With city analysts reckoning that the whole RBS debacle could cost the bank anywhere between £50m to £100m, it will be interesting to see what plans our majority state-owned bank has for the next round of bonuses. (source)
Being a bit of a simpleton, I’m still trying to figure out how a loss-making organisation manages to pay out bonuses? Apparently there is some sort of complex mathematics and wizardry involved that says the bank would be worst off if they didn’t pay bonuses – yet I am still waiting for somebody to explain to me how this works.
If anyone can explain, please let me know. In the meantime, why not sit back and enjoy some top articles from around the UK financial blogosphere.
How Financially Savvy Are You and How To Clean Up Your Act?
Are you good with money? Maria asks two simple questions to help you assess how well you really know your finances and just in case you fail the test, she also provides some sage advice for improving your money management…
http://www.themoneyprinciple.co.uk/2012/how-financially-savvy-are-you-and-how-to-clean-up-your-act
What Exactly Is Financial Freedom?
Financial freedom is a term often used in the financial blogosphere. For me it is about having choice, for others it is about sitting under a palm tree sipping margaritas and knowing they don’t ever need to work again. Drew has a slightly different spin on the concept of financial freedom and generated a nice bit of debate in the comments section of this post…
http://www.objectivewealth.co.uk/what-exactly-is-financial-freedom/
The Next Big Thing
Fresh from receiving a 1st for his mathematics degree, Rob is on the look out for his first graduate career move and talks about his dream of finding game-changing businesses to invest in…
http://www.selfemployedinvestor.com/2012/06/next-big-thing.html
Tesco – Enthusiastically and Tackily Football Mad
Ermine is enjoying the Euro’s (the football that is, not the currency), but only for the peace and quiet whilst everyone is watching the matches. Another witty and slightly cynical look at Modern Britain that made me laugh…
http://simple-living-in-suffolk.co.uk/2012/06/tesco-enthusiastically-and-tackily-football-mad/
Chasing the Highest Interest Rate
Karen has been wringing the financial sponge for every last drop of the ever decreasing saving interest rate and asks how far we would go to get the best interest rate on our savings…
http://www.helpmetosave.com/2012/06/highest-interest-rate/
Lessons Learned from the £10 Week Challenge
I love a good challenge, so it is interesting to read Viviana’s update on her progress with the £10 Week Challenge…
http://www.theleantimes.com/topics/budgets/lessons-learned-from-the-10-week-challenge/
Lessons in Investing
Some amusing lessons to be learned about the world of investment from UK Money Pot – I’d certainly buy into the conclusion…
http://www.ukmoneypot.co.uk/lessons-in-investing.htm
What is Negative Equity?
Suffering from a bad case of negative equity on the home you bought in the bubble? Jay prescribes a dose of ‘buy-and-hold’ to ride out the current storm…
http://www.sterlingeffort.com/negative-equity
How to Offset Capital Gains With Losses to Reduce Your Tax Bill
Tax avoidance is big news in the popular press at the moment, but many would argue that there is a difference between tax avoidance and tax minimalisation – the latter being the fair and common-sense steps that ordinary people should take to protect their money. The Investor looks at one such step…
http://monevator.com/how-to-offset-capital-gains-with-losses-to-reduce-your-tax-bill/
Slow Cooker Recipe: Caldo Verde
How about a spicy chorizo soup that feeds 6 people for just £3.56? I love chorizo, so I might see if I can get this one cooked for the No More Toast! blog…
http://www.miss-thrifty.co.uk/2012/06/05/slow-cooker-recipe-caldo-verde/
How To Get The Best Deal On Your Holiday Spending Money
A round-up of useful tips for saving money when buying your holiday beer or sangria tokens…
http://www.totallymoney.com/news/deal-holiday-spending-money/
Recent Articles From Money Saving Challenge
You Can Lead A Horse To Water, But…
“I’m still trying to figure out how a loss-making organisation manages to pay out bonuses? Apparently there is some sort of complex mathematics and wizardry involved that says the bank would be worst off if they didn’t pay bonuses – yet I am still waiting for somebody to explain to me how this works.”
Tell you what, I think I’ve got this banking thing worked out… you lend to good creditors and not to bad ones using money you take from other people. As part of this you religiously monitor markets to protect yourself and carry a margin for safety in case everything goes wrong (no interest only or 1% deposit loans). So how about this – we stop paying all those bonuses and when they all quit I’ll go work for RBS and we can all start again. I’ll do it for £20k in Scotland, rising to £25k in London, deal?
Very nice round-ups of some very good blogs.
Deal done – the job is yours. Be sure to split off the retail banking from the investment banking, keep it simple and honest and i’m sure you can’t go wrong
Thanks so much for including us! These blogging superstar round-ups always bring a smile to my face!
Glad you like it Harri and many thanks for the mention in the ol’ FF
Thanks for the mention! It is a lovely soup – I recommend it.
I may even have a crack at making it myself – surely i can’t go wrong!!
Nice one Donal, great list. Keep slipping those recipes in too…delicious!
To be perfectly honest I do nt believe it is possible.
Inflation in the UK is much higher than in the US, cost of living vs. salary is much higher.
So unless you came from a rich family, where you landed a good job and had no debts it is hardly possible to amass enough money to retire in early 30-ties…
maybe there is, if you are prepared to leave the UK and go the Thailand or something..