How much do you save

[maziwa]

I can't put a figure on the amount I save every month. What I have done is set up weekly automatic transfer from my regular account to my ING account. My company has a 403b instead of the 401k.

Apart from that I tend to be a non-spender (I recall a day or 2 when my siz has mentioned that am a miser- I don't strongly dispute). Since the paycheck is direct deposited, I just pay my bills and some kidogo matumizi and the rest stays in the bank.


Regarding the issue of saving for your kids college, I'm taking MUK's side on this one. One of the reasons why there are more white college graduates than the black/minority counterparts is the fact that white folks help their kids with college tuition. A lot of Kenyan students huku states (I donno about other places) hustle to get by college and since Kenyans are natural hustlers, enuff of them make it out of college with no or kidogo tuition as compared to Americans. But thing is if I can make my kids life a little comfortable than my life was I will do whatever i can and in retrospect i expect them to do the same for theirs.

[A.M Nafusi]

@MUK
U aint alone, few understand how it works; but it is quite simple.

I have a trusted circle of people (relatives & Friends) who give free investment advice and help.

Some of the tips wud be consireded illegal in some places, but heck! Who cares. A friend tells me whats going down in say BATco, and the shares are this, projected growth is that, company history is this, the product is hot...COUNT ME IN!

A house development project is up in Jamhuri: costs 2 million sell for 4 million, 4 people to raise capital, am in.

Things like that.

I am not a believer in pinching my paycheck to save elsewhere. Naaa...thats making the owner of that sack very rich. I prefer using my own money.

Like u, I do not listen to Suze. Lots of hot air. She was actually pinned down a while ago and she admitted her advice is not so good after all. I just check to see what Warren Buffet has to say about the economy.

In short, I take lots of risks. Some pay off some do not.

My deadline for risk taking is once my kids reach age 10. Way far away, until then...good lord have mercy.

[Jaugenya]

2000 euros.

[sahm]

My answer will be a bit off topic or should I say Few years old.
Until 2 years ago, I was a single working mum. I had a simple but strict budget. I put down all my expenses and then categorized them by needs and wants. In short, I had what i could not go without and stuff that i could let go of and survive the month such us Mc donald's, Dunkin donuts...
Then every month I would put an X amount for what was needed,eg. 200 for groceries, I think I put roughly 80 bucks for electricity, I would buy gift cards from BP for gas at the beginning of the month etc. If the electricity bill came to 65, I would write a check of 15 to the savings.My daughter(5yrs) and I would go out on Friday eve for dinner and a movie at the mall, and only ate McD's on sunday as a treat. Made all my meals at home.So at the end of the month, I would set aside 500 for savings plus all other savings that we had done.
To be honest, when I started out I was so deep in debt mostly from shopping and travelling. Within 6 months, I was so in track with my savings and it became so exciting watching my savings account grow. By then I had a full time job and started cleaning homes( yes nasty job) as a part-time job. In 12 months, I had paid off my cards, my car loan, and had college-savings account for mykid and was still saving 500 plus amonth.
That's history. I met my husband, and moved to sweden.
But for those that find it hard to save, it takes discipline and a serious plan.
For the kids college plan, only those with kiddos can understand theneed to provide the BEST for ones little ones. I think my paros gave me the best even though they were not financially well off.

[Jay-R]

Originally Posted by Nomaswazi

On a monthly basis?

Just wondering

I recommend ''The richest man in Babylon'' by George S. Clason ..it will give u simple and practical skills on saving n investing wisely.

[jasakwa]

Originally Posted by Nomaswazi

On a monthly basis?

Just wondering

There are so many variables that depend on you but as a general rule, 15% - 20% of your net pay should go to your monthly savings.That savings should be used for an emergency fund of up to 3-6 months income. That emergency fund money should go into something safe and liquid like a money market fund.

[Ester]

I just read a recent article on MSN money that reiterated Suze Orman's stand on why parents should not save for kids' college.

"No, it won't make you bad parents. It's fiscally irresponsible to spend your retirement money on your children's education."

Six reasons they gave:

1. You can't get a loan for retirement. Kids can get student loans, but there's no such thing as a retirement loan.
   
   
2. Education funds are not always the best way. Typical education savings plans may have drawbacks, such as: Limited investment options; difficulty predicting future tax benefits, and financial aid considerations (saving money in your child's name may hurt their chances of getting financial aid..).
   
   
3. Students should invest in their own education. Every year a number of freshmen trek off to college on their parents' hard saved money, only to spend more time the first few semesters partying than studying. Would they crack the books more if they were paying the bill?
   
   
4. Education doesn't have to cost as much as we're told. One college can easily cost twice as much as another, but is it worth it? Not necessarily, according to Kiplinger's annual college values report. The best education is not always the most expensive.
   
   
5. You may find it easier to pay for college when the time comes. The early years of raising children can be the most financially challenging. There's a high probability the family will have more disposable income when the kids are older, especially if both parents plan to work full time.
   
   
6. College is not the only route to success.

6 reasons not to save for kids' college - MSN Money

[mumgy]

Originally Posted by Ester

I just read a recent article on MSN money that reiterated Suze Orman's stand on why parents should not save for kids' college.

"No, it won't make you bad parents. It's fiscally irresponsible to spend your retirement money on your children's education."

Six reasons they gave:

1. You can't get a loan for retirement. Kids can get student loans, but there's no such thing as a retirement loan.
   
   
2. Education funds are not always the best way. Typical education savings plans may have drawbacks, such as: Limited investment options; difficulty predicting future tax benefits, and financial aid considerations (saving money in your child's name may hurt their chances of getting financial aid..).
   
   
3. Students should invest in their own education. Every year a number of freshmen trek off to college on their parents' hard saved money, only to spend more time the first few semesters partying than studying. Would they crack the books more if they were paying the bill?
   
   
4. Education doesn't have to cost as much as we're told. One college can easily cost twice as much as another, but is it worth it? Not necessarily, according to Kiplinger's annual college values report. The best education is not always the most expensive.
   
   
5. You may find it easier to pay for college when the time comes. The early years of raising children can be the most financially challenging. There's a high probability the family will have more disposable income when the kids are older, especially if both parents plan to work full time.
   
   
6. College is not the only route to success.

6 reasons not to save for kids' college - MSN Money

Those 6 points are a bunch of baloney...seriously people don't go to college JUST for success. Education is important that why she also went to college otherwise she would have chosen to stay home. Nobody is asking anybody to use their retirement money for educating their kids. I would set up a college fund for my children to make their life easier.

[A.M Nafusi]

Errr...actually Suze was a waitress who learned to save and cut coupons seriuosly. One can do it too; forego a social life and any fun for kiddo 20 years.


However, all the six points she mentioned, a dolt can figure that out without much effort. I mean it too.

Each time Suze is pinned down to do some serious investment analysis, she balks! Suze saved at a time when America was booming and was pretty ruthless at it. Shylocking and all!

Thats my beef wit her. She is only good at telling women why boyfriends with bad credit (those who leave u with a bad wig) are bad for wealth-such kinds of stuff. I wish to see her analyse trends in the market and try to project economic growth in some sectors (specifically those full of women). Teach people how to analyze a company's financial history and how long one needs to do that before taking that leap! Is that too much to ask?

[Eric Cartman]

I save "Big face hundreds"