How much should I spend each year on punting
Good evening Gents,
Was contemplating my navel and punting expenditure and came across an article which recommended how you should spend your hard earned cash.
The 50/20/30 rule suggests you should spend 50% of your income on living expenses, 20% on savings or achieving your financial goals and 30% on wants or discretionery spending.
Being the type I am (and luckily never having rugrats) my living expenses are much lower, my savings considerably higher and my wants no where near 30%.
Although as I enter my pre retirement stage I am lucky to be in a very comfortable financial position, I realize that maybe, I should start to splash out more and allocate more of my funds to that 30% mark.
Often there are threads on here about how much to spend on punting weekly, etc do you think this 50/20/30 is a good strategy?
Me thinks that to get to that comfortable financial position it might be prudent to allocate more into savings esp when you are young.
We all talk about a work/life balance and I know that in the past I have not had as much fun as probably I could have, based on this strategy.
Would you say 30% of your income spent on mongering and other Me activities ( trips, restaurants, events etc ) is realistic?
Puff Puff Prof
PS No I'm not an accountant.