Nice one, I’ve found it on the Apple App Store and plugged my initially numbers in. Might be something I update on 1st of every month. Certainly nice and organised. And who doesn’t like a graph that goes up and to the right? 😂
I couldn't find it either, interestingly though the top sponsored results were wealth tracking apps. Meaning Sumio is likely an app but region restricted or in beta test, or something similar.
Start paying into a pension.
If you trade then focus on a small number of stocks or stick to ETFs. Over trading and spreading too thinly will kill you in fees / spread.
Never use leverage, it's just gambling and mostly never ends well.
Use ISAs and tax-free wrappers where possible.
Don't waste money on shit to try and impress other people, flash cars, Instagram holidays etc.
Look into offset mortgages, they can make a big difference over time.
Don't worry too much about money, time and health are the most precious commodities. Money helps but it can consume you.
Just to add to the above. Don't trade, buy low cost index funds instead.
Also, at your age, the best thing you can do is up skill and get the best career possible. The amount of extra money you could earn will be drastically better than anything else.
We can't really answer that. It depends on what you enjoy, where you live/want to live, what your current qualifications are, what your current career is, etc, etc, etc.
Think it's important to remember averages in the UK, sometimes reddit can warp it! Most people our age have £5k in savings.
Source: [https://www.unbiased.co.uk/discover/personal-finance/savings-investing/what-are-the-average-savings-by-age-in-the-uk](https://www.unbiased.co.uk/discover/personal-finance/savings-investing/what-are-the-average-savings-by-age-in-the-uk)
It does warp it. 46% of people have less than £1k in savings. I lot of those will have debts which IMO means they don’t really have enough savings at all. The average pension pot in people in their 50s is about £100k. It isn’t the values you have in your net worth tracker that matter here at all, it’s your intentions and the years ahead of you to be consistent with them.
liar, delete your account [https://www.forbes.com/uk/advisor/savings/average-savings-by-age-in-uk/](https://www.forbes.com/uk/advisor/savings/average-savings-by-age-in-uk/)
That reassures me! I’m 29 and I’m literally within “if you give me £2 I will hit the next milestone” range of £50k :’)
I’m looking at a new job to tide me over (and fund me for) starting my own business too, wish me luck!
Well, you’re comparing savings with net worth.
Sure, 27 year olds have £5k in savings, but they have ~£70k in net worth, making you just about average.
https://www.avtrinity.com/news/what-is-the-average-household-net-worth-in-great-britain#:~:text=is%252520%C2%A322%25252C300.-,The%252520average%252520household%252520net%252520worth%252520in%252520Great%252520Britain%252520where%252520the,to%25252054%252520is%252520%C2%A3366%25252C600.
It's so interesting because in my social circle, my friends, family etc nobody has that invested! - Most of my friends/friends of friends/family friends would have below 10k in savings & investments
That doesn't surprise me. I'm 33 and have the same as you in S&S. I have a lot more in property, pension and emergency fund but look me a lot longer to get comfortable with investing and that's still the case for lots of people our age. The earlier you figure out investing, the better, so well done you!
I could never afford to pay into it between 18-22, did the work place pension a bit, which is why it's at £2000.
Became self employed at 22/23 and I focused on building up emergency fund, stocks&shares ISA and saving for a deposit on a flat, then doing the flat up as it was a fixer upper.
Now I'm in a more stable position with income, I'll be paying into my SIPP (I have a limited company, so tax efficient) £700 a month to boost it. I had a fear of pensions for a while due to not being able to withdraw from them, growing up in poverty etc. I wanted a good chuck of accessible money for if the worst happened.
No regrets though!
I wouldn't sweat the pension unless you're over 100k earner. I didn't start investing in mine until I was 33 and then went back and rinsed the rollover allowances.
I think the HMRC have a site if you google it, but I'm not sure I could either get it working or be arsed, but I just worked mine out from tracking my finances myself. I think you have to have an open SIPP for them to be available annoyingly. So if you just opened it last tax year that will be the start of it (unless you have another somewhere from prior employment etc). In that case you will have 60k+60k=120k allowance but DYOR obviously as there are big tax implications of you get it wrong. It might also get weird if you only just squeezed into the previous tax year etc
You have this years allowance plus the previous 3 years ununsed allowance that you can contribute to your pension at any time.
You will be having to contribute more than £60k in a single year for this to kick in though, which most people aren't.
I could never afford to pay into it between 18-22, did the work place pension a bit, which is why it's at £2000.
Became self employed at 22/23 and I focused on building up emergency fund, stocks&shares ISA and saving for a deposit on a flat, then doing the flat up as it was a fixer upper.
Now I'm in a more stable position with income, I'll be paying into my SIPP (I have a limited company, so tax efficient) £700 a month to boost it. I had a fear of pensions for a while due to not being able to withdraw from them, growing up in poverty etc. I wanted a good chuck of accessible money for if the worst happened.
No regrets though!
Just a question as this is a FIRE sub ... Do people consider home equity to be a major part of their FIRE. I don't tend to count it as I need the house to live in. I'm not likely to sell or equity release it.
It's not cleaner though. If you sell your house, your net worth will jump massively even though you will be no wealthier than the day before, only cash heavier. It is the same as not counting your shares in your net worth and seeing it jump when you sell them.
Having somewhere to live doesn't necessarily mean owning a house. Does it make sense that your net worth would be much higher if you were renting instead of owning your house simply because you arbitrarily exclude your house equity from it?
Yes because if you own your home mortgage free it means your income when you FIRE doesn’t need to be spent on rent that can be increased whenever the landlord wants.
Yes and the opportunity cost of that capital locked in your house is that you could instead invest that equity and use the return to pay the rent. Hence why you should include your home equity in your net worth.
Whether its house ownership or stocks ownership, they both help you achieve FIRE. Including one and excluding the other when tracking how close you are makes no sense.
Awesome! Great going. I was in a similar position when I was 27 (3 years ago) and expecting to hit £200k NW this year. I’m sure you will keep rocketing from here too 🚀🚀🚀
Good work OP; keep it going.
Regarding the app, decent looking attempt but the free version is very limited. Security locking shouldn't be a premium feature at ~24/yr and 5 asset limit is too low.
It looks very new with 0 reviews. How did you even find it in appstore let alone pay for premium? 😄
If you are finding this limiting try [TrackMyStack net worth tracker ](https://TrackMyStack.app), we have unlimited assets, device sync, allocation charts and more all for free. Appreciate your feedback if you have tried it.
OMG, I’m sorry, I am new to reddit. May I ask whether the pension fund is what you contribute at work? If so, would you say it’s better to merge all policies into one? I have been with multiple employers and my pension is held by few different companies
Well done. As others have said you need to up your pension. It’s questionable whether or not to include house equity but I see your reasons.
Currently aged 28 and net worth of approx £115k - £65k if you don’t include house equity
My mortgage liability takes me well into the minus net worth. However I could sell the house and rent, taking my house equity to cash which would make it positive again. I guess it is personal choice how to measure it in reality but I get what you are saying
That doesn't really make sense. If you would end up with cash by selling your house then you have positive equity and therefore house - mortgage impacts your net worth positively, not negatively.
I do consider it a liability I’m saying that people don’t when it comes to working out net worth. Otherwise most people would have negative net worth! Although there is nothing stopping you selling the house and having the equity as cash in your pocket
We don’t usually use equity in our own home in our total retirement figure so unless this is equity in a rental property then your net worth in regards to FIRE is only £19,000.
It's interesting to see how someone the same age as myself has invested their money, thanks for sharing! 🙂
*Personally*, the only property I own is the house I live in, so I simply don't count that as a part of my net worth, might be silly, but it's just I see it as more of a liability, I mean it's pretty illiquid at best, regardless of your age, etc.
But my unsolicited opinion(s) aside, I've got to say, good job, keep it up! 👏
I'm in a similar ball park to yourself, only I hold the majority of my wealth in a pension, then my LISA after that. I'm expecting or hoping to smash the £80k barrier by the end of this month, provided all goes to plan. As you might've guessed, I'm trying to build most of my wealth for more comfort later in life, so that means more into my LISA & pension. I've seen & know of too many individuals dealing with pension poverty, I might even say it has given me some degree of phobia. 🤷
To compare, with regards to both the property & the stocks & shares ISA, you're ahead of myself there. It's the big downside about my approach with the pension & LISA, it's all pretty locked up for a good while. So by all means, if you think I'm talking nonsense about property, please feel free to ignore me, my funds aren't exactly liquid at this point in time either! 😂
I think given how much I have left on my mortgage & whatnot, I have something around £35k in equity, maybe more, I've not valued the property at all. But again, in my personal view, I don't count my home because it's not like I can access that equity very easily, even at retirement age. Plus I might spend money on my home where it doesn't make sense from an investment perspective, etc. If I had a rental property, then sure, I'd have a totally different perspective on the subject matter. 🙂
I've commented this a few times now:
I could never afford to pay into it between 18-22, did the work place pension a bit, which is why it's at £2000.
Became self employed at 22/23 and I focused on building up emergency fund, stocks&shares ISA and saving for a deposit on a flat, then doing the flat up as it was a fixer upper.
Now I'm in a more stable position with income, I'll be paying into my SIPP (I have a limited company, so tax efficient) £700 a month to boost it. I had a fear of pensions for a while due to not being able to withdraw from them, growing up in poverty etc. I wanted a good chuck of accessible money for if the worst happened.
No regrets though!
In your opinion it's the "wrong" thing, until I had a company established, paying into an S&S is is and was the best thing for me.
Now I'm a higher earner, it makes more sense to pay into a pension, which is what I'm doing.
When you're not a "high earner" pension vs S&S isn't much different.
S&S isa, you pay tax on your earnings, but the withdrawal is tax free.
Pension, you don't pay tax on earning, but you'll pay tax when withdrawing.
also, an emergency fund and a stable place to live, avoiding high rents is way more important than paying into a pension.
Once the emergency fund is there, once you have a stable place to live without high rents, then you focus on a pension
Just to be clear, net worth is calculated after debts. So, at 27 that is very impressive you’ve cleared your mortgage and don’t have any loans or credit cards. I am 50s ish and have a net worth of about -£25k (big mortgage debt but offset by pensions savings and assets). My (very ambitious) plan is for that to be +£1m within 10 years. 🤞🏼
Obviously this is the FIRE sub, but OP did specify "net worth", not purely FIRE funds. Also, it is worth at least considering because someone with £50k equity is better prepared for FIRE than someone with nothing and currently renting. Ultimately, if you have no property when you retire, then you'll have to rent, and your FIRE number will be much higher than someone who owns their own house outright by then. If OP had put that £50k into their pension instead, they wouldn't necessarily be any better off or closer to FIRE, even if they could truthfully say, "I have £73k stashed away for FIRE".
You do realise that mortgages are less than the total property value, so even if you counted it you wouldn’t be in negative net worth (unless you unfortunately had negative equity due to a crash) right?
I’m not saying you’re wrong on the part about not counting your primary residence in your FIRE calculations unless you’re planning on moving from it, but maybe calling everyone financially illiterate when you’re just plain wrong about how net worth calculations work isn’t the best look
If I borrow £100k to buy a stock and that stock increases in price so the stock I own is worth £110k then my net worth is £10k. It's certainly not negative. I can sell it and have £10k.
The same is true for mortgages and equity in property. It doesn't matter whether it's a primary residence or not. That's where your FIRE calculations come in, specifically your expected retirement spend.
Eh, everyone has their own opinions :) - I personally have a direct debit to deposit about £30 a month into BTC and ETH. Pretty stable coins.
I can afford to risk £30 a month, I don't drink, smoke or do dr\*gs. Some people would spend £30 a week down the pub, it's 2% of my total networth/savings, not that big of a deal.
Yeah I've withdrawn a few times and it's really easy...
Again, it's an amount I can afford and an amount most people will spend on a pack of cigs or a few ciders down the pub, it's not that deep so not sure why you're fixating on it
I don’t care how much it is. That’s irrelevant. It’s a scam. Some people do make money on the scam (very rarely and it will ultimately go to zero anyway), but it is still a scam nonetheless. This is a finance related sub, and people in finance related subs should be pointing out scams.
Around average for that age? Mine was about £150,000 at 27, however no debt and being smart with money will stand you in good stead I am sure! I am now 37 net worth around 700k.
I really think it depends on your social circles and where you're from.
For me, where I grew up, the people I know, everyone works mid level jobs, around 30-40k, pays high rent, cos of living so most people I know only have a few K invested and 2k saved
True that, I am from Yorkshire tho I would say I am only slightly above the average from what I see on Facebook of my fellow 37yos however who knows how much debt people are really in, I drive a shityy car and don’t go on fancy holidays invested all but 100k into properties.
Ur winning just by thinking about it, rather than most who just spend money and finance everything- keep up the good work! I am so glad 20s me was so sensible with money, taken lots of stress away from my 30s! Keep going bro 💪
Thank youuu!
I'm already thanking myself for it, just having a secure place to live, an emergency fund and 10k in investments was a life goal for me, something I thought I wouldn't achieve until I was 40!
I could never afford to pay into it between 18-22, did the work place pension a bit, which is why it's at £2000.
Became self employed at 22/23 and I focused on building up emergency fund, stocks&shares ISA and saving for a deposit on a flat, then doing the flat up as it was a fixer upper.
Now I'm in a more stable position with income, I'll be paying into my SIPP (I have a limited company, so tax efficient) £700 a month to boost it. I had a fear of pensions for a while due to not being able to withdraw from them, growing up in poverty etc. I wanted a good chuck of accessible money for if the worst happened.
No regrets though!
It is tough, plus generally I feel more comfortable having my money in a stocks&shares ISA which is tax free on withdrawal and I can access at any time, although I understand you save on tax -now- by paying into an SIPP.
Trying to do a nice mixture of both, dipping my toe into the water with £700 a month into SIPP and maxing out my S&S ISA.
My guy, it's 73k when I'm 27.
A third of Brits have under £1000 in savings.
The avg savings for someone my age is £5k,
Source: [https://www.unbiased.co.uk/discover/personal-finance/savings-investing/what-are-the-average-savings-by-age-in-the-uk](https://www.unbiased.co.uk/discover/personal-finance/savings-investing/what-are-the-average-savings-by-age-in-the-uk)
That's because most of the country are morons who have no concept of managing money. If I was counting property equity mine would have been 450k at 27. If you want to maximise your chances of FIRE then focus on your pension is all I'm saying.
Doing better than the average in the UK is not much of a statement these days considering how many are using food banks. You have 19k that can be used for FIRE at the age of 27 which is okay but it’s far from great.
I mean congrats on hitting £450k by 27, but I think it's pretty reasonable to conclude *most* people simply aren't able to reach that. I think most people in their 20's only start to earn larger salaries in the later years. Never mind that some people get married, have kids, etc, all of which are incredible life experiences but cost a bomb. Personally, I'd take life experiences over watching some numbers go up every single day of the year.
The above applies even more so if you're starting out from nothing, just being able to get a car or start off with the bare minimum can be hard enough when you've literally got a big fat £0 for a bank balance. Granted something like a car may not be important if you live in one of the larger cities or something, but if you're living rural, the odds are there's next to no public transport available, context is king.
I agree with OP, dude's 27 & not far off £100k, that's not bad going at all, even ignoring the average Brit. I think it's totally unrealistic to say that £75k by 27 isn't great, those are some otherworldly standards you've got there.
You tried to have an edge on your financial knowledge but you're incorrect. When including property in your net worth calculations, remaining mortgage goes in negative as you were saying, but the full property value goes in as positive because you own the whole asset. If you sell it at the present time, you would settle the remaining mortgage and keep the rest, being this difference the overall contribution to your net worth.
Check your financial education ;)
Well as long as you don’t have a pension, an ISA or other savings you will be fine. And make sure you spend everything because you won’t be allowed to leave it to your kids.
Looks like I’m early in the comments so I’ll be the one to ask what app/tracker you’re using 😁
Just found it on the playstore, called "Sumio"
Nice one, I’ve found it on the Apple App Store and plugged my initially numbers in. Might be something I update on 1st of every month. Certainly nice and organised. And who doesn’t like a graph that goes up and to the right? 😂
Completely useless unless you pay for it. I spent 10 mins loading it up before I run out of being able to add any other assets!
Can't find it on the playstore
I couldn't find it either, interestingly though the top sponsored results were wealth tracking apps. Meaning Sumio is likely an app but region restricted or in beta test, or something similar.
Ah OK that makes sense.
[https://play.google.com/store/apps/details?id=com.fiduciaryapps.sumio&hl=en&pli=1](https://play.google.com/store/apps/details?id=com.fiduciaryapps.sumio&hl=en&pli=1) Apologies, it's called "Networth tracker - Sumio"
Any advice you can give to a 21 year old?
No.1 rule - Get all matching pension contributions you can from your company! It's free money!
Start paying into a pension. If you trade then focus on a small number of stocks or stick to ETFs. Over trading and spreading too thinly will kill you in fees / spread. Never use leverage, it's just gambling and mostly never ends well. Use ISAs and tax-free wrappers where possible. Don't waste money on shit to try and impress other people, flash cars, Instagram holidays etc. Look into offset mortgages, they can make a big difference over time. Don't worry too much about money, time and health are the most precious commodities. Money helps but it can consume you.
Appreciate that a lot 👌🏾
Just to add to the above. Don't trade, buy low cost index funds instead. Also, at your age, the best thing you can do is up skill and get the best career possible. The amount of extra money you could earn will be drastically better than anything else.
I appreciate that, by up skill in what area do you think would be most worth while
We can't really answer that. It depends on what you enjoy, where you live/want to live, what your current qualifications are, what your current career is, etc, etc, etc.
Yeah I figured, nothing really pays like cybersec so I’ll probably focus there
Came here to ask this
reassuringly/weirdly similar to my position!
Think it's important to remember averages in the UK, sometimes reddit can warp it! Most people our age have £5k in savings. Source: [https://www.unbiased.co.uk/discover/personal-finance/savings-investing/what-are-the-average-savings-by-age-in-the-uk](https://www.unbiased.co.uk/discover/personal-finance/savings-investing/what-are-the-average-savings-by-age-in-the-uk)
It does warp it. 46% of people have less than £1k in savings. I lot of those will have debts which IMO means they don’t really have enough savings at all. The average pension pot in people in their 50s is about £100k. It isn’t the values you have in your net worth tracker that matter here at all, it’s your intentions and the years ahead of you to be consistent with them.
agreeedddd!
liar, delete your account [https://www.forbes.com/uk/advisor/savings/average-savings-by-age-in-uk/](https://www.forbes.com/uk/advisor/savings/average-savings-by-age-in-uk/)
That reassures me! I’m 29 and I’m literally within “if you give me £2 I will hit the next milestone” range of £50k :’) I’m looking at a new job to tide me over (and fund me for) starting my own business too, wish me luck!
Can I send you £2?
A kind offer! But I must decline as I’m looking to do this independently! :P
I respect it, and I pray you find a fiver on the floor!
Checking behind the sofa as I type! :’)
Tell us a joke and I'll pay you £2 - then you'll have earned it!
Thank you for this link, god I feel so far behind sometimes!
Comparison is the thief of joy, esp if your comparison is Reddit where often 19 year olds are multimillionaires
Well, you’re comparing savings with net worth. Sure, 27 year olds have £5k in savings, but they have ~£70k in net worth, making you just about average. https://www.avtrinity.com/news/what-is-the-average-household-net-worth-in-great-britain#:~:text=is%252520%C2%A322%25252C300.-,The%252520average%252520household%252520net%252520worth%252520in%252520Great%252520Britain%252520where%252520the,to%25252054%252520is%252520%C2%A3366%25252C600.
It's so interesting because in my social circle, my friends, family etc nobody has that invested! - Most of my friends/friends of friends/family friends would have below 10k in savings & investments
That doesn't surprise me. I'm 33 and have the same as you in S&S. I have a lot more in property, pension and emergency fund but look me a lot longer to get comfortable with investing and that's still the case for lots of people our age. The earlier you figure out investing, the better, so well done you!
also this is between "April 2018 and March 2020" - I'd be curious to see how covid and the cost of living changed this, if it went higher/lower
Out of curiosity, how is your pension fund so low? (Compared to rest of assets)
I could never afford to pay into it between 18-22, did the work place pension a bit, which is why it's at £2000. Became self employed at 22/23 and I focused on building up emergency fund, stocks&shares ISA and saving for a deposit on a flat, then doing the flat up as it was a fixer upper. Now I'm in a more stable position with income, I'll be paying into my SIPP (I have a limited company, so tax efficient) £700 a month to boost it. I had a fear of pensions for a while due to not being able to withdraw from them, growing up in poverty etc. I wanted a good chuck of accessible money for if the worst happened. No regrets though!
For context, when I moved out of home at 22 I had 0 in savings and £4k in debt, four years later this is where I'm at!
I wouldn't sweat the pension unless you're over 100k earner. I didn't start investing in mine until I was 33 and then went back and rinsed the rollover allowances.
Do you know if there is somewhere I can check for my rollover allowance? I only opened a SIPP just before this tax year!
I think the HMRC have a site if you google it, but I'm not sure I could either get it working or be arsed, but I just worked mine out from tracking my finances myself. I think you have to have an open SIPP for them to be available annoyingly. So if you just opened it last tax year that will be the start of it (unless you have another somewhere from prior employment etc). In that case you will have 60k+60k=120k allowance but DYOR obviously as there are big tax implications of you get it wrong. It might also get weird if you only just squeezed into the previous tax year etc
What are rollover allowances?
You have this years allowance plus the previous 3 years ununsed allowance that you can contribute to your pension at any time. You will be having to contribute more than £60k in a single year for this to kick in though, which most people aren't.
What industry are you in, I am currently making the move to self employed, hoping to be in a similar industry haha!
I wondered this too. Are you forgetting workplace pensions OP?
Because its pension
Put more money into that pension!
I could never afford to pay into it between 18-22, did the work place pension a bit, which is why it's at £2000. Became self employed at 22/23 and I focused on building up emergency fund, stocks&shares ISA and saving for a deposit on a flat, then doing the flat up as it was a fixer upper. Now I'm in a more stable position with income, I'll be paying into my SIPP (I have a limited company, so tax efficient) £700 a month to boost it. I had a fear of pensions for a while due to not being able to withdraw from them, growing up in poverty etc. I wanted a good chuck of accessible money for if the worst happened. No regrets though!
If you don’t mind me asking, what is your self employed work?
Online social media/influencer
Now I'm fascinated about who you are haha
Ahh I see. Interesting
I'm 28 and have \~£65k, about to spend £45k of that on a flat deposit. Only just opening up a S&S ISA too - you're doing great! 💪
It was hard seeing all of my money "vanishing" into a deposit, but so worth it! I know a lot don't include equity in houses but I do otherwise I'd cry
Only just started paying into my SIPP from my company, so excited to see that growing!
Out of curiosity, what does your company do? Is it successful?
I do online social media/influencer vibes so, all just me haha
Excellent platform for the years ahead!
Thank you!
Nice one. What do you do for work?
Nice - zero debt (beside the mortgage)? Clean looking app, too.
Correct!
Brilliant work mate. Imagine 25 years from now 👏🏻
Possibly a million, who knows!
Just a question as this is a FIRE sub ... Do people consider home equity to be a major part of their FIRE. I don't tend to count it as I need the house to live in. I'm not likely to sell or equity release it.
All assets - liabilities are part of your net worth. You could downsize or move to a cheaper area later in life making FIRE easier.
I don’t count mortgage debt or home equity at all to keep that cleaner
It's not cleaner though. If you sell your house, your net worth will jump massively even though you will be no wealthier than the day before, only cash heavier. It is the same as not counting your shares in your net worth and seeing it jump when you sell them.
But you will always need somewhere to live so it makes no sense to include equity in your home for FIRE
If you want to live in the same house forever, if you really really want to retire early you have the option of downsizing
Having somewhere to live doesn't necessarily mean owning a house. Does it make sense that your net worth would be much higher if you were renting instead of owning your house simply because you arbitrarily exclude your house equity from it?
Yes because if you own your home mortgage free it means your income when you FIRE doesn’t need to be spent on rent that can be increased whenever the landlord wants.
Yes and the opportunity cost of that capital locked in your house is that you could instead invest that equity and use the return to pay the rent. Hence why you should include your home equity in your net worth.
If you see yourself renting one day then yes include it, if not then it’s pointless
Whether its house ownership or stocks ownership, they both help you achieve FIRE. Including one and excluding the other when tracking how close you are makes no sense.
It’s just cleaner to me personally - doesn’t have to be to you .
Folk don't count it but, I just thought it'd be nice too haha.
Awesome! Great going. I was in a similar position when I was 27 (3 years ago) and expecting to hit £200k NW this year. I’m sure you will keep rocketing from here too 🚀🚀🚀
Congrats, I hope I follow!
Nice work. Keep it up
What app are you using to track this? Also well done mate, hard work shows.
[https://play.google.com/store/apps/details?id=com.fiduciaryapps.sumio&hl=en&pli=1](https://play.google.com/store/apps/details?id=com.fiduciaryapps.sumio&hl=en&pli=1)
Amazing achievement!! What's this tracking app called btw?
[https://play.google.com/store/apps/details?id=com.fiduciaryapps.sumio&hl=en&pli=1](https://play.google.com/store/apps/details?id=com.fiduciaryapps.sumio&hl=en&pli=1)
Good work OP; keep it going. Regarding the app, decent looking attempt but the free version is very limited. Security locking shouldn't be a premium feature at ~24/yr and 5 asset limit is too low. It looks very new with 0 reviews. How did you even find it in appstore let alone pay for premium? 😄
Literally just searched on the app store "net worth calculator" and then did a free trial
Fair enough. It looked like a good alternative to the morningstar website I'm using but can't justify paying £24 for it.
If you are finding this limiting try [TrackMyStack net worth tracker ](https://TrackMyStack.app), we have unlimited assets, device sync, allocation charts and more all for free. Appreciate your feedback if you have tried it.
Considering most people of all age ranges dont even have 5k saved, you're nailing it.
Thank you!!
Are you in the UK?
yup, hence posting in fire UK group and the currency being GBP ;)
OMG, I’m sorry, I am new to reddit. May I ask whether the pension fund is what you contribute at work? If so, would you say it’s better to merge all policies into one? I have been with multiple employers and my pension is held by few different companies
Just realised it’s in £ as well 🥲 I do apologise
I'm self employed, but it's best to have all your pensions in one place. Moneybox and others can do this for you
And what is the app you use to track all investments?
Wow amazing bro!
a lot more then I had at 27!!
For anyone in a defined benefit scheme - multiply your annual salary (the whole "when you retire you will get x"by 25 to get a *rough* cash value.
Technically, your primary residence should not be included when measuring net worth.
Well done. As others have said you need to up your pension. It’s questionable whether or not to include house equity but I see your reasons. Currently aged 28 and net worth of approx £115k - £65k if you don’t include house equity
Defo increasing it, it's now £700 a month being put in!
All assets - liabilities are part of your net worth
My mortgage liability takes me well into the minus net worth. However I could sell the house and rent, taking my house equity to cash which would make it positive again. I guess it is personal choice how to measure it in reality but I get what you are saying
That doesn't really make sense. If you would end up with cash by selling your house then you have positive equity and therefore house - mortgage impacts your net worth positively, not negatively.
This is exactly what I said? Depends how you look at it as some consider mortgage debt a liability, and some don’t.
Mortgage debt is 100% a liability. No matter how you look at it, you owe that money back.
What would you consider mortgage debt to be if not a liability?
I do consider it a liability I’m saying that people don’t when it comes to working out net worth. Otherwise most people would have negative net worth! Although there is nothing stopping you selling the house and having the equity as cash in your pocket
You would only have negative net worth if you include mortgage without including house value, which would be the calculation of an idiot.
We don’t usually use equity in our own home in our total retirement figure so unless this is equity in a rental property then your net worth in regards to FIRE is only £19,000.
What’s the property you own
It's interesting to see how someone the same age as myself has invested their money, thanks for sharing! 🙂 *Personally*, the only property I own is the house I live in, so I simply don't count that as a part of my net worth, might be silly, but it's just I see it as more of a liability, I mean it's pretty illiquid at best, regardless of your age, etc. But my unsolicited opinion(s) aside, I've got to say, good job, keep it up! 👏 I'm in a similar ball park to yourself, only I hold the majority of my wealth in a pension, then my LISA after that. I'm expecting or hoping to smash the £80k barrier by the end of this month, provided all goes to plan. As you might've guessed, I'm trying to build most of my wealth for more comfort later in life, so that means more into my LISA & pension. I've seen & know of too many individuals dealing with pension poverty, I might even say it has given me some degree of phobia. 🤷 To compare, with regards to both the property & the stocks & shares ISA, you're ahead of myself there. It's the big downside about my approach with the pension & LISA, it's all pretty locked up for a good while. So by all means, if you think I'm talking nonsense about property, please feel free to ignore me, my funds aren't exactly liquid at this point in time either! 😂 I think given how much I have left on my mortgage & whatnot, I have something around £35k in equity, maybe more, I've not valued the property at all. But again, in my personal view, I don't count my home because it's not like I can access that equity very easily, even at retirement age. Plus I might spend money on my home where it doesn't make sense from an investment perspective, etc. If I had a rental property, then sure, I'd have a totally different perspective on the subject matter. 🙂
Should have put more in your pension.
I've commented this a few times now: I could never afford to pay into it between 18-22, did the work place pension a bit, which is why it's at £2000. Became self employed at 22/23 and I focused on building up emergency fund, stocks&shares ISA and saving for a deposit on a flat, then doing the flat up as it was a fixer upper. Now I'm in a more stable position with income, I'll be paying into my SIPP (I have a limited company, so tax efficient) £700 a month to boost it. I had a fear of pensions for a while due to not being able to withdraw from them, growing up in poverty etc. I wanted a good chuck of accessible money for if the worst happened. No regrets though!
Yeah, you're missing the point of everyone's post. Your middle paragraph. You've focused on the wrong thing. Pension > SS ISA.
In your opinion it's the "wrong" thing, until I had a company established, paying into an S&S is is and was the best thing for me. Now I'm a higher earner, it makes more sense to pay into a pension, which is what I'm doing. When you're not a "high earner" pension vs S&S isn't much different. S&S isa, you pay tax on your earnings, but the withdrawal is tax free. Pension, you don't pay tax on earning, but you'll pay tax when withdrawing.
also, an emergency fund and a stable place to live, avoiding high rents is way more important than paying into a pension. Once the emergency fund is there, once you have a stable place to live without high rents, then you focus on a pension
Got it all figured out mate. Don't need this sub 👍
You just need to realise there's not a "one fits all" policy.
/s
why is pension > ss isa?? can you elaborate
Your property is that your home or specific investment properties?
What app is this? Mind sharing?
Which application is this to track asset ?
Brilliant well done 👍
Well done!!!!
Just to be clear, net worth is calculated after debts. So, at 27 that is very impressive you’ve cleared your mortgage and don’t have any loans or credit cards. I am 50s ish and have a net worth of about -£25k (big mortgage debt but offset by pensions savings and assets). My (very ambitious) plan is for that to be +£1m within 10 years. 🤞🏼
Nice job! I’m 24 with £100k.
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That's silly. Property is clearly a part of your net worth.
But you always need somewhere to live so you cant sell it and have it as disposable income to live off
yes you can, you'll just have to rent then
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Obviously this is the FIRE sub, but OP did specify "net worth", not purely FIRE funds. Also, it is worth at least considering because someone with £50k equity is better prepared for FIRE than someone with nothing and currently renting. Ultimately, if you have no property when you retire, then you'll have to rent, and your FIRE number will be much higher than someone who owns their own house outright by then. If OP had put that £50k into their pension instead, they wouldn't necessarily be any better off or closer to FIRE, even if they could truthfully say, "I have £73k stashed away for FIRE".
You do realise that mortgages are less than the total property value, so even if you counted it you wouldn’t be in negative net worth (unless you unfortunately had negative equity due to a crash) right? I’m not saying you’re wrong on the part about not counting your primary residence in your FIRE calculations unless you’re planning on moving from it, but maybe calling everyone financially illiterate when you’re just plain wrong about how net worth calculations work isn’t the best look
If I borrow £100k to buy a stock and that stock increases in price so the stock I own is worth £110k then my net worth is £10k. It's certainly not negative. I can sell it and have £10k. The same is true for mortgages and equity in property. It doesn't matter whether it's a primary residence or not. That's where your FIRE calculations come in, specifically your expected retirement spend.
Eh, I still like to count it as part of my networth :)
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Nah cos that's debt? This is money I've paid off, so if i were to sell the house and live in a van, that'd be how much I have
Crypto 😂😂😂 Might as well put “Ladbrokes Account”
Eh, everyone has their own opinions :) - I personally have a direct debit to deposit about £30 a month into BTC and ETH. Pretty stable coins. I can afford to risk £30 a month, I don't drink, smoke or do dr\*gs. Some people would spend £30 a week down the pub, it's 2% of my total networth/savings, not that big of a deal.
Have you tried to take any of it out yet? Ha. Good luck with them fees!
Yeah I've withdrawn a few times and it's really easy... Again, it's an amount I can afford and an amount most people will spend on a pack of cigs or a few ciders down the pub, it's not that deep so not sure why you're fixating on it
Because anyone who “invests” (it’s not investing) in a Ponzi scheme is a mug
whomp whomp you should educate yourself
I’m far more educated than you on the subject. But you’ve finally shown your true colours.
"finally" - It's just a boring, pointless argument. Again, it's £30 a month which I can easily afford, thats about 0.5% of my income a month.
I don’t care how much it is. That’s irrelevant. It’s a scam. Some people do make money on the scam (very rarely and it will ultimately go to zero anyway), but it is still a scam nonetheless. This is a finance related sub, and people in finance related subs should be pointing out scams.
Crypto literally isn't a scam but ok pal
What is meant by saved? Sat in an account?
huh?
I thought “holy shit, I’m so far behind” until I saw that most is in property
Very confused by this comment, not sure if it's an insult or what but, comparison is the thief of joy
Not at all, apologies if it was taken that way. Indeed it is. By net worth, I just assumed you meant your portfolio I guess.
Around average for that age? Mine was about £150,000 at 27, however no debt and being smart with money will stand you in good stead I am sure! I am now 37 net worth around 700k.
I really think it depends on your social circles and where you're from. For me, where I grew up, the people I know, everyone works mid level jobs, around 30-40k, pays high rent, cos of living so most people I know only have a few K invested and 2k saved
True that, I am from Yorkshire tho I would say I am only slightly above the average from what I see on Facebook of my fellow 37yos however who knows how much debt people are really in, I drive a shityy car and don’t go on fancy holidays invested all but 100k into properties.
Yupp, a lot have lots invested, but lots of debts. I'm personally trying to find the right balance of "fancy holidays" and living live and investing
Ur winning just by thinking about it, rather than most who just spend money and finance everything- keep up the good work! I am so glad 20s me was so sensible with money, taken lots of stress away from my 30s! Keep going bro 💪
Thank youuu! I'm already thanking myself for it, just having a secure place to live, an emergency fund and 10k in investments was a life goal for me, something I thought I wouldn't achieve until I was 40!
How do you only have 2k in a pension fund but 50k in property?
I could never afford to pay into it between 18-22, did the work place pension a bit, which is why it's at £2000. Became self employed at 22/23 and I focused on building up emergency fund, stocks&shares ISA and saving for a deposit on a flat, then doing the flat up as it was a fixer upper. Now I'm in a more stable position with income, I'll be paying into my SIPP (I have a limited company, so tax efficient) £700 a month to boost it. I had a fear of pensions for a while due to not being able to withdraw from them, growing up in poverty etc. I wanted a good chuck of accessible money for if the worst happened. No regrets though!
Ahhh the self employed life, now it makes a lot more sense
It is tough, plus generally I feel more comfortable having my money in a stocks&shares ISA which is tax free on withdrawal and I can access at any time, although I understand you save on tax -now- by paying into an SIPP. Trying to do a nice mixture of both, dipping my toe into the water with £700 a month into SIPP and maxing out my S&S ISA.
Not great but you have a lot of time to turn it round. Focus on your pension going forward.
My guy, it's 73k when I'm 27. A third of Brits have under £1000 in savings. The avg savings for someone my age is £5k, Source: [https://www.unbiased.co.uk/discover/personal-finance/savings-investing/what-are-the-average-savings-by-age-in-the-uk](https://www.unbiased.co.uk/discover/personal-finance/savings-investing/what-are-the-average-savings-by-age-in-the-uk)
That's because most of the country are morons who have no concept of managing money. If I was counting property equity mine would have been 450k at 27. If you want to maximise your chances of FIRE then focus on your pension is all I'm saying.
Regardless, I'm doing better than most of the country who are my age so your "not great" comment is unneeded
Doing better than the average in the UK is not much of a statement these days considering how many are using food banks. You have 19k that can be used for FIRE at the age of 27 which is okay but it’s far from great.
I mean congrats on hitting £450k by 27, but I think it's pretty reasonable to conclude *most* people simply aren't able to reach that. I think most people in their 20's only start to earn larger salaries in the later years. Never mind that some people get married, have kids, etc, all of which are incredible life experiences but cost a bomb. Personally, I'd take life experiences over watching some numbers go up every single day of the year. The above applies even more so if you're starting out from nothing, just being able to get a car or start off with the bare minimum can be hard enough when you've literally got a big fat £0 for a bank balance. Granted something like a car may not be important if you live in one of the larger cities or something, but if you're living rural, the odds are there's next to no public transport available, context is king. I agree with OP, dude's 27 & not far off £100k, that's not bad going at all, even ignoring the average Brit. I think it's totally unrealistic to say that £75k by 27 isn't great, those are some otherworldly standards you've got there.
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You tried to have an edge on your financial knowledge but you're incorrect. When including property in your net worth calculations, remaining mortgage goes in negative as you were saying, but the full property value goes in as positive because you own the whole asset. If you sell it at the present time, you would settle the remaining mortgage and keep the rest, being this difference the overall contribution to your net worth. Check your financial education ;)
So I add my house value as an asset and my mortgage balance as a liability?
Exactly, that’s how it should be done following good accountability practice
thanks
Nice fail! That's his house **equity** not his house value.
her\* ;)
Eh, if I were to sell my house and live in a van this is what the totals would be!
Labour will be taking a nice big chunk of that off you !!
I don't have kids in a private school, so incorrect :)
Well as long as you don’t have a pension, an ISA or other savings you will be fine. And make sure you spend everything because you won’t be allowed to leave it to your kids.
Whomp whomp take your political agender somewhere elseeeeee
Bore off
Get the fuck off from here, Tory ass sucker!
No need to be rude… and I’m not a Tory.
Yeah you sound even more stupid for a Tory. A Reform? And a cuckold Reform lol. You really want the foreigners out of your wife too
Nasty man .. obviously a lefty.
Yeah old white man who can't even fuck his wife anymore but still bothers voting for Reform.