more than that month’s wage in savings haven’t ever had more than 1000 pound in savings or just in my account at any given time when I get paid rent bills and child costs for the month take us to being left with about 78 quid we don’t have a a lot of subscriptions we don’t have multiple cars in fact I actually cycle everywhere but we genuinely are struggling to get by never mind save I’m a support worker and my Fiance is a recruitment consultant we have a basic car and have e started buying Asda yellow brands but still are left with in average of about 100 between us after everything is paid we are in a council property so rents like 4-500 per month and we weren’t really struggling like this 2 years ago but it just seems tighter and tighter every month we d take more work but I do 87 hours a week as is and my Fiance does deliveries when she’s not trying to keep childcare costs down it just feels like 2 steps forward 7 steps bad and we don’t know what we are going to do
@@upthegainsmoney appreciate the reply dude sure this stuff helps people in a better starting position but it may just be the differences in the uk and us
Hit £10k this Friday!. I gave myself 1 year to hit the goal and have done it in 10months!. Super buzzing and now the bigger goals
Incredible stuff! Keep it going 💯
What do you do with the 10k? Invest or save in account?
@@smann7236 it’s in S&P and Global All Cap plus some in Nvidia, ACMR
@@smann7236 You should always be investing a *portion* of it and saving the rest in a savings accout (because interest is a wonder). People do a lot of work to reach 5-10k, and if you take risks, you want to make sure you have decent savings to fall back on if a risk doesn't work out. Restarting from zero is doable, but it sucks.
I am by no means a financial advisor, but that first 5-10k seems to be the largest hurdle for a lot of people. Your whole goal is to reach critical mass where you're exponentially growing, and for most of us that's *around* 10k.
@@smann7236 ISA or savings account. it needs to be accessible in case of emergency.
Is absolutely love this take!!!
I’ve got a sizeable portfolio.
It started from aiming to save £1k.
Normalise having money
Amazing work! Keep it going 💪🏼
Unbelievable level of content from such a small channel. Huge thanks for this video in particular, looking forward to seeing more from you Sammie!
Thank you so much! Lots more to come!
This video will go big !
This is the motivation people need.
Appreciate that 💯🙏
Get rid of any debt first then your savings will blossom much faster not having those regular payments with interest going out.
Completely agree
Depends on the interest cost vs investment returns
This is very true, especially if you have financial anxiety like me (mother was an addict = insecure childhood, now forever paranoid about where I'm gonna sleep tonight, where next meal coming from, etc). I've actually found that £12k is the 'magic number' that helps me sleep at night. It's about your mindset as much as the money.
That's amazing! Whatever the number is that works for you is what you go for IMO!
I found the best part about an emergency fund is that all my bills are paid a month early. I open my credit card bill knowing that it is already covered.
Very little hits my mailbox that worries me. Having clawed myself out of a large debt that I acquired in my foolish youth, this was a huge turning point.
Thanks to the cost of living crisis, I stumbled at the beginning of this year, made a couple of mistakes, and bills went to being paid on time, but I had the breathing room to find the cheapest way to solve the problem.
This month I am back to where I was with a little cash left over. If I hadn't have had the emergency fund, recovery would have taken much longer.
Love this
There is no way of saying this without sounding out of touch, but for me personally, getting into the 10-20k mark made my life worse. Since I'm living with parents again, money stretches a lot further for me than most. I quit my job a few months ago simply because I didn't like my boss's attitude and wanted to "send a message". I haven't returned to work since. Whereas in the past, I put up with so much crap at other jobs because I was living paycheck-to-paycheck and had no other choice. I could aim towards getting my first house, but I'm scared of the commitment that brings. I hate the idea of not being able to walk away from a job when I want to. So I'm currently in a bit of limbo. Honestly, this safety has just made me lazy. I worked with so much purpose and enthusiasm when I only had a grand in the bank.
Totally agree you shouldn't stay in a job you don't like...the culture, your boss, the work itself, career development opportunities. But once you decide, just keep quiet and keep working. Instead, use your spare time to update your CV, send it out, apply, interviews etc...only once you get that offer do you hand in resignation. You can also honestly say you've got another offer. You may even get a counter offer (if you've impressed), but remember your original reasons. Also remember the grass isn't always greener...you will often have to deal with idiots in your career...and most often they will be your senior leaders. So I disagree anyone should advise such savings is so you can take a break. Emergency, sure, but not because you don't like your boss. I would also say defo use for deposit on your own property. A wise man once told me...as you progress in your career apart from the odd wobble, you will earn far more as you go. So a mortgage will become more affordable as you go (in terms of percentage of your salary). You just need to crack on and take the plunge. As the capital reduces, so will the speed of paying it all off. It just takes time. I'm nearly 50, and wish I could have told my younger self these things!! So this is my advice to everyone starting out. Yes it's scary, yes, don't stay in a job you don't like, but play the system and keep saving or investing... your elder self will be very proud!!
I have no idea why I watched this video, but I really like this advice. Especially the notion of breaking the goal down into smaller pieces. Such solid, quality advice. Thank you for your awesome video. You earned a subscriber.
Thanks and welcome to the channel 🙏
Thanks for sharing Sammie. Totally agree - bit sized goals is the way forward. It’s how i saved my Emergency Fund
Brilliant work!
Great video. Algorithm randomly feeding me this
Thank you 🙏
Love premium bonds myself ,monthly draws money safe what’s not to like. Gambling without risk.
Totally understand - I’d encourage you to look into win rates vs regular savings and also investing you might be surprised!
@@upthegainsmoney Yes I do a mixture ,I realise premium bonds might not be the best if you only have £10 k total savings but there is always a chance to win that million,got to be in it to win it ,had them for years now and get something most months, mind you I have maxed out on the allowance and would not like to do the comparisons !
It's not something I would advise holding.as an investment. Perhaps they serve well enough as a place to store your 'liquid' cash when bank account interest rates are low. But their returns are appalling compared to any other investment instrument.
This is a brilliant video, I was quite lucky over the last 4 years and managed to save up £40k in savings. It is possible if you really work hard at saving every month and striving for better paid jobs.
Absolutely love this! Well done
Great video this!
Thank you 🙏
I inherited 50K about 5 years ago. Its been a nightmare trying to keep it. It actually prevented covid payments/ support that millions got while I had to keep finding work.
Keep trying 💪🏼
if you had 50k in the bank, why would you of needed support from the government? I was self employed at the time and had next to no help until the government eventually gave us grants which we still had to pay tax on. meanwhile the PAYE employees got 80% wages for sitting at home during lockdown. In either situation 50k in the bank to fall back on would be great for most people.
I have saved £10k and nothing has changed. Things actually change at £100k.
You certainly have a lot more choice and a solid emergency fund so I would argue a lot has changed for you.
But in terms of net worth exploding then 100k is certainly the figure to reach but you got to get to 10 before you can do 100. Keep it up.
All true.
Whats the best thing to do with £25K??? I need investment advice
Managed to save 30 grand over the course of the past four years by sacrificing and getting a new job etc.
My next goal is buying a house - yet I'm full of fear about the economy crashing and being "tied down" to a mortgage. It's horrible.
I know the finances of buying a house is better than renting, but now I have my safety net, it feels so hard to "let it go" into a deposit.
You are completely right about the mental-health boost from having a safety net. I was once in 8 grand of debt, and did have those sleepless nights. Sometimes I leave a long work day and think "I could quit tomorrow and be fine for a year" and that really does help put things into perspective.
Absolutely love this - well done for securing yourself!
Owning your home is security , you will eventually pay your mortgage and enter your retirement without this huge expense.
Owning a home is much more secure than renting. Mortgage will be paid up by the time you retire and the only changeable figure is the interest, you can manage this by buying a house you can afford and not stretching your money too far.
£10k would actually cover all my Rent, Council Tax, Energy & Phone bills for 1 year.
Even better!
@@upthegainsmoney The best way for young people to starts saving is to stay living at home for as long as possible. So many teens want their independence as soon as they reach 18 or early 20''s, but this makes things alot harder in terms of saving. I personally got on great with my parents so never really thought about leaving home till I was over 25. I was actually able to save 90% of my salary doing precisely this. Later on I left full time employment due to a combination of some very poor treatment at consecutive jobs, and changes in the family situation. I retired from full time employment prior to reaching 40 and i'm unlikely to return unless certain criteria are met.
1000 pounds is allot to me if your currency is the Rand
Fancy doing a guide for people who have never had more than that month’s wage in savings haven’t ever had more than 1000 pound in savings or just in my account at any given time when I get paid rent bills and child costs for the month take us to being left with about 78 quid we don’t have a a lot of subscriptions we don’t have multiple cars in fact I actually cycle everywhere but we genuinely are struggling to get by never mind save I’m a support worker and my Fiance is a recruitment consultant we have a basic car and have e started buying Asda yellow brands but still are left with in average of about 100 between us after everything is paid we are in a council property so rents like 4-500 per month and we weren’t really struggling like this 2 years ago but it just seems tighter and tighter every month we d take more work but I do 87 hours a week as is and my Fiance does deliveries when she’s not trying to keep childcare costs down it just feels like 2 steps forward 7 steps bad and we don’t know what we are going to do
Sorry to hear that! I totally understand it’s not easy right now
@@upthegainsmoney appreciate the reply dude sure this stuff helps people in a better starting position but it may just be the differences in the uk and us
@@P-diddleton-the-4thyour rent is low and children don't stay small forver
Bro sounds identical to Tom Birchy
Had this a few times 😂
🙌🏾🙌🏾🙌🏾
🙏🙏🙏🙏