Since I started on my financial independence journey I am actively monitoring the amount of money I am saving. 

The PF / FI blogs outline a number of ways to calculate “savings rate”. Firestarter has summarised these. I am calculating these using my take home earnings as it keeps things simple for me. My take home earnings are deducted for 

– income tax

– national insurance

– pensions (via employer scheme)

The June savings come to 62% of my take home money. This is the maximum I have saved since I have started measuring these since February this year. The savings included 

– regular payments to tax efficient ISA (cash and shares)

– one off share buy (probably an impulsive buy)

– a small regular payment to a fund

– £100 to the emergency/ rainy day  fund 

 I am very happy with 62% however August to Dec are normally expensive months for me because of 
– professional memberships / insurances renewals (must for my work)

– car / travel insurance renewals

– my other half’s birthday

– Christmas 

I cannot do much about the first one but I must look at the other three and ensure that I keep my savings rates to a good level. 

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