ADVERTISEMENT
Money Diaries Logo

Money Diary: A Research Scientist On 43k

ADVERTISEMENT
Welcome to Money Diaries where we are tackling the ever-present taboo that is money. We're asking real people how they spend their hard-earned money during a seven-day period — and we're tracking every last penny.
This week: "I'm 27 and moved to London at the start of the year to start a new job as a scientist in a biotech company. I finished my PhD at the end of last year, which was the end of over eight years of being a student. I loved studying but I was very ready to start an actual job and I'm loving it so far. I still can’t believe I have a job that I love going to every day, one that I genuinely believe is working to make the world better and that pays me a salary that enables me to have a nice life in this amazing city. The move to London rinsed me of lots of my savings due to paying a huge deposit and initial rent upfront. I'm currently working to 'pay myself back' for this and rebuild my savings across different accounts for both fun stuff this year and longer term goals."
Occupation: Research scientist 
Industry: Biotech
Age: 27
Location: London
Salary: £43,000
Paycheque amount: £2,530
Number of housemates: One: my good friend, O.
Pronouns: She/her
Monthly Expenses
Housing costs: £930 rent for my half of a two-bedroom flat. 
Loan payments: I have a credit card that I just use for online purchases and always pay off in full at the end of the month. I also have a mega student loan that I try not to look at and I am now paying off through the standard monthly repayments taken from my salary. 
Pension? I pay 5% and my employer pays 3%. I worry quite a lot about my pension as I have only just started paying one after being a student for so long, which feels quite late to be starting. I should probably find out about increasing my contributions. 
Savings? £7,500 in a Help To Buy ISA that I started when I graduated, £400 in a monthly saver attached to my current account, £900 in Monzo pots that I am saving for holidays this year. Approx. £25,000 in a Stocks & Shares ISA (this is a combination of inherited money and chunks of money saved over the last few years).
Utilities: £20 water, £50 council tax, £50 gas and electric, £16 TV licence, £14 wi-fi. 
All other monthly payments: £10 phone, £5 Choose Love, £44 British Cycling (annually). Subscriptions: £9.99 Spotify.
Did you participate in any form of higher education? If yes, how did you pay for it?
I did an undergraduate degree, which I paid for with student loans. I was only eligible for the minimum maintenance loan so my parents covered my rent and I used the loan to cover general living costs. I worked during the summer breaks too. I then did a PhD, which was fully funded by a government research grant that also provided me with a stipend, which was enough to live off. 
Growing up, what kind of conversations did you have about money?
Both my parents work in public sector jobs and worked very hard but I also had a very comfortable upbringing including holidays abroad and after-school sports clubs and music lessons. My dad in particular is very money-savvy and talked to us a lot about different types of bank accounts and approaches to saving money.
If you have, when did you move out of your parents'/guardians' house?
I went to uni at 18 but I still lived at home during the very long holidays. I moved out to do my PhD when I was 22 and haven't lived at home since, other than for a few months during the pandemic. 
At what age did you become financially responsible for yourself? Does anyone else cover any aspects of your financial life?
At 22 when I started my PhD. I have been financially independent ever since (other than sharing my brother's Netflix account).
What was your first job and why did you get it?
As a teenager I did loads of babysitting and then started working in a pub as a waitress on Friday and Saturday nights when I was around 16. I spent this money on getting the bus to town at the weekends and going to the cinema and shops with my friends from school.
Do you worry about money now?
Not day to day as I am lucky to earn a good salary that affords me a nice quality of life, even though London is super expensive. I would like to buy property at some point, which I know is going to be difficult, but this is a long way off so I am just gradually saving towards that goal for now. 
Do you or have you ever received passive or inherited income?
Both of my dad's parents died before I was born and when I was 18 I inherited £20k from money they invested for their grandchildren. This is now in a Stocks & Shares ISA and I don’t plan to touch it until I buy a house. I know this is a huge amount of money, which I am very grateful for, but it goes without saying that I would rather have known my grandparents than received this. I also inherited £2,000 when I was 21, which I put towards travelling when I graduated.
ADVERTISEMENT
ADVERTISEMENT