Save your way to a million!

This is just a quick blog entry on something I saw about saving your way to a million pounds.

If you are diligent in your saving habits it can be done, slowly, but it can be done.

How £1 a day grows to a million pounds

% Interest Years to get to a Million £££s

3% 147

5% 100

10% 56

15% 40


Ok, so you probably don't want to wait 100 years at the standard 5% current account rate to get to a million. However, we were basing the above stats on only saving £1 per day, which is only £365 a year. Pretty poor. Lets see it based on £300 a month.

5% 54.1 years

10% 33.7 years

Getting better. As you get older, you'll probably be able to save more than £300 a month, especially if you have a spouse and both are going up the career ladder. So lets base it on £750 per month and see what happens!

5% 37.7 years

10% 25 years

What a difference! A million, however, is an arbitrary goal. The main thing is to get the saving bug. If you order a tap water instead of a beer, that money can be saved. Or, for large savings, making your own lunch and not buying one can yield as much as a yearly saving of around £1200!

Once you start saving, and you can the money to use, you'll probably start thinking of exciting ways to use that money as once you have got some money its easier to plant some other income seeds and see those grow! So, get saving and check back here to see what other things you can learn, and ways to fatten your expanding wallet!

Good luck!