ADVERTISEMENT
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.
In this week's Money Diaries Extra we hear from a PayPal user about how they spend their money.
This week: "I’m a 23-year-old trainee accountant working in London, currently pursuing a professional qualification as part of my role. This is my first 'real job' and I’ve been with my company for a couple of years now, starting in finance operations and recently moving into accounting. The opportunity to work toward a fully funded qualification has been a fantastic way to grow my career in an area I’ve always been passionate about. I currently live outside the city with my partner and our young child in our first home. We decided to move out of London for the extra space, quieter environment and the great train links which make commuting easy. Since moving in, we’ve spent most weekends tackling DIY projects, from painting walls to assembling furniture.
My interest in personal finance started early, thanks to my mum, who encouraged me to manage a monthly allowance from the age of 16. It was up to me to budget for everything: school lunches, transport, phone bills, social outings and savings. At first it was a challenge to make the money last the entire month but I quickly learned how to track expenses and plan ahead using spreadsheets. That experience gave me valuable insights into managing money and prepared me for real-life financial responsibilities. My partner and I are already planning how to teach our child the importance of budgeting and understanding the value of money. We believe these are essential skills, and we’re excited to help him grow up with a strong financial foundation."
Occupation: Trainee accountant
Industry: Financial services
Age: 23
Location: Southeast
Salary: £38,000 plus bonuses.
Paycheque amount: £2,387.51
Number of housemates: Four: my partner, M, our son, K, and our dogs, B and L.
Pronouns: She/her
Industry: Financial services
Age: 23
Location: Southeast
Salary: £38,000 plus bonuses.
Paycheque amount: £2,387.51
Number of housemates: Four: my partner, M, our son, K, and our dogs, B and L.
Pronouns: She/her
Monthly Expenses
Housing costs: £746.61 for my half of the mortgage. M and I have a joint account that we both pay 50/50 into for all of our household-related expenses.
Loan payments: £80 student loan, deducted from my salary.
Pension? Yes, I pay 5% which is £105.87 a month and is deducted from my salary.
Savings? £2,400 in a 5.5% interest savings account. All of our joint savings have gone into buying and renovating our first house. We have a junior savings account for K, which currently has £3,500 in it — all of his child benefit and monetary gifts go into this account.
Utilities: £120 council tax (we were billed late so have to pay five months’ worth in three payments), £20 water, £72.80 gas and electric, £17.50 broadband — these are all my half.
All other monthly payments: £66.06 phone, £72.24 car insurance, £10.49 life insurance, £24.48 income protection, £18.99 L’s pet care plan (M pays for B’s). Subscriptions: £5.50 TV streaming, £8.50 music streaming, £4.50 priority delivery, £4.50 other TV streaming, £1.50 data storage, £10 account fees (we have a reward account for our joint account as we get a lot of cash back and benefits such as travel and phone insurance, car breakdown cover, etc.) — these are all my half.
Loan payments: £80 student loan, deducted from my salary.
Pension? Yes, I pay 5% which is £105.87 a month and is deducted from my salary.
Savings? £2,400 in a 5.5% interest savings account. All of our joint savings have gone into buying and renovating our first house. We have a junior savings account for K, which currently has £3,500 in it — all of his child benefit and monetary gifts go into this account.
Utilities: £120 council tax (we were billed late so have to pay five months’ worth in three payments), £20 water, £72.80 gas and electric, £17.50 broadband — these are all my half.
All other monthly payments: £66.06 phone, £72.24 car insurance, £10.49 life insurance, £24.48 income protection, £18.99 L’s pet care plan (M pays for B’s). Subscriptions: £5.50 TV streaming, £8.50 music streaming, £4.50 priority delivery, £4.50 other TV streaming, £1.50 data storage, £10 account fees (we have a reward account for our joint account as we get a lot of cash back and benefits such as travel and phone insurance, car breakdown cover, etc.) — these are all my half.
Did you participate in any form of higher education? If yes, how did you pay for it?
Yes, I went to university and took out a student loan to pay for it. I am now doing a professional accounting qualification that is being paid for by my employer.
Growing up, what kind of conversations did you have about money?
There weren’t many conversations about money growing up. As an adult, I now understand that there were times when we weren’t as financially comfortable as I thought we were and it's because my parents always made sure to provide us with what we needed and, to a reasonable extent, what we wanted. I started to understand the value of money from around the age of 10 when my parents divorced and money became a bit tight.
Yes, I went to university and took out a student loan to pay for it. I am now doing a professional accounting qualification that is being paid for by my employer.
Growing up, what kind of conversations did you have about money?
There weren’t many conversations about money growing up. As an adult, I now understand that there were times when we weren’t as financially comfortable as I thought we were and it's because my parents always made sure to provide us with what we needed and, to a reasonable extent, what we wanted. I started to understand the value of money from around the age of 10 when my parents divorced and money became a bit tight.
If you have, when did you move out of your parents'/guardians' house?
I moved out of my mum’s house when I started uni at 18. M and I then moved out into our first flat and have lived together since.
At what age did you become financially responsible for yourself? Does anyone else cover any aspects of your financial life?
I became financially responsible for myself at 18 but M and I do split our bills 50/50. When I was on mat leave, he covered a lot of our household expenses.
I moved out of my mum’s house when I started uni at 18. M and I then moved out into our first flat and have lived together since.
At what age did you become financially responsible for yourself? Does anyone else cover any aspects of your financial life?
I became financially responsible for myself at 18 but M and I do split our bills 50/50. When I was on mat leave, he covered a lot of our household expenses.
What was your first job and why did you get it?
I used to babysit and tutor from around the age of 15. My mum would give me an allowance for the month for necessities and social outings, and I’d occasionally babysit or tutor to fund my interests at the time, which were makeup and bath bombs!
I used to babysit and tutor from around the age of 15. My mum would give me an allowance for the month for necessities and social outings, and I’d occasionally babysit or tutor to fund my interests at the time, which were makeup and bath bombs!
Do you worry about money now?
Sometimes I do, especially towards the end of the year as M and K’s birthdays are both near Christmas. Also, buying a house is nice but it worries me at times because we’re now financially liable for anything that goes wrong in the house. I put all of our finances (fixed expenses, budgets and a record of every single transaction) in a spreadsheet, which really helps reduce my stress.
Sometimes I do, especially towards the end of the year as M and K’s birthdays are both near Christmas. Also, buying a house is nice but it worries me at times because we’re now financially liable for anything that goes wrong in the house. I put all of our finances (fixed expenses, budgets and a record of every single transaction) in a spreadsheet, which really helps reduce my stress.
Do you or have you ever received passive or inherited income?
No.
No.
ADVERTISEMENT