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Welcome to Money Diaries where we are tackling the ever-present taboo that is money. We’re asking real people how they spend their hard-earned money during a seven-day period — and we’re tracking every last penny.
This week: "I’m a 28-year-old policy officer and bartender living in London. I came here from New York City nearly two years ago for a master’s programme in public policy, fell in love with London and decided to stay on a graduate visa. After I completed my programme, I took a bar job to earn money while looking for a position in my field and I ended up really enjoying it. I got offered a full-time position at a charity about a month later and managed to talk them down to three days a week so I’m able to do it alongside bartending two days a week. It’s a perfect mix for me — I get to help make the world better and get my social fix, too!
I come from a more-than-comfortable background, which has certainly set me up for success. I have no private debt from either of my degrees, which is a huge privilege. I like to think I’m fairly frugal in that I don’t buy “things” often, bring lunches to work etc. However, I do tend to splash out on socialising and travel. I was able to save quite a bit at my last job but I spent a lot of that down in the past couple of years and since moving to the UK have taken a near-30% pay cut. While I can still pay the bills and do fun stuff, I’m not saving or donating as much as I would like to."
Occupation: Policy officer and bartender
Industry: Charity
Age: 28
Location: London
Salary: £23,436, plus about £11,000 from bartending.
Paycheque amount: £2,350
Number of housemates: Four (plus a very cute cat).
Pronouns: She/her
Industry: Charity
Age: 28
Location: London
Salary: £23,436, plus about £11,000 from bartending.
Paycheque amount: £2,350
Number of housemates: Four (plus a very cute cat).
Pronouns: She/her
Monthly Expenses
Housing costs: £760 for a room in a warehouse. I feel really lucky because it’s my favourite place that I’ve lived — it’s huge and has a lovely outdoor space. This price includes all bills other than wi-fi.
Loan payments: None (I owe £23,000 to my parents for my master’s but they are refusing to accept payments until I’m more settled in London).
Pension? I have about £19,000 in retirement savings from my previous job in New York. I've opted out of pension payments in the UK for now until I figure out whether I'll stay here long-term.
Savings? £19,000 in an IRA for retirement and £12,000 across two different high-interest accounts (I know I should probably invest some of this but I’m still uncertain where I’ll end up in the next couple of years so I want to keep it liquid).
Utilities: £4 for wi-fi, all other bills are included in rent.
All other monthly payments: £16 phone, £10 kit, £40 donations (to the London Renters Union and a couple of local charities), £150 Oyster card. Subscriptions: £11 Spotify, £112 Riverford weekly produce box.
Loan payments: None (I owe £23,000 to my parents for my master’s but they are refusing to accept payments until I’m more settled in London).
Pension? I have about £19,000 in retirement savings from my previous job in New York. I've opted out of pension payments in the UK for now until I figure out whether I'll stay here long-term.
Savings? £19,000 in an IRA for retirement and £12,000 across two different high-interest accounts (I know I should probably invest some of this but I’m still uncertain where I’ll end up in the next couple of years so I want to keep it liquid).
Utilities: £4 for wi-fi, all other bills are included in rent.
All other monthly payments: £16 phone, £10 kit, £40 donations (to the London Renters Union and a couple of local charities), £150 Oyster card. Subscriptions: £11 Spotify, £112 Riverford weekly produce box.
Did you participate in any form of higher education? If yes, how did you pay for it?
Yes. I got my bachelor's in New York and worked there for a few years before moving to London for my master's. I went to an inexpensive (relatively, it is the US after all) uni for my bachelor's and received substantial scholarships, and the rest of my tuition and living expenses were covered by my parents. For my master's, I used my savings to cover my own living expenses. I was planning to take out a private loan of about £23,000 to help with tuition fees but my parents unexpectedly offered to loan me the money interest-free. I tried to start paying them back but they insist on deferring payments until I'm more settled in London.
Yes. I got my bachelor's in New York and worked there for a few years before moving to London for my master's. I went to an inexpensive (relatively, it is the US after all) uni for my bachelor's and received substantial scholarships, and the rest of my tuition and living expenses were covered by my parents. For my master's, I used my savings to cover my own living expenses. I was planning to take out a private loan of about £23,000 to help with tuition fees but my parents unexpectedly offered to loan me the money interest-free. I tried to start paying them back but they insist on deferring payments until I'm more settled in London.
Growing up, what kind of conversations did you have about money?
I never knew a ton about my parents’ finances but that was due to security more than anything. I was very lucky and knew I didn’t have to worry about it. We never went on extravagant vacations but we did go out to eat quite a bit and I had my wants and needs fulfilled throughout my childhood. My mother came from a low-income background so was a little more anxious about money and frugal when it came to buying things for herself. My father was more comfortable with spending but not to excess. He worked at two different union jobs that had good pension benefits so he emphasised the importance of saving, particularly for retirement.
I never knew a ton about my parents’ finances but that was due to security more than anything. I was very lucky and knew I didn’t have to worry about it. We never went on extravagant vacations but we did go out to eat quite a bit and I had my wants and needs fulfilled throughout my childhood. My mother came from a low-income background so was a little more anxious about money and frugal when it came to buying things for herself. My father was more comfortable with spending but not to excess. He worked at two different union jobs that had good pension benefits so he emphasised the importance of saving, particularly for retirement.
If you have, when did you move out of your parents’/guardians’ house?
I had been living in a flat in Harlem during my final year of uni and properly moved in there full-time when I graduated at the age of 22.
I had been living in a flat in Harlem during my final year of uni and properly moved in there full-time when I graduated at the age of 22.
At what age did you become financially responsible for yourself? Does anyone else cover any aspects of your financial life?
I became responsible for my rent and most bills when I moved out at 22 but I stayed on my parents' healthcare and phone plan until I was 25.
I became responsible for my rent and most bills when I moved out at 22 but I stayed on my parents' healthcare and phone plan until I was 25.
What was your first job and why did you get it?
I worked at TJ Maxx (the American version of TK Maxx) from when I was 16, first as a cashier then as a front-end coordinator. I worked part-time during term time and full-time on breaks. I left the job to go to uni but they had me back when I came home over the summers. Because I didn’t have to pay for uni, I was able to save most of this money, which put me in a good place when I graduated.
I worked at TJ Maxx (the American version of TK Maxx) from when I was 16, first as a cashier then as a front-end coordinator. I worked part-time during term time and full-time on breaks. I left the job to go to uni but they had me back when I came home over the summers. Because I didn’t have to pay for uni, I was able to save most of this money, which put me in a good place when I graduated.
Do you worry about money now?
I do. I spent a lot of my savings on my master's and six months of travelling before that. That was all expected expenditure but I also took a pay cut of about 30% when I moved to the UK. Since I’m still living the way I was before, I’m not able to save nearly as aggressively as I once did. In the short term, I’m comfortable with the fact that I have some money put away for retirement and enough in savings to get me through an emergency (and then some), so I’m trying to just enjoy London and not stress too much. My contract for my charity job is up next year so I’m hoping to find something that pays a bit more — if not, I’ll have to cut back on some of my unnecessary expenses like travelling and going out so much.
I do. I spent a lot of my savings on my master's and six months of travelling before that. That was all expected expenditure but I also took a pay cut of about 30% when I moved to the UK. Since I’m still living the way I was before, I’m not able to save nearly as aggressively as I once did. In the short term, I’m comfortable with the fact that I have some money put away for retirement and enough in savings to get me through an emergency (and then some), so I’m trying to just enjoy London and not stress too much. My contract for my charity job is up next year so I’m hoping to find something that pays a bit more — if not, I’ll have to cut back on some of my unnecessary expenses like travelling and going out so much.
Do you or have you ever received passive or inherited income?
Yes. My parents paid for my bachelor’s degree (plus have loaned me the money for my master's, though that will be paid back), which I consider inherited income as being private debt-free gives me a huge leg-up. My sister and I also got about £8,000 each when my parents sold their house.
Yes. My parents paid for my bachelor’s degree (plus have loaned me the money for my master's, though that will be paid back), which I consider inherited income as being private debt-free gives me a huge leg-up. My sister and I also got about £8,000 each when my parents sold their house.
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