Money Diary Programme Manager On 42k

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 30-year-old living and working in London. I've always saved and I'm really conscious of not allowing lifestyle creep. I have not increased my spending at all since my recent pay rise; the extra just goes into savings. Aside from rent payments, my outgoings during COVID dwindled dramatically so I was able to save a significant amount. Combined with having more headspace during lockdown, this led to me looking into shared ownership and I managed to buy a flat through this scheme with some inheritance to help me with the deposit. I’m grateful for my flat every day and I love having my own space after spending many years in extremely grotty shared flats (how did we live like that?). I have spent most of my working life in the charity sector and despite the more limited earning opportunities, I don’t plan on changing this any time soon. I really value the work/life balance and I find it much easier to wake up for work knowing I am making a positive difference to people’s lives."

Occupation: Programme manager
Industry: Charity
Age: 30
Location: London
Salary: £42,000
Paycheque amount: £2,500 after tax and deductions
Number of housemates: None
Pronouns: She/her

Monthly Expenses

Housing costs: I own my flat through shared ownership so I pay £199.50 mortgage on the percentage I own and £702 rent on the rest. I’m grateful for this scheme as I would never have been able to get onto the property ladder otherwise.
Pension? About £100 comes out of my salary each month towards my pension. My employer contributes more but I am not sure exactly how much.
Loan payments: I am on the student loan Plan 2, which is deducted from my paycheque each month (about £100).
Savings? About £11,000 across various savings pots.
Utilities: £79 council tax, £15.99 electricity, £54 energy (although this should go down as I am massively in credit), £20 water, £25.28 wi-fi.
All other monthly payments: £6.50 SIM-only phone plan, £17.50 contact lenses. Subscriptions: £10.99 Netflix, £3 family Spotify plan, £8 gym access.

Did you participate in any form of higher education? If yes, how did you pay for it?

I completed a bachelor's degree at uni in London. I started the year that fees rose to £9,000 per year and the amount I repay each month doesn’t even cover the interest so I don’t anticipate ever being able to pay it off. I managed to get a decent maintenance grant, which helped, and I lived in some pretty awful shared flats, which kept my outgoings very low. I think that living in London taught me to be extremely frugal and to find the best deals and anything free!

Growing up, what kind of conversations did you have about money?

I grew up comfortable but I think my mum worried about money as she didn’t earn a lot. My dad was more relaxed about it but I was always encouraged to save by both of them and have continued to have that mindset throughout my life. I remember my dad telling me when I left for uni how to look for the best deals at the supermarket, and he was always very happy to chat about money and advise me if I had questions. I wish we were taught more at school though.

If you have, when did you move out of your parents'/guardians' house?

I moved out at 18 to go to uni and never moved back permanently, just for summer breaks.

At what age did you become financially responsible for yourself? Does anyone else cover any aspects of your financial life?

I would say when I got my first full-time job a few months after graduating. From then on I was completely financially independent.

What was your first job and why did you get it?

I did a mix of babysitting and retail work as a teenager and during uni summers. This was to save money and gain experience.

Do you worry about money now?

I don’t necessarily worry about money but I think about it all the time. I set myself a strict budget each week, which enables me to be in the best position to save, and I have to plan purchases carefully around that. I am also conscious of the future. I would like to be able to pay more into my pension as well as maybe buy a house with my boyfriend down the line, so I want to keep saving as much as I can.

Do you or have you ever received passive or inherited income?

Yes, I inherited £50,000 from a family member, which I put towards my flat deposit.