Do you save money?

[noworriesmate]

I guess it's the same as saving but I was left heavily in debt after the GFC and have been working hard to clear various responsibilities since that date (2008). By the end of this year we will be debt free (except for the mortgage) for the first time in many years. My goal then is to work towards clearing our mortgage - the GFC has left me never wanting to be beholden to the banks for anything ever again. I am in the fortunate position of owning my own business, having built it up from scratch. It is currently my pension plan however even this scares me a little now. i used to think that I would be fine in old age, living off the proceeds it generates, however recent history has left me a bit more sceptical and I am determined to make sure there is a little more of a buffer than I once might have.

 

NWM

[LKC]

Yes, we do save. We are pretty careful with money, have no debt aside from a tiny bit of a mortgage (we are almost mortgage free), and if we want to buy things, we save for them. We don't take credit out for anything. Our credit card is kept for purchases such as holidays, but anything spent on them is always paid off that same day. We are currently saving to put towards a new car and renovate our house, but won't start until we have the money in the bank.

 

OH and I were talking about this the other day, I am sure that we can cut back on some more things so as to save more - I don't mean live off toast and baked beans, just shopping around for better deals, switching electricity company and being more careful with when we use the electricity etc. Our aim is to help the girls through uni, and for OH to retire at about the same time. We need enough in the bank/investments etc to do that. We have about 15 years to save/invest, and OH should be able to retire nice and early so that we can then downsize and go and do what we want. Not to say that we don't travel and such now, we just save up to do so. Makes it more enjoyable IMO if you don't have to pay over the odds in interest charges.

[blossom]

So your saving for a reason, and such a noble cause.

 

but will you save for a retirement that you may or not have the good fortune to enjoy?

 

or will you squirrel away money for your new borns future? Or will you show them that hard work equals a nice life?

 

Ohhhh no, there will be no squirrelling for the babies future. I will probably take out life insurance just incase something bad happens and someone has to support him/her, but that will be it.

I have a strong belief that children should not expect everything they want, and should learn about money. My child, when it is old enough will have pocket money which will be linked to chores. The harder they work, the more I will let them earn (to a max anxiously). They will be taught to wait until they can afford something rather than expecting it NOW.

 

Retirement, I'm a long way off thinking about saving for that.

[Parley]

Australia has a wonderful superannuation system and really anyone is mad who is not saving for their retirement.

 

Most of us will live into our 80s and who wants to live in poverty when they are old. That would really suck.

And you will be relying on the government to care for you.

 

At least ensure your house is paid off - and I would hate to be a renter in retirement. And have enough savings so you can enjoy your retirement.

If you blow everything while you are working, I guarantee you will regret it later.

 

Blossom - I think you are at the age where you should start saving for retirement. (The magic of compound interest).

If you don't start until you think about it it may be too late.

[paisleylass]

Hmm, we live our lives to the fullest and don't scrimp, whatever's left each month goes into a savings account. One day that will go towards buying a house, and after that happens any leftover money can overpay the mortgage or go into a rainy day fund. No kids to save for, wouldn't do that anyway, I have always been self sufficient, parents lived on credit pretty much, I expected nothing.

 

No planning here, we'll just take each day as it comes, life is too short.

[LKC]

Ohhhh no, there will be no squirrelling for the babies future. I will probably take out life insurance just incase something bad happens and someone has to support him/her, but that will be it.

I have a strong belief that children should not expect everything they want, and should learn about money. My child, when it is old enough will have pocket money which will be linked to chores. The harder they work, the more I will let them earn (to a max anxiously). They will be taught to wait until they can afford something rather than expecting it NOW.

 

Retirement, I'm a long way off thinking about saving for that.

 

I do this with my girls. They earn their pocket money by doing things over and above what is expected. For example, I expect them to make their bed, but if they help me to wash the car or weed the garden, those things earn pocket money. I also allow them to decide what to do with their earned money. If they want to spend it in the school canteen, then it is gone and they can't save for whatever bit of LEGO they have been looking at. They very quickly learn that it is better to save for things, rather than waste it, and actually they often put their money together so that they have more to spend.

 

I know that many people have said that life is too short and that money should be spent, but it isn't always short and I would hate to live in poverty in my old age. My dad died when he was 52, and scrimped and saved his whole life to pay off their mortgage and help us out a bit through uni, and didn't get the chance to enjoy his retirement. However, there is no guarantee that I will pop my clogs at 52, or 62, or 72. I might live to be 100. Or I might die tomorrow. I am just planning for the best case scenario (if that makes sense - the best case would be to live to a ripe old age). If we save and one of us dies at 52, then at least the other has enough to be comfortable. If we both happen to die young and leave it to the girls, then so be it. However, if we both live to be 100 I would like for us to be able to afford to have a nice life. I would like to be one of those wonderful old people who travels to far flung places!

 

I didn't spend any of my dads hard earned money after he died, by the way. I worked my way through uni, dad just gave me a bit as and when he could afford. My mum spent all of the money that dad left on exotic holidays and fancy clothing after he died, and now has to face the reality of not having enough to enjoy her retirement. You don't necessarily leave it to your children.

[Chortlepuss]

I do think that a lot of the post war/baby boomers grew up in relatively constrained circumstances, and like myself were left with very little financial support at 18+. It never occurred to me that my parents could or would help me out financially - they were pretty skint. My dad died with v little but left mum a great pension and I am so grateful for that - she would have had to have sold the house and lived in relative poverty otherwise. My kids have never really known what it is not to have enough money and I don't think that's a great lesson in life to have. But having grown up skint, I find it difficult to say no

[HappyHeart]

It's a nice idea to plan for retirement but the fact of the matter is (for us) to do so would leave us short in the here and now..I've got my super. I've seen my Dad and my Father in Law work hard all their lives and pay into various schemes and investments only to be left wanting when the companies went bust or investments didn't perform well....My Dad still works and is counting the days to retirement....FIL decided he couldn't afford to retire then thought stuff it, and did so....they do OK both own own homes and go on hols, my Dad is a closet saver I think, just like his Mum, died with several thousand and left it to kids..lived a bloody miserable existence in a loveless marriage...nah, not for me, what I have I'll spend and if I can help my kids along the way I will do so...but it will be a something for something deal...they have to learn to stand on their own two feet and learn that money should not be their master. There's soooo much more to life and striking the balance can be hard I guess as our society is geared towards us earning just enough to pay into the system and keep us from getting that bit too comfy.....It's a mugs game at the end of the day....

[Irishgirl1]

In my younger years I saved hard to renovate my house and to go on holidays, when we were first married and had our Daughter which wasn't planned we struggled for financial reasons and other things, I now think differently we don't go out much, I would rather go on holidays which we have done a lot off over the 7 years Ireland 3 times, Melbourne, Adelaide, Busselton,Margaret River, Cervantes and Bali 5 times, we have spend nearly $32000 on renovations in the last year which we have saved ourselves, we have a credit card for $2000 which is for booking holidays and shopping online but things are a lot easier now with Paypal and linking your normal bank account, since I moved out of home at 17 I have and still do use the GE interest free we have bought nearly everything on it with either 12,24 or 48 months interest free, never paid interest as always pay it off with 6 months.

I am up and down as what to do with the kids, we came her and my Mum and Dad used our post office accounts to pay for our airfares as that's all they had, they struggled like you wouldn't believe and we are still finding out things now, we didn't get anything really, had what clothes we needed and were feed, but loved like no other, my parents had to use food vouchers and had help from Homeswest at the time to keep the house, no holidays, whenever we earned money 30% if it went to my parents, when things got easier, they bought an investment property with me, then another one that my sister rented for years, they have 2 investments and all 3 of us have lived in them and now my Cousin is in another one, we paid for their first holiday for the 25th Wedding anniversary to Cairns in 1998 (we arrived in 1988), they have helped us all out over the years but we all work and have done pretty well for ourselves, a year or so off retirement or so for my parents, 3 houses all paid off, and now travelling áll the time, off to America next, but I think when you have struggled it isn't just easy to say lets spend a $200 on shopping now instead of $100 because we can that's how my Mum thinks, she would rather have her holidays, I will help my kids as much as I can, we won't pay for Uni they have HECS fees which they pay off when they start working. If my kids want to buy a house and save $25000 for a deposit and I have $10000 I will give it to them no problem to help them on their way... I suppose you will look at it differently depending on the how you were brought up...maybe

[Bobj]

Do you save money? Saving for another fishing reel:yes:Well, I only have 11

 

:laugh:

 

Cheers, Bobj.

[Pumpkin]

I do make sure I enjoy life now. I am not going to go without holidays and nice things because I am saving for old age. I want to travel and see the world now whilst I am young. But I cannot say to hell with old age and I am going to spend it all now. I live within my means and that includes making provision for my retirement which I see as an essential, not a nice to have. I wouldn't want to live on benefits now and so I can't think of any reason why I would in the future either.

[blossom]

 

Blossom - I think you are at the age where you should start saving for retirement. (The magic of compound interest).

If you don't start until you think about it it may be too late.

 

Normally I'd absolutely agree with you, but unfortunately my life has turned out quite different to how I'd planned. Because of silly immigration rules changing I've had to spend 5 years in a crap paying job as it's 'in demand' as the one I was already trained for, and had places scrambling to sponsor me, wasn't on any list (it's now covered by a nec, but it wasn't back then).

I would have been on a good wage for those five years, with good benefits etc. instead I've had no choice (if I wanted to stay in oz) but to work for not a huge amount more than minimum wage. This has left me with less in savings. Not having my own house which I expected to, less in my super, and having to hold off having kids for much longer.

But that's life. I will make the best of what I have now and that includes not having spare to put towards my retirement for a while.

[HappyHeart]

saving for retirement...it's such an alien concept to me..I know it's sensible but...I'm just not wired that way.:SLEEP: I'll worry about that when its a bit closer...got enough to pay out/think about:goofy:

[Delaneym]

I save around $1400 a fortnight because I can... Having helped out with sons wedding both of my sons and partners coming on work visas in a couple of months so might need some help..I might work towards buying something like a unit/house..I might give it to them I might go travelling dunno... I might relocate in another country the possibilities are endless...all I know is I only have me here in Australia and I depend on me so I enjoy my earnings the way I choose too...

[Gbye grey sky]

saving for retirement...it's such an alien concept to me..I know it's sensible but...I'm just not wired that way.:SLEEP: I'll worry about that when its a bit closer...got enough to pay out/think about:goofy:

 

I understand exactly what you mean. I always paid a little into a pension when I started work at 16. Seemed insignificant at the time and I regarded the deduction as just another tax. Glad I did it now though (wish I had put a bit more in tbh because I reckon that for at least a decade pissed most of my wages up a wall). It was only when neared 50 that I really started working out how much I would need/want in retirement which necessitated some major lifestyle choices. I also realised that I was fed up with work. When I was young saw no problem working and couldn't imagine having all that free time. Mindset changed, for me at least.

[LKC]

I do make sure I enjoy life now. I am not going to go without holidays and nice things because I am saving for old age. I want to travel and see the world now whilst I am young. But I cannot say to hell with old age and I am going to spend it all now. I live within my means and that includes making provision for my retirement which I see as an essential, not a nice to have. I wouldn't want to live on benefits now and so I can't think of any reason why I would in the future either.

 

This is how I think I guess. We are careful with money, not in a baked-beans-on-toast-reading-by-candlelight sort of way, but we do think long and hard about the purchases we make and always try and find the best price. We go on enjoyable holidays to beautiful places, and don't scrimp on certain other things (like food - we purchase good quality meat and fruit/veg), but we are careful with other things so that we can afford to put something away. Instead of Foxtel at $75 or whatever per month, we subscribe to a proxy server, and Netflix which costs a total of $13, plus Quickflix which is $9.99. I use the timer on our washing machine, so it washes the clothes when the electricity is cheapest. We have solar hot water and electricity which saves us some more. I buy our shoes from the US via Amazon, and we use the library for books. I never feel like we do without anything or like we are missing out on life. I am just mindful of the fact that (hopefully) our savings will need to last for a very long time. If we both die young and the girls get everything, so be it. If we both die in our 90's and we have had an easy time in retirement and have spent every cent, so be it.

 

ETA: Got the Quickflix pricing wrong. Thought it was $14.99, but it is actually $9.99.

[Jessica Berry]

My parents spend their money, always going on holiday and going out. I encourage them and tell them I don't want their money and nor do I expect it. I am self sufficient and can support myself. The amount of parents who are a similar age to my parents that end up bailing their adult children out of debt is shocking in my opinion.

[LKC]

I have a question for those who say they don't want to leave anything to their children. And by asking this I am in no way criticising what you feel or do, I am just interested in the answers.

 

Do you think that if you raise your children in the right way, to respect and understand the value of money and hard work, that they will change and become lazy and expect everything handed on a silver platter, if you help them out once in a while if you can, or leave them something when you die?

 

I don't expect or want my mums money, and would rather she spent everything she had and had a more comfortable life. However if she did leave something to me it wouldn't change me as a person. I am careful with money, and if I were to inherit something it wouldn't change that - it wouldn't make me think that I could spend willy nilly, or be handed everything on a silver platter. OH and I work hard, and always have, and I would hope that I am raising our daughters to respect money, to understand that they have to work hard to achieve anything in life, and not to expect everything to be given to them. I would hope that they carry these values on in to their adulthood, even if we do help them out with uni fees and a deposit for a house and such.

 

OH and I first got on to the property ladder 12 years ago, about the same time that OH purchased his first business. We were fortunate enough to be able to sell that house (and the two subsequent ones) and his business for far more than we bought them for, after working very hard and renovating the houses ourselves, on top of building up a business that often meant that OH was working every day for weeks on end. That left us in the enviable position that we had a huge deposit for our house here. I shudder to think what the situation will be like in 15 years time, when our girls have (hopefully) finished uni, are just starting out on their careers, and looking for their first home. The way that property prices are, they may just about be able to afford a tent in our back garden. Realistically, we and our parents have had it pretty good. Our children, not so much, and we do intend to help them out a bit where we can. That said, we would only help them out if they demonstrate the same core values that I possess, and won't be bailing them out because they spent too much on clothing on a credit card.

[Irishgirl1]

I have a question for those who say they don't want to leave anything to their children. And by asking this I am in no way criticising what you feel or do, I am just interested in the answers.

 

Do you think that if you raise your children in the right way, to respect and understand the value of money and hard work, that they will change and become lazy and expect everything handed on a silver platter, if you help them out once in a while if you can, or leave them something when you die?

 

I don't expect or want my mums money, and would rather she spent everything she had and had a more comfortable life. However if she did leave something to me it wouldn't change me as a person. I am careful with money, and if I were to inherit something it wouldn't change that - it wouldn't make me think that I could spend willy nilly, or be handed everything on a silver platter. OH and I work hard, and always have, and I would hope that I am raising our daughters to respect money, to understand that they have to work hard to achieve anything in life, and not to expect everything to be given to them. I would hope that they carry these values on in to their adulthood, even if we do help them out with uni fees and a deposit for a house and such.

 

OH and I first got on to the property ladder 12 years ago, about the same time that OH purchased his first business. We were fortunate enough to be able to sell that house (and the two subsequent ones) and his business for far more than we bought them for, after working very hard and renovating the houses ourselves, on top of building up a business that often meant that OH was working every day for weeks on end. That left us in the enviable position that we had a huge deposit for our house here. I shudder to think what the situation will be like in 15 years time, when our girls have (hopefully) finished uni, are just starting out on their careers, and looking for their first home. The way that property prices are, they may just about be able to afford a tent in our back garden. Realistically, we and our parents have had it pretty good. Our children, not so much, and we do intend to help them out a bit where we can. That said, we would only help them out if they demonstrate the same core values that I possess, and won't be bailing them out because they spent too much on clothing on a credit card.

 

 

 

 

:notworthy: Thanks LKC I couldn't quite put it how you did, perfectly put xxxx

[caramac]

I have a question for those who say they don't want to leave anything to their children. And by asking this I am in no way criticising what you feel or do, I am just interested in the answers.

 

Do you think that if you raise your children in the right way, to respect and understand the value of money and hard work, that they will change and become lazy and expect everything handed on a silver platter, if you help them out once in a while if you can, or leave them something when you die?

 

I don't expect or want my mums money, and would rather she spent everything she had and had a more comfortable life. However if she did leave something to me it wouldn't change me as a person. I am careful with money, and if I were to inherit something it wouldn't change that - it wouldn't make me think that I could spend willy nilly, or be handed everything on a silver platter. OH and I work hard, and always have, and I would hope that I am raising our daughters to respect money, to understand that they have to work hard to achieve anything in life, and not to expect everything to be given to them. I would hope that they carry these values on in to their adulthood, even if we do help them out with uni fees and a deposit for a house and such.

 

OH and I first got on to the property ladder 12 years ago, about the same time that OH purchased his first business. We were fortunate enough to be able to sell that house (and the two subsequent ones) and his business for far more than we bought them for, after working very hard and renovating the houses ourselves, on top of building up a business that often meant that OH was working every day for weeks on end. That left us in the enviable position that we had a huge deposit for our house here. I shudder to think what the situation will be like in 15 years time, when our girls have (hopefully) finished uni, are just starting out on their careers, and looking for their first home. The way that property prices are, they may just about be able to afford a tent in our back garden. Realistically, we and our parents have had it pretty good. Our children, not so much, and we do intend to help them out a bit where we can. That said, we would only help them out if they demonstrate the same core values that I possess, and won't be bailing them out because they spent too much on clothing on a credit card.

 

 

My my sister and I are sole beneficiaries of my parents' will. They're not mega wealthy, but have always worked hard, saved and lived fairly frugally (imo), although they do everything they want. They never go abroad on holiday, but have hobbies which keep them busy and happy. They have a comfortable home and my sister and I will have a reasonable inheritance. It's nice that they want to leave us something, but not something I would expect. I would probably save that money as I would feel guilty spending it when they worked so hard to get it.

They have helped my sister out quite a lot in the past, when her marriage ended, giving her a deposit for her house and helping with food etc. That's the sort of thing I would help our kids with. I wouldn't pay off credit cards or pay for holidays etc, but I would help them out if there was a crisis in their lives. I don't feel that I have a responsibility to save money for them to have as a present for after we die though.

[Johndoe]

I'm 12 yrs older than my OH with a history of early death in my family.....................I push Her Indoors to salary sacrifice as much as she can to superann..................There's no insurance on ourselves as we surrendered all our policies to get to Oz. I need to know that her and the kids will be financially secure when I cark it, but we don't deprive ourselves of the "here and now" to do it.................we just don't "splurge" and we shop wisely.

[fifi69]

I think like you, we've never had any monetary help, but that hasn't stopped us from getting the most out of live.

 

if we had stayed in the UK then next year our mortgage would have been paid off, now because we remortgaged weve another 13 to go.

 

but we were happy to do that, for the chance of a new life in Oz.

 

im not going to pay any extra to pay it off early, I'm spending it now, while I can enjoy it.

 

totally get where your coming from though, yes there is a chance we may live to 90 and so we will need money, but how many people in their 80s do much more than just sit in, watch a bit of TV, read etc etc.

 

ie I want to spend my money now, while I'm fit and active. I'm happy buying jet skis, a new car, etc. next on my list is a pool.

 

as for kids, yes it did seem a lot easier when we were younger, but here at least its not impossible for them to get on the property ladder. My eldest is 20, her and her bf could easily get a mortgage, they aren't in major paying jobs, but could still do it. The only thing stopping them is the bf, is still only on a temp visa. For now though they rent a place in Applecross, not too shabby an area.

 

so really, if you install a good work ethic in your kids, you Shoudnt need to worry too much about having to forgo things now, just to leave your money for them.

 

I used to be really against the buy now, worry later thinking, but not anymore, but I still do it within reason. We don't own a credit card, and like I said, I just save for what I want.

[HappyHeart]

Our parents helped us along the way....loans to help us fix cars etc, the odd 500 quid here and there...my Dad and his wife gave us $1000 to come here, In laws gave about the same I think..In laws subsidised our wedding...paid for evening party and the photos....my Mum is not in a position to help me financially but she gave me a solid start and instilled her hard working principles and 'save for what you want' ethics into me.....we got into a bit of a financial mess in our 20s but are much more sensible these days and we save for the things we want. My Dad owns half of his late Mums house (my Nan) and that will go to me when he dies, along with my share of what he has (I have stepbrothers)...I honestly would not care if he spent it all before he went...I want him to enjoy himself, always trying to get him over here...truth is he's a bit tight! I have told my Nan not to leave me anything....other than memories and one of her necklaces I used to wear when dressing up as a child...wills/money and families...an ugly mix I see a lot of in my job.....

[northernbird]

Never had a penny of either parent in life and when my Mum died she had nothing and I paid for the funeral. I will not do that to my kids. I will at least leave enough for them to dispose of me, anything else is pure selfishness IMO.

[fifi69]

Never had a penny of either parent in life and when my Mum died she had nothing and I paid for the funeral. I will not do that to my kids. I will at least leave enough for them to dispose of me, anything else is pure selfishness IMO.

 

I agree. My dad Didnt have anything to leave as in money, just enough in his bank account to pay for his funeral. But it was nice hearing him on his deathbed saying he had had a 40year party in his lifetime. Of course he had a lot more partying to do.

 

taken too soon:cry: