Learn How Much Money Should You Be Saving for Retirement!

Retirement is a goal that the majority of workers strive to accomplish after working hard for decades. Many Americans plan on retiring at 65, but most people nowadays are trying to move this back and retire earlier. No matter what age you're thinking of settling down, however, it's essential to acknowledge the importance of saving money for retirement. If you don't separate a specific amount from your monthly income regularly, sustaining a stable livelihood will be almost impossible during your retirement. 

After you understand the gravity of sparing extra cash each month, you may wonder, "How much should you be saving for retirement?" Most financial experts recommend people save between 10% to 15% of their net income each time they receive their paychecks. Some professionals will extend that limit to 25%, while others suggest to stay at 10% and nothing more. If you want a comfortable retirement, you can consider replacing 80% of your pre-tax income. However, if you have a low income, you can reduce that percentage to replace 50% to 60% of your current earnings.

As you can see, the amount you should deposit in your retirement savings will differ depending on your income and preferences. If you have a luxurious lifestyle, that can also influence the total you can contribute since you may not have enough cash to spare for retirement. If you're considering settling down at a young age, you must prepare yourself for larger payments to attain your desired goal.

Ensure you consider the factors above before you start saving money for retirement. Once you determine an appropriate amount that fits your preferences, you must find a preferable savings vehicle and work towards your retirement objective. 

Where Can You Save Funds for Your Retirement?

When it comes to saving cash for your retirement, you may have heard about some common options like a traditional 401(k) and a Roth 401(k) plan. If you're unfamiliar with these programs, it's important to understand that these savings vehicles are employer-sponsored retirement accounts. Not every organization offers 401(k)s to its employees, so you must ensure that you speak with your employer to discover if these plans are available. 

In case you don't know, a 401(k) is a retirement account that offers tax benefits to its contributors. Through a traditional 401(k) plan, you don't have to pay any taxes on deposits in your account until you withdraw money during your retirement. On the other hand, a Roth 401(k) will require that you pay taxes on every contribution, but you don't have to worry about paying taxes when you take out cash during your retirement! 

Unfortunately, many workers don't have the choice of picking a plan between both options. But whichever program is available, you can expect to meet your retirement goals and live a comfortable life. What if an employer doesn't offer any 401(k) plans, though? Don't worry! You can always consider independently applying for a traditional IRA or Roth IRA instead! Both options share similar features to the 401(k) alternatives, but you may have a comparatively low contribution limit.

Keep in mind that other opportunities are available to help you save for retirement, such as a Simplified Employee Pension plan (SEP), a Health Savings Account (HSA), a self-employed 401(k), and a SIMPLE IRA. If you're unsure where to contribute for retirement without a 401(k), you can speak with a financial expert for advice on the best places to allocate your money. Even if you have the opportunity to access a 401(k) plan, you can still talk to an advisor about things to know before enrolling.

How Can You Save Cash for Retirement?

Using the right money-saving techniques is essential in reaching your retirement objectives. If you don't follow a proper budget system and are frivolous with your spending, you won't have enough funds to reach your retirement! Thankfully, various budget plans are available that can help you be frugal and work towards a sturdy retirement, including the following effective methods:

• The 50/30/20 Rule: Ask any financial expert about good budget plans, and they'll probably mention this system as one of the best techniques. The 50/30/20 rule is a simple technique that recommends you spend 50% of your money on needs, 30% on wants, and 20% on savings, like your retirement account. Of course, a portion of that amount should also go towards an emergency fund in case you need it. However, you can always apply for loans like a personal loan or a car title loan if you don't have any funds available for an unexpected expense.

• The "Pay Yourself First" Method: It's tempting to spend your money immediately once you have your paycheck. However, the "pay yourself first" method suggests spending a portion of those funds on your retirement account before you use them on anything else. That way, you can restrict your impulse purchases and focus on saving cash for your retirement.

• The Envelope System: If you're a fan of splitting things into categories, then the envelope system is exactly what you're looking for. Through this budgeting method, you will create a group about a specific expense, like food or gas, and deposit a portion of your income into that category. You can use the envelope system to keep track of your spending and ensure you contribute an amount of cash into your retirement savings.

• The No-Budget Plan: Sometimes, the best way to save money is to have a simplified plan. Instead of working with an intricate budget system, you can easily split your expenses into two groups that include your savings and fixed payments. Once you spend your money in those categories, you don't have to worry about your remaining balance. What's important is that you prioritize your urgent expenses and allocate a portion of your finances toward your retirement.

Whichever budget plan you use, it's essential to put effort into saving money for your retirement account. Although employers typically deposit your established total into your savings, you must be frugal with your spending to cover your fixed expenses without any issues. Don't hesitate to research other budgeting options online to find a technique that works best for you. 

Conclusion ─ Stay Consistent with Your Retirement Savings

Choosing an amount for your savings is only a part of the work you have to do to reach your desirable retirement. After you select your preferred savings vehicle, you must pick a budget system that will keep you on track toward your future motives. If you're inconsistent with your savings, you may have financial difficulties when living your golden years.

Talk to a financial expert today if you need guidance on saving for your retirement. They may help you establish your long-term objectives and help you understand how to create reasonable budget methods to attain financial security during a later stage in your life.

The Power of Micro-Saving: An Effective Tool for All Budgets and Incomes

Micro-saving is a financial strategy that emphasises saving small, manageable amounts of money over time rather than making large, infrequent deposits into a savings account. This approach is particularly effective for individuals who struggle to save due to limited income, inconsistent earnings, or a lack of financial discipline. By breaking down the saving process into tiny amounts, micro-saving makes the act of saving accessible to everyone, regardless of their income level or financial situation giving you the money saving help you need.

Who is Micro saving best for?

Micro-saving is ideal for those who find traditional saving methods challenging. This includes individuals living paycheck to paycheck, freelancers with fluctuating incomes, or anyone who struggles with the idea of setting aside large sums of money. The beauty of micro-saving is its flexibility; it can be tailored to fit any budget, making it a universally applicable strategy. Whether you’re saving for an emergency fund, a vacation, or just building a habit of financial discipline, micro-saving offers a way to achieve those goals without feeling financially strained when you are living on a smaller income.

Micro saving may not be best for those who want or need to save a large amount of money in a short time but will work for those who are just starting to build habits.

How Micro-Saving Works in Daily Life

We know why saving money is important and Micro-saving allows you to start small and build from there. For example, instead of trying to save £100 each month, you might commit to saving just £1 or £2 a day. This might seem insignificant, but over time, it adds up. By the end of the month, you could have saved around £30 to £60, without feeling the pinch.

Let’s say you buy a cup of coffee every morning for £3.50. With a micro-saving mindset, you might decide to make coffee at home a few days a week, saving £3 each time. You could then transfer this saved amount directly into a dedicated savings account. Over the course of a month, this small change could help you save an extra £12 to £15.

Additionally, many banks and financial apps offer automated micro-saving features. These might round up your purchases to the nearest pound and deposit the difference into a savings account. For instance, if you spend £6.75 on lunch, the app would round it up to £7 and save the £0.25 for you. Though it’s only a few pennies at a time, these micro-savings accumulate steadily, helping you grow your savings without any extra effort. This is a great way to form habits which won’t impact your monthly budget heavily.

The Benefits of Micro-Saving

Micro-saving is powerful because it builds a habit of saving and creates momentum over time. It proves that saving doesn’t require a significant income or drastic lifestyle changes. Instead, it’s about consistency and finding small ways to save daily. This approach makes saving money feel less daunting and more achievable, even for those on tight budgets. By starting small and being consistent, anyone can use micro-saving to build financial security and reach their savings goals, no matter how modest.

There Are Many Ways to Save

According to the survey, tuition costs have hugely increased over the last decades, shifting the financial burden to students and families. Currently, the average published tuition and fees for public four-year colleges are more than triple the levels of the 1985/86 academic year.

This all happened while median household income only increased about 20 percent over the same period. The consequence is that students became liable to enormous fees just to earn a college degree.

With costs gradually increasing and students being responsible for earning the finances, they do whatever they can to reduce college costs. In an attempt to save some money, students can, for example, purchase textbooks from previous users or share bills and expenses with flatmates. Today’s undergrads need to look for every opportunity to make a coin...

To ease students’ lives, schools have even introduced textbook rental, open source, and other strategies to help solve the problem. However, as the above-mentioned strategies suggest, the reality is that college costs continue to be a towering barrier for most students. Thus, radical new approaches to college cost reduction are sorely missing.

This article aims to identify the various approaches and tactics that students use and attempt to implement to reduce the financial burden of increasing tuition fees. In particular, this will relate to the most necessary educational attributes that require essential financing – textbooks.

Why Renting Books Is So Much Advantageous?

Here are some of the main advantages of renting textbooks rather than buying them:

1. Less expenses— is a lot cheaper than buying a new book: half the purchase price and even less. This helps make textbooks cheaper.

2. No need to resell—With the open-source system, students do not have to bother about reselling their books at the end of a term. The rental company takes care of both sending and receiving rented books. This will eliminate scenarios of spending considerable time waiting in campus bookstore queues.

3. Accessibility—Rental programs ensure that textbooks are within reach for students unable to afford expensive ones. This contributes to enhancing educational attainment parity.

4. Convenience—Students do not have to carry heavy books. It also applies to eTextbook rentals. Besides, rentals are often easily extendable in case students need books longer.

5. Sustainability— purchasing and disposing of printed books. Digital rentals minimize paper use, as you only need to download what you need to read.

All in all, renting textbooks is more effective than buying because it is less expensive, time-efficient, and requires less effort. It enables students to have more convenient access to textbooks, which is beneficial for the environment.

This is an enormous benefit for university and college students as they can easily access their study materials at an affordable price. Hiring books makes them cheaper and easily manageable in terms of availability, access, etc.

BooksRun's Rental Service for Students

BooksRun is a reliable online bookselling platform where students can rent educational materials as well as almost any other books they need. Their rental services are easy to use and only require a few steps to make an order. After an order has been made, it will take very little time for the book to be shipped, and you can track the shipment.

BooksRun also makes it easy for its customers to return the rented books. The service offers free shipping with a prepaid shipping label to make the entire rental process cheaper and more convenient.

Rental Terms

You are not charged extra fees if you send back the book before the term you agreed on while renting, which can be 30–360 days. You can also extend your rental for 15 days for $15. On its website, BooksRun states that it wants to help students  “focus on studies without breaking the bank.”

Rental Returns

The return process is also flexible to suit the renters’ convenience. If you finish your book much earlier than the due date, you can return it back without any additional charges.

To return a rental, customers can use a prepaid shipping label. The company recommends this option to avoid unnecessary shipping expenses. Customers are required to return the book in the same condition it was provided in and pack it well to avoid damage while in transit.

On return and reception, BooksRun will determine the book's current condition compared to the state it was rented out. Extra charges may be applied if highlighting, writing, or damage is observed during the examination.

Keep in mind that if you return a book that does not meet BooksRun’s standards, they state, “If a rental item is damaged by User to the point of being unusable, User agrees that a purchase price will be charged..”

Why Rent Books with BooksRun

Renting textbooks and books through BooksRun offers a level of convenience and cost that is not afforded by purchasing them. The prices, free shipping, the ability to choose the rental period, and the convenient return policy are the obvious advantages of the BooksRun service.

BooksRun rental services are suitable for everyone who loves to read but especially for students. While textbook prices remain high, students are on the constant look-out for ways to reduce their college costs. Therefore, renting textbooks can be an affordable and less anxiety-provoking alternative.

Final Thoughts

When you consider all the benefits of rental services and BooksRun's example in particular, it becomes clear that the latter is committed to making online book rental the most convenient and sensible option for all readers, especially students. So, if you're looking for ways to find books cheaper than their bookstore price, consider book rentals and check BooksRun. They offer transparent processes and strive for a customer-friendly and smooth experience.

If you are saving up to buy your first home you might be finding it difficult to stay on track, most people find it a challenge to save for a long period of time as this could mean your lifestyle has had to be altered. You may have to change your mindset first so you can stay focused on your goals and the reason you are saving, whatever that may be for you.

Saving for your deposit will depend on the cost of the house you are looking at as mostly you will have a 10% deposit meaning you need to save 10% of the overall house price.

Mojo Mortgages have provided 12 hacks which you can use to save an extra £7,130 towards your house deposit on top of anything you already have.

12 money saving hacks

Aldi was nominated as the UK’s cheapest supermarket with the average price of a weekly shop costing £118.41 for 65 items compared to £151.01 in Waitrose.

The cheapest way to shop has been suggested as shopping in multiple supermarkets to find the best deals and to use loyalty cards too.

Make sure you are shopping effectively to help your money go further.

Compare supermarkets in the UK

Aldi Prices

Aldi skips branded items providing low cost items which have little difference to the original. Many other supermarkets have taken on an ‘Aldi price match’ where you can find your favourites for the same cost as Aldi’s. Skipping the premium brands means skipping the marketing fees too delivering their customers with a weekly shop for less.

Lidl Prices

A close second cheapest UK supermarket is Lidl with very little difference in price between most items. So this is another great option if you have a Lidl near you rather than an Aldi.

The average price for a shop of 65 items came to £121.31.

Tesco prices

The third cheapest was Tesco in the survey done by Which. This shop was conducted with the use of  a Tesco Clubcard so make sure to sign up if you shop here.

The average price for a shop for 65 items came to £130.90.

For 174 items shopping with a Clubcard at Tesco was the cheapest costing, £439.58.

Asda Prices

Asda came in as the fourth cheapest only just being beaten by Asda.

The average price for a shop for 65 items came to £131.42.

For a large grocery shop Asda came in second with an average price of £442.12 for 174 items.

Waitrose Prices

It may not come as a surprise that Waitrose ranked as the most expensive UK supermarket.

The average price for a shop for 65 items came to £151.01.

The Government’s target for all new cars and vans to have zero emissions at the tail pipe by 2035 is why by the end of June 2024 there were 1,145,000 fully electric cars in the UK.

Having an electric car is much better for the environment but is it better for your wallet?

Electric VS Petrol

Initial costs of the car

Buying an electric car is still more expensive than buying a petrol car making it difficult for many to make the switch.

Charging VS filling with petrol costs

Charging an electric car with an at home port costs on average £15.10 for 200 miles. This is added on to your overall energy bills.

Filling your car with petrol costs on average around £100 for 200-400 miles.

Electric have the disadvantage for needing to be charged more often as they don’t make long distances. They are much better suited to short drives and city driving. Despite charging being cheaper this takes a lot longer than filling up a petrol car as even a rapid charger as they have on motorways takes around 30 minutes and costs on average £26.

Road tax costs

Road tax price is dependent on the CO2 emissions from the car.

On average road tax for a petrol car costs between £30-2,265 with the more expensive cars being charged more for tax.

Hybrid cars cost on average £0-135 for road tax.

And Finally, fully electric cars cost £0 for road tax due to their environmental advantages.

Insurance costs

The Independent reports that those with electric cars pay almost over double for insurance than those with petrol cars, an average of £1,344.

On average, those with petrol cars pay £924 for insurance.

This is due to the cost of repairs and the materials needed for electric cars. Batteries for electric cars are also hard to fix and the parts are hard to find. There are also fewer mechanics trained on electric cars however with the rise in popularity this should change. Finally, there are a higher number of claims on electric cars causing insurance policies to increase the price.

Which one costs less to run?

Pod point reveals that on average it costs £528 less to run an electric car than a petrol car.

Data shows that electric car owners save on filling the tank as they avoid the cost of petrol. Additionally, maintaining and servicing an electric car can often be a lower cost too.

At the beginning of July Ofgem announced a price drop for energy bills, however this is not set to last for the long haul. Unfortunately, energy prices are set to increase again before the winter months.

So, you may be looking for ways to reduce your energy bills?

There are lots of ways to do this at home by becoming creative and proactive, one way is to have a smart meter installed so you can track your energy usage efficiently.

You could save money with a smart meter if you use it to its full potential.

Getting a smart meter installed

The government have set a target for smart meters to be installed in 74.5% of homes and 69% of small businesses by the end of 2025. Many homes already have a smart meter but if not your energy supplier should offer to install one soon.

If you want one sooner, you can call them up to inquire about having one installed which they will do free of charge and should explain to you how it works too.

You can have a smart meter even if you are renting or on a pre-payment plan.

Having a smart meter has a lot of benefits if used correctly not only to save you money but also to reduce energy usage which helps the environment too.

The benefits of a Smart Meter.

• The Meter will automatically send gas and electricity readings to your supplier so they can charge you accurately without you having to do a thing.
• By using the in home display the meter will show you in pounds or in KWH how much energy you are using so you can keep track of it. To begin it will give you a baseline of your energy usage which you should take note of. This way when you then go to turn on/off appliances you can see how much this adds or saves.
• If your baseline is 0.19p an hour and you turn off your kitchen lights and the price drops to 0.13 then you know the light was costing you 5p an hour.
• You can identify which appliances around your house are costing you the most so you know to make sure these are turned off properly and used as little as possible if you are trying to save.

This year the Amazon Prime sale days will fall on the 16^th and 17^th of July. This is the 10^th year in a row for the Amazon Prime day and is a great way to save money on an item you have wanted, buy for birthdays or even get ahead and start your Christmas shopping.

There will be new deals released throughout the event so you can keep going back to search for that special item.

The deals are only available to Prime members so make sure you sign up in time.

The Vice president of Amazon Prime revealed that prime members saves over $2.5 billion during the 2023 prime day.

Members only invite

Members of Amazon prime will be sent invites to those extra deals, so request those invites so you don’t miss out.

The top invite only deals include 40% off Sony wireless headphones and up to 30% off Peloton products.

A sneak peak at what’s on offer

Back to school and college products such as 40% off on Amazon Basics school supplies as well as 40% off Amazon essentials crew necks, hoodies and joggers.

Keep a look out on these influencers pages as they will be dropping exclusive deals in the run up to the event.

The influencers include, Jess Sime, Millie Bobby Brown, Alix Earle, Jared McCain, Monet McMichael, Alyssa MacKay and Meredith Duxbury.

From July 8-15^th they will pick their favourite products and provide an early access deal.

Tips to prepare

Sign up for prime if you’re not already as this is the only way to shop the deals.

Amazon are helping you prepare and if you have an Alexa device then you can set up alerts for items in your basket when they go on sale.

Sign up for the invite only product page to be in for a chance as viewing only the top deals.

It’s festival season with Glastonbury beginning today with headline acts from Dua Lipa, SZA and Coldplay. With millions of people planning their festival weekends full of music, dancing and probably a lot of mud after paying for your tickets you might be hoping to keep the costs down once you arrive.

There are lots of ways you can keep to a budget whilst at the festival.

If you want to have a mini break this summer without the stress and prices of flights then don’t forget the UK has some great places to visit too!

There are cities, countryside and beaches to see in the UK so there’s no need to try to organise a week where the whole family stresses about flight times, sun burn or what food the kids will eat.

Edinburgh

As the capital of Scotland this one of the most popular UK destinations and we understand why. With the history, views, mass of restaurants to choose from as well as lots of activities Edinburgh should be on your list.

It is easy to get to with a quick flight, or take the car and make it a road trip stopping off a long the way!

Whilst you’re there,

• Edinburgh castle
• Wander around old town
• See the views from Calton hill
• National museum of
• Day trip to the highlands

The Lake District

Why not take some time in the outdoors this summer and visit the lake district?

The national park in Cumbria offers, of course, large lakes for swimming and paddle boarding as well as quaint towns such as Ambleside and Kendal to stop by a café to have a cake. Lot of different walks where you can choose to go up a fell mountain or stick to the flat and equally beautiful paths.

This is a place or everyone with activities for all ages and groups, from historical sites, kayaking, climbing and so many more it will be hard to choose.

Choose a campsite or a cottage to stay in meaning the price range will suit everyone here.

Cornwall

If you wanted a beach getaway then England can supply too. Cornwall is at the bottom of the country and has some of the most beautiful beaches as well as more quaint British towns such as, Padstow where you can find some delicious fudge.

A popular destination for families and full of campsites or bed and breakfasts by the beach. Lots of people choose to go surfing here as well as crab fishing by the docks.

Even if the weather doesn’t co operate this will be a great adventure exploring what England can offer.

Bath

Another City that is overflowing with history and charm. Known for their Roman built baths, so you should spend a day at the Thermae Bath Spa offering the same natural hot spring water. Head up to the roof for 360 views of the city as well as indulge in some spa treatments.

The place Bridgerton is filmed, scenes from Les Misérables an episode of Sherlock and more, see if you can spot the locations.

Climb 212 steps to the top of the Abbey Tower for a view of the city and explore the heritage centre.

Bath can offer a city feels with the country side not so far away, with the cobbled streets and small tea shops as well as lots of restaurants and bars you can get the best of both worlds.

We all know that part of going on holiday is first spending a ridiculous amount of money at the airport. Whether that is just getting there to begin with or getting an extra bag on the plane or having a pre-flight breakfast in a café that seems to have their prices 10 times higher than your local one.

London Gatwick has been report numerous times at the cheapest UK airport to fly from, however flights vary massively depending on location and time of year.

There are some ways you can save money at the airport.

The February half term is here and many families are planning trips and days out for the week ahead. Trying to find activities that the whole family will enjoy and that won’t put a strain on your bank account can prove quite difficult.

We have found free activities you can do at home or lower cost days out to plan for the week. Spend time with your kids without worrying about the cost.

Go Camping!

Finding a pitch to go camping can be a low cost plan for a one night stay or more. Find campsites near you using Pitchup. Pack lots of layers in the car and head over to spend a night under the stars. You could find a campsite which will host events for the kids but if not, take a stroll around the countryside and see what wildlife you can spot. Reserve a campfire to roast marshmallows,

To make this even more budget friendly, you can pitch your tent in the garden, make some s’mores and tell spooky stories for the night. The kids will love the idea of making a bedroom in the garden and you don’t have to spend a thing.

Make a den inside!

The February weather may make you lean towards more indoor activities and we don’t blame you! Why not try out den making? Push the chairs and sofa’s together, bring down all your sheets and work as a team to build to ultimate den. You can create a name for the new kingdom and give everyone a role to defend the land, get the kids working together and spark their imaginations.

Host a mini Olympics!

Set up an obstacle course and make them jump through hoops, literally. Set it up outside, or in the house if you’re brave and select fun prizes for them to win for each round. This could be chocolate or it could be choosing the movie the family watches that night.

The egg and spoon race, beanbag race (using pillowcases), set up a course around the house and see who gets to the finish line first, use chairs and soft cushions to slow them down and make them jump over them.

This will be great entertainment, for you and the kids and will result in very tired children by the end of the day. Keeping them active, engaged and entertained.

Visit your local farm park!

There are farm parks all across the UK and usually with low entry costs too. Take the kids to visit the animals and learn all about farm life. This is a great way for kids to learn and being around animals is always positive, they could even feed them.

Craft days!

Getting messy and creating something fun is usually a hit and you can do this at home for a low cost. Visit your local Hobbycraft or other craft store and pick out something fun. At Hobbycraft you will find ceramic money boxes which you can paint. For £5 you can choose from a wide variety of characters including a dinosaur, a fairy, a car, an octopus and more and it comes with the paint and the brushes already. Lay down a sheet on your table at home and let them get to work. Once they are done they will have a creation of their own, and a place to keep any pocket money too.

You might also find that the Hobby craft near you is hosting workshops that are only £5-8 to join in on activities like canvas painting and making clay animals.

Make a photo album!

Let your kids create a book of memories that you can all enjoy looking back on. Help them pick the photos and add them to a book. Write notes for each picture and go wild with creativity. Even with the finger marks, the bad spelling or the smudges, this will be something you can look back on as your children write messages about each memory in the photo.