Today I’m sharing the seventh instalment of my bi-weekly series, ‘Savings Stories,’ where I speak to millennial Londoners about their personal finances. Our personal finances are often kept under wraps, with conversations about money usually kept to a minimum- making it hard to know whether anyone else is going through the same things as you. ‘Savings Stories’ aims to start a conversation about our finances, and lift the lid on millennial spending and saving- is the reason we can’t afford property in London really about overspending on avocados and lattes? I think not.
Millennials have a bad rep when it comes to money management, often accused of being too quick to splurge on the latest food, drink and clothing trends compared to the previous generation- with conclusions being drawn that this is the reason that we find it impossible to save for a mortgage deposit. I personally disagree with this, there is of course a culture built around instant gratification and new media which was not around 20 years ago- which does encourage additional spending- but there are definitely many millennials out there who are making small steps to build a savings account and live a thriftier lifestyle.
This feature will give you a sneak peek into other people’s income, rental, and savings totals- helping you decide if you could make the leap and ask for that pay rise, find a new flat within your price range, or give you that push to start a savings account. It will share the realities of debt, hopefully showing that, if you are in debt yourself, you are not alone.
This week we speak with Lily, a 26 year old Facebook and Instagram Marketing Manager who is on an exciting journey towards owning her own home. Lily took the leap to move away from London to buy a house- solo! She even moves into her brand new home at the end of this month- what an inspiration to us all!
What area of London did you live? Previously lived in Wandsworth although have lived in Wimbledon too.
Rent: In London was £550
Living situation: Previously lived in a 3 bed ground floor flat with 2 girls.
Salary: I do a lot of freelance stuff so it really varies month to month!
Total savings: Previous to deposit (Feb 2018): £3.5k . Current including deposit: £11,500
What are your savings goals?: Buy my first house solo!
Do you set a weekly budget? If so how much money do you allow yourself each week?: Yes, since starting to save my deposit I lived on quite a tight budget of £50/wk. I biked to work, said no to pretty much every social occasion and a bottle of wine was a treat. I call this ‘the deposit desperation budget’ haha. Normally I’d do £90ish a week though + travel
Debt total (not including student loan): £0 (paid credit card off last year)
How did you get into debt?: Living beyond my means…usual story.
What type of debt? : Credit card
Do you worry about money?: Yes, even now! Only difference now is I lay awake thinking about how expensive it will be to maintain my house hahah
Thank you Lily for sharing your story!
If you are worried about debt, you can find assistance at Citizens Advice and stepchange, two charities who offer free advice and solutions to help you get out of debt.
If you’re a millennial Londoner and would like to anonymously share your personal finance story, please get in touch with me at email@example.com.