How much should I be saving?

This absolute classic question is one we get asked a lot, particularly when working with people in their 20s and 30s.
 
“How much should I be saving?”
“How much should I invest?”
“Should I increase my monthly investment?”
“How much should go into my pension?”

And so on…
 
My response is always, “Loads”, “More”, “Definitely” and “as much as you can!”.
 
Why? Well, I have never, ever, met someone who has ever declared that they regretted investing or saving too much. It has never happened. I have only ever met people in their 50s, 60s and 70s who have regretted not saving and investing more.
 
Whilst in your 20s and 30s, save as much as you possibly can: start investing into the global stock market (caveat this with *in the right way*) andutilise as many tax-efficient investment options as possible (ISAs & Pensions). There can, quite simply, never be enough, and the more you put away now, the more you have to spend in the future, without having to work 50-hour weeks.
 
It really is that simple. Money saved or invested now, is just money for spending in the future.
 
This kind of conflicts with my other top advice that you should absolutely live for the moment, enjoy yourself, take adventures, invest in yourself, treat others and do whatever else makes you happy and content. No one lives forever right. Enjoying the here and now is priceless.
 
But just make sure it is truly balanced and you put away as much as you canwhile doing so. You will NOT regret it.


Alfie Mullan, October 2019