Move over revenge spending. There's a new trend sweeping through personal finance in 2025: revenge saving. Young people are aggressively saving 40-60% of their income, not out of fear, but as an act of rebellion against economic uncertainty and lifestyle inflation. Here's what it is and how to use it.
What Is Revenge Saving?
Revenge saving is an aggressive, intentional approach to saving money—often 40-60% or more of income—driven by:
- Economic frustration: Reaction to high costs, stagnant wages, housing unaffordability
- Pandemic reflection: Post-lockdown realization of what actually matters
- FIRE movement influence: Desire for financial independence and early retirement
- Anti-consumption mindset: Pushing back against constant spending pressure
- Future control: Taking power back in an uncertain world
ℹ️ The Name Explained
"Revenge" because it's a reaction—to economic conditions, to past financial mistakes, to societal expectations. It's saving with purpose and intensity, not just putting away what's left.
Why Revenge Saving Is Taking Off in 2025
1. Economic Disillusionment
Young adults are watching:
- House prices climb beyond reach
- Rent consume 40-50% of income
- Cost of living crisis drain budgets
- Traditional milestones (house, family) feel impossible
Response: "If the system won't help me, I'll save aggressively and opt out."
2. Pandemic Awakening
COVID forced people to realize:
- Much discretionary spending was habit, not joy
- Financial security matters more than impressing others
- Job loss can happen to anyone
- Emergency funds aren't optional
3. Social Media Amplification
TikTok and Instagram are full of:
- "I saved £20,000 in one year" success stories
- Extreme saving challenges going viral
- Anti-haul content celebrating NOT buying things
- FIRE (Financial Independence, Retire Early) influencers
4. AI and Job Anxiety
Concern about:
- AI replacing jobs
- Industry disruption
- Need for financial cushion
- Career flexibility requiring savings
💡 Gen Z Leading the Charge
While revenge saving appeals to all ages, Gen Z (born 1997-2012) are the primary adopters. They're on track to save more in their 20s than any previous generation.
The Psychology Behind Revenge Saving
It's About Control
When you can't control:
- The economy
- Interest rates
- House prices
- Your employer's decisions
You CAN control your savings rate. It's empowering.
It's a Form of Protest
- Against consumer culture
- Against lifestyle inflation
- Against "treat yourself" marketing
- Against financial fragility
It's Identity-Driven
Revenge savers see themselves as:
- Intentional, not deprived
- Future-focused, not missing out
- Smart, not cheap
- Building wealth, not just surviving
Start Your Revenge Saving Journey
Track aggressive savings goals with iBudget and watch your wealth build faster than you thought possible.
How to Start Revenge Saving
Step 1: Set Your Aggressive Target
Revenge saving typically means saving:
- Moderate: 30-40% of income
- Aggressive: 50-60% of income
- Extreme: 70%+ of income
Start where you are, push boundaries. If you're saving 10% now, try 20%. Already at 20%? Push to 35%.
Step 2: Slash Major Expenses
You can't revenge save by skipping coffee. Go big:
- Housing: Roommates, smaller place, move home temporarily
- Car: Sell it, use public transport or bike
- Dining out: Cut 80-90%, not 20%
- Shopping: Pause non-essential purchases for 6-12 months
- Entertainment: Free activities, library, nature
Step 3: Increase Income Aggressively
You can only cut so much. Revenge savers also:
- Side hustles: 10-20 hours/week extra work
- Freelancing: Monetize professional skills
- Career moves: Aggressively pursue promotions and raises
- Sell aggressively: Declutter everything, keep only essentials
- Multiple income streams: Passive income where possible
Step 4: Automate Everything
- Savings transfer on payday (before you see it)
- Investment contributions automatic
- Live only on what's left
- No manual transfers—removes willpower
Step 5: Make It Visible
Revenge savers track obsessively:
- Net worth spreadsheet updated weekly
- Savings rate calculated monthly
- Progress charts showing growth
- Milestone celebrations
ℹ️ The No-Shame Rule
Revenge saving only works if you're doing it FOR you, not to impress others. Share on social media if it motivates you, but don't compete with strangers.
Real Revenge Saving Examples
Example 1: Sarah, 26, Saving 55%
Income: £32,000/year (£2,100/month after tax)
- Housing: £450/month (lives with 3 roommates)
- Food: £200/month (meal prep, cheap staples)
- Transport: £80/month (bicycle + occasional Uber)
- Phone/utilities: £60/month (basic plans, split bills)
- Fun money: £50/month (free activities mostly)
- Misc: £110/month
- Total spending: £950/month
- Savings: £1,150/month (55% rate)
Goal: £30,000 house deposit in 2 years
Example 2: James, 32, Saving 40%
Income: £45,000/year (£2,900/month after tax)
- Housing: £700/month (studio flat, cheaper area)
- Food: £250/month
- Transport: £120/month (public transport only)
- Bills: £150/month
- Entertainment: £100/month
- Misc: £180/month
- Side hustle income: +£400/month
- Total spending: £1,500/month
- Savings: £1,800/month (40% of main income, 55% including side hustle)
Goal: £50,000 for career break and travel in 2.5 years
Example 3: Emma & Tom, 29 & 31, Saving 60%
Combined income: £75,000/year (£4,800/month after tax)
- Housing: £1,000/month (one-bed flat)
- Food: £400/month
- Transport: £150/month (one car shared)
- Bills: £250/month
- Entertainment: £100/month
- Misc: £100/month
- Total spending: £2,000/month
- Savings: £2,800/month (58% rate)
Goal: £70,000 house deposit in 2 years, then pivot to retirement saving
Is Revenge Saving Sustainable?
Short-Term: Absolutely
For 1-3 years, revenge saving works brilliantly for:
- House deposit
- Debt elimination
- Career transition fund
- Emergency fund building
- Starting a business
Long-Term: With Adjustments
You can't save 60% forever. Life changes:
- Partner who doesn't share the vision
- Children (costs increase significantly)
- Health needs
- Desire for balance
Many revenge savers plan to maintain 30-40% long-term after hitting initial goals.
Calculate Your Revenge Saving Goal
Use our savings calculator to see how fast you can hit your target with aggressive saving.
Potential Downsides to Watch For
1. Extreme Deprivation
- Mental health suffers without ANY enjoyment
- Relationships strain if partner feels controlled
- Risk of burnout and giving up entirely
Solution: Build in 5-10% fun money that's guilt-free
2. Missing Life Experiences
- Turning down every social event
- Never traveling or creating memories
- Sacrificing your 20s/30s for your 50s
Solution: Budget for meaningful experiences, say no to expensive but meaningless ones
3. Hoarding Mindset
- Inability to ever spend, even when appropriate
- Anxiety about every purchase
- Forgetting money is a tool, not the goal
Solution: Define your "enough" number and plan to ease up when you hit it
⚠️ Balance Is Key
Revenge saving should be empowering, not punishing. If you're miserable, anxious, or alienating loved ones, dial it back. A 40% savings rate with happiness beats 60% with burnout.
Revenge Saving vs. Traditional Saving
AspectTraditional SavingRevenge SavingSavings Rate10-20%40-60%+TimelineSave what's leftLive on what's leftMotivationGeneral prudenceSpecific rebellion/goalLifestyleComfortableMinimalist/intentionalDurationLifelong habitOften 1-5 years intense## Is Revenge Saving Right for You?
It Might Work If:
- You have a specific, motivating financial goal
- You're naturally minimalist or willing to become one
- You find empowerment in bucking trends
- You're young and flexible (easier without kids/mortgage)
- You have income to spare after basics
- You need a "reset" after overspending period
It Might Not Work If:
- You're already stretched thin financially
- You have mental health struggles that extreme restriction worsens
- Your partner/family aren't on board
- You have no specific goal (just saving to save)
- You tend toward disordered relationship with money
Getting Started: Your First Month
- Calculate current savings rate: What % are you saving now?
- Set revenge target: Aim for 2-3x your current rate
- Identify your "why": What are you revenge saving FOR?
- Cut one major expense: Housing, car, or lifestyle
- Start side income: Even small adds up
- Automate new rate: Transfer happens on payday
- Track obsessively: Weekly check-ins keep you motivated
- Join community: Reddit's r/FIREUK or similar for support
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