I’ve written about clearing your debt. In my mind, that’s the most urgent thing for you to do, which is why I wrote about debt first.
Any credit card debt or money owed for items bought on finance should be cleared as soon as possible. If you’re still paying a high interest rate on something, look at my last post. Your debt is slowly compounding and spiralling out of control as you read this post.
Now I want to explain why I’m writing this blog.
I’m not your typical FIRE (financial independence, retire early) blogger. Usually, they have either a perfect past and any pound (or more common, dollar) earnt is invested wisely, leaving the author in a position to be financially independent in their 30’s.
At the other end of the spectrum, the writer might have had debt up to their eyeballs. Everything they could, they bought on finance. The blog usually follows them clearing their debt first, and then their journey towards financial independence.
And then there are those middle of the road types. I look around and I’m like so many of my friends and family. My financial position was probably similar to yours:
- Late twenties/early thirties
- Average income for the UK
- About £5,000 of credit card debt
- Nothing else purchased on finance, but no money saved
My biggest outgoings at the time were food and drinks on nights out. I could easily spend £100 on a night for drinks, food and a taxi home. I’d probably do that three times a month. Looking back, it was crazy. But my friends were doing it, so if I wanted to see them, this is what we did.
I wasn’t suddenly enlightened by the FIRE movement. I’d always wanted to retire early but without earning big money, I didn’t think it would be possible. Then I read an article in the Guardian, and learnt that I could in fact retire on my average salary. All I had to do was to be frugal.
By this point, I’d cut out my credit card debt. As soon as it was cleared, it was like a weight lifted off my shoulders.
I tracked my spending and made a few adjustments in order to boost my savings rate.
In this time, only a year or so ago and before our child was born, I was trying to find a blog about financial independence in the UK. The Reddit FIRE UK thread was brilliant, and Mr Money Mustache’s forum has a sub-forum for the UK, but otherwise I couldn’t find anything that fit my requirements. Everything was geared towards to the United States.
This website hopes to fill that gap. A blog about FIRE aimed at readers in the UK, but I hope it is also helpful for people around the world.
Follow me on Twitter @swearingmoney
***The information contained herein does not constitute financial or other professional advice and is general in nature. This post contains affiliate links.