What is the average man suppose to save each year?

[Journeyman]

I am somewhat of a miser, never really spending money on high dollar items, I always have been a 'saver' .... not even sure why, other than I like the idea of not having to worry about money in an emergency...unless of course it was catastrophic situation....anyway i was curious what would be the average person's % saved each year?

example ; You make X amount and how much of that should be saved?


No matter what I make I try to save every penny, I would call it somewhat of an obsession...I will probably never spend it

 

[Noreaga+]

10%

 

[panther]

j man

30% of your disposalable income

panther

 

[Fishhead]

10%

That is what the financial experts suggest.

-F-

 

[blueedwards]

10%

i think if you can save 10% of gross pay...you are ahead of most people (but not ahead of panther). my goal is higher but, i have more expenses now...

 

[Journeyman]

10% wouldn't really add up to quick for the average guy...

I try to save 90% of disposable income...yes it may seem a bit extreme

 

[Fishhead]

10% wouldn't really add up to quick for the average guy...

I try to save 90% of disposable income...yes it may seem a bit extreme

HUH?

:lolBIG:

????????????????

The boys across the street are going to love this one.

 

[RPM]

if you can save 6% of gross income you are doing very well. and jman, 6
% if invested properly can add up very quickly when you factor in compounding interest....

 

[Journeyman]

I di say disposable income Fish....that means anything other than the standard bills..yes i do try to keep it at 90%...

I think its a compulsive disorder to be completely candid....if i had a million, I would want two...its not really a good thing.

 

[G.MONEY]

J-man...not Compulsive At All, Once You Have 100k You
Want 200k And Once You Have 1 Million You Want 2 Million. It Is Only Human Nature.

 

[ironlock]

The US savings rate averages under 2% of income....YES, you heard me right....2 freaking percent.


Obviously, the more money you make, the easier it is.

 

[Journeyman]

J-man...not Compulsive At All, Once You Have 100k You
Want 200k And Once You Have 1 Million You Want 2 Million. It Is Only Human Nature.

I really think if I had a million I would get a boat big enough to live on and I guarantee you i would not be worrying about that next million!

 

[SVT_Cobra]

Wait a minute. You're supposed to save some money???

 

[nimue77]

It's natural.

J-man...not Compulsive At All, Once You Have 100k You
Want 200k And Once You Have 1 Million You Want 2 Million. It Is Only Human Nature.

 

[WildBill]

I think you should aim for 20% and don't give yourself any excuses. Find ways to live below your means. Saving 10% is fine if you never spend money you don't have, but since most do you need a higher base. Even better save 20% and then every time you get a raise, push it up a couple of percent. In time you will find you are saving over 30% and you won't even miss it.

I just did the math a few days ago, I am at 37%. Got 20% into the 401k, about 10% into stock purchase plan and the rest is a monthly draw sent to Vanguard. It wasn't that long ago, about 6 years, I was $40k in debt and lost my job. I turned it around in just 4 years by realizing saving money first was the only way to go. Do it before you even pay off your bills.

 

[THE SHRINK]

You can always Marry RICH, as Dante did...:grandmais

 

[Journeyman]

You can always Marry RICH, as Dante did...:grandmais

I thought Dante married Joe not Rich?:hump:

 

[LEYKIS101]

I think you should aim for 20% and don't give yourself any excuses. Find ways to live below your means. Saving 10% is fine if you never spend money you don't have, but since most do you need a higher base. Even better save 20% and then every time you get a raise, push it up a couple of percent. In time you will find you are saving over 30% and you won't even miss it.

I just did the math a few days ago, I am at 37%. Got 20% into the 401k, about 10% into stock purchase plan and the rest is a monthly draw sent to Vanguard. It wasn't that long ago, about 6 years, I was $40k in debt and lost my job. I turned it around in just 4 years by realizing saving money first was the only way to go. Do it before you even pay off your bills.

Nice going Bill. Its really easy to get into debt, tough to make it a point to keep out and save.

The reason the U.S. savings rate is so low is because so many are in serious debt. :sad3:

 

[THE SHRINK]

I thought Dante married Joe not Rich?:hump:

Jman,

You are correct..

He married Joe before he came out of the closet, then divorced him for RICH...

I understand that there may have been a 3rd before the others, but I can't remember the name offhand...

I think it starts with an F and swims...:drink:

THE SHRINK

 

[WildBill]

Nice going Bill. Its really easy to get into debt, tough to make it a point to keep out and save.

The reason the U.S. savings rate is so low is because so many are in serious debt. :sad3:

The reason we are in trouble is because of not only our debt habits, but our so-called savings habits as well. So many people think of houses as the only savings they will ever need. People have stopped thinking of houses as places to live and have put them into the realm of pure investment plays. That isn't healthy because housing investments are full of dead money and way too inflated expectations.

Getting into debt is easy indeed, I didn't exactly have a lack of income. I just had a lack of discipline. As many Americans do, I was living as if I had already received my next few raises. No expense was worth reviewing, no expenditure worth reconsidering.

If you are having a difficult time saving here is one of the easiest ways to save. Whenever you spot something discretionary you want to buy over a threshold amount, say $20, institute a 24-hour rule. You can't allow yourself to buy it unless you have waited 24 hours. You would be amazed how often you see something today you want, go back tomorrow and realize you really don't need it. I instituted this rule on myself years ago and still follow it mostly today. After awhile you realize how materialistic you can get and in time realize fewer and fewer things around your house are wasted impulsive purchases.