How much should you save?
How much money you should aim to save depends on your financial goals.
Most adults aim to save or invest some of their income. Many financial advisors recommend that adults try to save about 20% of their total income. Money can be saved for significant purchases in the future or to prepare for retirement.
Younger savers, for example, those still in full-time education, do not have to worry about planning for their retirement! However, it still makes sense to consider saving some money.
A reasonable budget is essential when planning how much can be saved comfortably. Savers may have a specific aim, such as an expensive purchase. They may just be saving for a rainy day, which means saving money for a time when they may need it.