tell me on
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General query, whats the average savings of a 35 year old in Ireland today? Not an easy subject to discuss with most people so Ill try this method.
35, no mortgage, single etc,
35, no mortgage, single etc,
How about asking the question a different way?
How much "should" you be saving?
A good rule of thumb is a percentage of your income that is half your age.
I've used this rule in planning meetings for the last couple of decades and it works reasonably well as a way to establish a relative reference point.
So a 35 year old should be saving around 17% to 18%pa of their income.
Maybe that helps..
So a 35 year old should be saving around 17% to 18%pa of their income..
Saving 400k after tax on a gross income of 60k over say 20 years seems nearly impossible. Factor in the first 5 years at least of earning a lot less than 60k.
Either the guy is a complete frugal or has additional income or has made lump sums doing something else or got inheritance/gifts.
That is a good rule of thumb. If I look at Swiss pension law: you join at 25 and start contributing 6-7% which is matched by the employer so total 12-13%. At my age I'm paying in 13%, which is matched by employer, so about 25% in total. So in all cases about half your age.
Jeez ok Jim, we get it, you're in Switzerland and its the business, change the record!
Unless you're 26 then I don't see the validity of that statement to a country where very few people have access to a scheme where the employer matches the employee contribution.
Unless of course we should all move to Switzerland, which clearly we should because as you never tire of telling us, it's so fantastic