How much should I save each month?
A good general target is 10–20% of your take-home pay, plus your workplace pension. On a £35,000 salary that is about £239 to £479 a month. If you are saving for something specific, work backwards from the goal instead.
10%, 15% and 20% of take-home pay.
| Salary | Take-home a month | Save 10% | Save 15% | Save 20% |
|---|---|---|---|---|
| £25,000 | £1,793 | £179 | £269 | £359 |
| £30,000 | £2,093 | £209 | £314 | £419 |
| £40,000 | £2,693 | £269 | £404 | £539 |
| £50,000 | £3,293 | £329 | £494 | £659 |
If 10% is not possible yet, start smaller. Saving £25 a week every week is £1,300 a year, and the habit matters more than the amount at first.
Monthly saving needed to reach a target.
| Goal | In 1 year | In 2 years | In 3 years | In 5 years |
|---|---|---|---|---|
| £1,000 | £82 | £41 | £27 | £16 |
| £3,000 | £246 | £121 | £79 | £46 |
| £5,000 | £410 | £201 | £131 | £76 |
| £10,000 | £819 | £401 | £262 | £151 |
| £20,000 | £1,637 | £802 | £524 | £302 |
Assumes 4% interest a year, added monthly, starting from £0. A lower rate means slightly higher monthly amounts.
A sensible order.
- Starter buffer of £1,000 for surprise bills.
- Your workplace pension, at least enough to get the full employer contribution. It is free money.
- Clear expensive debt like credit cards and overdrafts.
- Full emergency fund of 3–6 months of essential costs. See how much you need.
- Specific goals: a house deposit, a car, a wedding. For a first home, a Lifetime ISA currently adds a 25% government bonus (up to £1,000 a year); the government plans to replace it with a new First Time Buyer ISA, so check the latest rules.
- Long-term investing for goals more than 5 years away.
Tips that actually work.
- Pay yourself first: set a standing order for the day after payday.
- Use separate pots for each goal so you can see progress.
- Save pay rises: put half of every rise into savings before you get used to spending it. See what a pay rise is worth after tax.
- Round up: many banks can round card purchases up to the nearest pound and save the difference.
The savings calculator works out the monthly amount for any target, date and interest rate.
Monthly saving FAQs
Does my pension count towards the 10–20%?
Usually it is counted separately. Auto-enrolment already puts in at least 8% of qualifying earnings (including your employer's share), so 10–20% of take-home pay is on top.
Where should I keep my savings?
Short-term goals: easy-access or fixed-rate savings, or a cash ISA. Goals five or more years away: consider investing, accepting that values can fall.
Is it OK to save less some months?
Yes. Consistency over a year matters more than any single month. Just restart as soon as you can.
MoneyHelper: how to save · GOV.UK Lifetime ISA. Figures are worked examples for planning, not financial advice.