Finance advice for a 22 year old

[Condi]

DonkeyApple said:

In relative terms to expected salary growth of a youngster with prospects absolutely they are. The rate of growth has slowed dramatically.

Not sure I agree, not many youngsters are going to get an 8% pay rise year on year.

[brickwall]

Condi said:

DonkeyApple said:

In relative terms to expected salary growth of a youngster with prospects absolutely they are. The rate of growth has slowed dramatically.

Not sure I agree, not many youngsters are going to get an 8% pay rise year on year.

In the OP's situation I would say gross salary growth of 8% per year is probably conservative. The early years of a career tend to have the largest % pay-rises in a relatively short period.

[okgo]

Condi said:

Not sure I agree, not many youngsters are going to get an 8% pay rise year on year.

I'd say that if they're only getting 8% on average over say 5 years then they're a total mug - I'm on 25% per year for the last 5 and I don't think that is particularly rare for people who have any kind of thought about moving up a ladder.

That was from 23-28 so quite relevant to the OP.

One bit of advice - have a bit of fun. Tbh I'd probably move out, staying at home because you get everything done for you is pathetic. And there is more out there than that. Also you can live awfully comfortably without knocking round your parents house like some weird live in carer into your late 20's.

Edited by okgo on Saturday 24th September 21:45

[DonkeyApple]

Condi said:

DonkeyApple said:

In relative terms to expected salary growth of a youngster with prospects absolutely they are. The rate of growth has slowed dramatically.

Not sure I agree, not many youngsters are going to get an 8% pay rise year on year.

Youngster with prospects will see massive salary acceleration in the first few years of their career.

[Dave350]

I graduated 3 years ago I'd agree with that.

I went onto a normal grad scheme and took a 15% rise last year, and expecting similar again next month. Then another increase of a similar amount in Feb time when my last chartered accountancy exam result comes in.

[XMT]

Wacky Racer said:

johnfm said:

M94 said:

Appreciating all the replies, all really helpful advice.

Looking to move out in the next 2/3 years.

A few have asked where the money has all gone so far. I've just paid off a holiday which has taken a fair chunk of it.

You must have VERY understanding or clingy parents. £42k+/year and living at home does not compute (and neither does such a small pension contribution).

Sounds like you're doing pretty well though,.

Can't see the issue with living with his parents if everyone's happy..he's only 22 ffs!

Everybody is different, if you want to move out at seventeen fine, twenty seven is fine too.

All (imho)

+1 - I really dont see the issue at all OP, dont worry about the people commenting on being at home with parents at 22. perfectly ok.

To others - not everyone wants to boot their kids out at 15 and not everyone wants to leave when they are 15. Many stay together and leave when they see fit and financial secure enough.

Now if your living with your parents at 35 with no real reason to be doing so then thats weird!

[DonkeyApple]

Or Italian.

[Craikeybaby]

I was in a similar position when I was your age, although I wasn't on quite as good money. All of my money went into savings towards the deposit on my first flat, as has been mentioned above, since then I haven't been able to save as quickly due to mortgage and other costs of owning my own place.

I'm sure there was a formula mentioned on here a while back to work out how much you should be paying in to your pension. Basically it was along the lines of the earlier you start the less you need to pay in.