With some help from my boyfriend, I have created this infographic breaking down my monthly budget, to explain how much money I allocate to expenses and how much I am able to save. I have included superannuation in my savings too, because sometimes its easy to forget about!
I am in a privileged situation where I am earning a good salary, and also have an employer that pays high superannuation. I also make a little bit of extra money from a few sources. Prior to 2010, I was making just under $2500 a month, and didn’t have any money going into superannuation. I am making the most of my situation now by saving as much as I can, but acknowledge that this isn’t possible in all circumstances. Perhaps in a future post I will outline my budget when I was completing my PhD, as a means of comparison!
I would say the three major things that are within my direct control that I do in order to save this much are:
- Live in a modest apartment. It’s beautiful but by no means extravagant.
- Keep transport costs down by walking to work and owning an old car.
- “Pay myself first”. I.e. deposit my savings/investments as soon as I’m paid, and treat them almost as another expense.