Recently, I shared how much I earn as a junior doctor in the UK and then got a lot of comments and messages from you people asking how I spend, invest, and save that money. Hopefully, this video gives an idea as to how I budget my income to ensure that I save and invest, as well as spend my money guiltfree.

Initially, living in India with my parents, budgeting was simpler; my earnings were mostly for personal use. However, moving to the UK brought budgeting challenges. I experienced phases of extreme frugality and overspending, neither of which were sustainable.

I then discovered a book, "Money" by Laura Whateley, which inspired me to devise my own financial management plan. I call it the 33:33:33 plan, dividing my income into three equal parts for Bills, Spending, and Saving/Investing. The Bills pot is untouchable, exclusively for rent and bills. The Spending pot caters to my lifestyle needs like food, travel, and subscriptions. The Saving/Investing pot is for future financial security.

My takehome salary is around £3,300 monthly. Approximately £1,150 covers my rent and bills, leaving £2,150. I allocate £1,000 to savings and investments, though this sometimes falls short. The remaining £1,050 is for spending, ensuring a balance between saving and enjoying the fruits of my labor. To avoid overspending, I divide this into weekly budgets, with a buffer for unexpected expenses and my YouTube channel, which currently runs at a loss.

Despite my planning, I occasionally dip into savings for unforeseen costs or significant purchases. For instance, last month, unexpected expenses like registration fees and startup costs meant I couldn't save anything. My goal is to maintain my current budget for the next five years, hoping my savings will grow as my salary increases. However, life changes, like buying a car, could alter my budget.

In summary, my strategy involves dividing income into three pots for bills, spending, and saving. This method provides a balanced approach to managing money, ensuring I cover essentials, enjoy my earnings, and secure my financial future.

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⚡Timestamps:
00:00 Intro
01:06 Why should we even have a budget?
02:22 The “33:33:33 rule”
05:03 Weekly pots How to spend your money guilt free
09:20 Variations and my future plan

For IMGs hoping to move to the US, check out my friend Dr Malke Assad's (The Match Guy) courses:
1. Residency interview prep: https://thematchguy.com/residencyint...
2. Get into a US elective/observership: https://thematchguy.com/usclinicale...
3. The full AZ match application package: https://thematchguy.com/residencymat...

(NB: These are affiliate links)


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WHO AM I?‍⚕
Hi, My name is Ajay. I'm a GP trainee in Cambridge, UK.I post videos about productivity, studying and some medical entertainment peppered inbetween.

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