Do you save money?

[jac2011]

Moving2Tasmania, I know how that feels. My mum has a hereditary heart condition which has basically caused her so much damage to her heart she is in heart failure now and can barely walk 15 minutes. There is a 50% chance of myself having it and then 50% chance of me passing it to my children if I have it. I only found out last year and it nearly made me fail my year at uni, to this day I cant face going for the tests to see if I have inherited it. My bro and sis have been and neither have it.

 

However, I do believe in living life but within reason. I always get a bargain, I will never buy designer clothes and I will never pay over the odds for holidays. The last 4 years have been Eurocamps and we have had some amazing holidays that we could not recreate in a 5star hotel. I do this, so that what's left can go to the children. However, like others have said this will be in return for hard work. If they carry on in Education, they can live rent free. If they quit education/training then they will pay rent to stay with us and take on chores. If they go to University I will make their lives comfortable. If they save up a large percentage of a mortgage deposit then I will match it with maybe 25%-50%. If they are getting married and haven't rushed into something with the wrong man/woman then there will be funds to help with a nice wedding. Basically, its a parents way of bribing them to be sensible as they mature :-)

[MovingtoTasmania]

Moving2Tasmania, I know how that feels. My mum has a hereditary heart condition which has basically caused her so much damage to her heart she is in heart failure now and can barely walk 15 minutes. There is a 50% chance of myself having it and then 50% chance of me passing it to my children if I have it. I only found out last year and it nearly made me fail my year at uni, to this day I cant face going for the tests to see if I have inherited it. My bro and sis have been and neither have it.

 

However, I do believe in living life but within reason. I always get a bargain, I will never buy designer clothes and I will never pay over the odds for holidays. The last 4 years have been Eurocamps and we have had some amazing holidays that we could not recreate in a 5star hotel. I do this, so that what's left can go to the children. However, like others have said this will be in return for hard work. If they carry on in Education, they can live rent free. If they quit education/training then they will pay rent to stay with us and take on chores. If they go to University I will make their lives comfortable. If they save up a large percentage of a mortgage deposit then I will match it with maybe 25%-50%. If they are getting married and haven't rushed into something with the wrong man/woman then there will be funds to help with a nice wedding. Basically, its a parents way of bribing them to be sensible as they mature :-)

 

Jac, just go, for your own peace of mind. I have to go regularly for checks and it really is a huge weight off your mind to know that all's well so far. Between that and the blinking cancer I don't know whether I'm coming or going :laugh: but having checks and knowing it's all clear helps to really make me think I'm going to make it to 90 :wink:

[Johndoe]

My kids at home are 20 and 19. Both of them work and one is at uni as well. I've been called stupid for not taking any keep off them, particularly as Jake has 40k in the bank and Josh has 9k. As long as they continue to save, then we will keep 'em. Josh "pumps iron" and eats according to his strategies. He buys all his own protein (which is just as well otherwise we'd be skint) even though we never insisted that he did/does. He just seems to know what the limits are in keeping him, and we're proud that he sussed that himself.

[Johndoe]

Jac, just go, for your own peace of mind. I have to go regularly for checks and it really is a huge weight off your mind to know that all's well so far. Between that and the blinking cancer I don't know whether I'm coming or going :laugh: but having checks and knowing it's all clear helps to really make me think I'm going to make it to 90 :wink:

 

I agree. I thought I was as fit as a butcher's dog and a simple thing like pins and needles in my hand had Her Indoors pushing me for a check up what with my family's history. They were cracking me open a week later for a quadruple by-pass. I had no chest or neck pain............it was all purely down to family history. Make sure you are checked regulalry if there is a history.

[Parley]

My strategy was always to salary sacrifice into super the same percentage as my employer put in.

I was on quite a good salary which helped. They would put in 9% so would I pre tax.

 

The good thinkg about salary sacrifice is you don't even notice it. It comes out of your gross salary before you get paid, so you just play with the rest.

Also with paying the mortgage which is sort of like enforced saving.

 

And just save up for other things as I wanted them.

 

I probably will end up leaving my kids quite a lot of money and hopefully it doesn't spoil them but will help them with house purchases and stuff like that.

[MARYROSE02]

If you do, why do you do it?

 

a few years ago at my grandads funeral, I walked around the headstones. A lot of people seemed to have died in there 40's, 50,s early 60,s.

 

i went home that night and cancelled every insurance policy and pension we had.

 

im great at saving, but only do it now for something I want in the here and now.

 

i refuse to squirrel away money just to leave to my daughters, nobody helped us, and I feel we've done our bit on setting them on the right career path.

 

all I see is the more you save for your old age, the less help you get.

 

My dad died while planning his retirement, that's made me more want to enjoy what I have now.

 

are you not enjoying life, because your saving for a future you may not have?

 

Life's a gamble and none of us know how long we are going to live. For every person who dies before they reach retirement, there are plenty more who live for thirty years or more. If you are not working, where does your income come from? If you are living off your savings, then you need a huge amount to live off the interest, without cutting into the capital. How can you be sure you will be able to live on the state pension? What if you need to go into a nursing home? Having money might mean you can choose a nice place. I don't know what the state does if you can't afford to pay for a nursing home. Yes, I agree it's seems totally unfair that the government will take most of your assets, including your home to pay for your care, but governments are cutting their budgets everywhere.

 

I dithered for a few weeks, when I turned 60, trying to decide whether to take the lump sum and a smaller pension, or no lump sum and a higher pension. I've 'gambled' if you like that I'm going to be around long enough to make more than that lump sum, something I already did with another pension I took at 42 as part of a retrenchment package. That pension has paid out for 18 years. I'm looking at an income, from pensions and rent of about $500 per week, which is OK, but I could do better. I think I can live on it without working. How much do you need?

 

I had a friend who had everything set up for his retirement, and then died within a few weeks of starting his pension, but then I meet people of 80, who still seem to be leading happy and active lives. Look at some of our former PM's - Paul Keating, 70, John Howard, 75, Bob Hawke, well into his 80's. Clint Eastwood, just released a new movie - Jersey Boys - and he is 84

[ramot]

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.

 

 

Just wnt to pick up your comment about folk in their 80's, not sure how many you know, but we know plenty who still have a great life.

I have someone I call my surrogate mother who is 88, and I reckon she does more in a day than I do in a week. Goes to water aerobics, plays bridge 3 day a week, socialises and always has friends and family visiting. Her husband swims in the sea every day. Trust me they are not unusual on the Sunshine Coast.

I have to laugh as she phones me every week to make sure I am ok, should be the other way round!

 

We have worked hard, started out with very little and had nothing from our parents, but took some chances, husband left a job for life in the RAF while other service friends didn't. Managed to buy some investment properties, with minimum deposit, which was the best thing we could have done.

Have helped 2 of ours with money towards a depost on a house, and occasionally extra when needed just happy that we could afford to. Will help the youngest with a deposit When she is ready.

 

untill you retire you don't know how much you will need or for how long, but it does make sense to plan for your retirement.

We have been retired for 11 years now, we were sensible, but also didn't go without.

we have a great life, but it is made more comfortable because we did plan. Until you retire you doen't realize how much fun you can have, but we are also very lucky because so far we have our health.

[Jacaranda]

I do save (half my wage)each month,but not for anything too much in the future,just for holidays or stuff round the house.I live in the "now"but like to keep a floater of a few thousand just because I think its nice to have some savings in the bank,no other reason.

[Que Sera Sera]

But are you saving for you n OH to enjoy, for whatever you want.

 

or are you saving for old age or to leave for the kids xx

 

We are saving for us definitely. My Mum saved and scrimped all her life and when she died we found she had saved my Dads pension ( he died in service aged 40 ) it was a considerable amount , but forgot to mention it in the Will so it all went to our step father who kept the lot and disowned all his step kids. Money is evil, spend it then there are no rows :laugh:

[MARYROSE02]

We are saving for us definitely. My Mum saved and scrimped all her life and when she died we found she had saved my Dads pension ( he died in service aged 40 ) it was a considerable amount , but forgot to mention it in the Will so it all went to our step father who kept the lot and disowned all his step kids. Money is evil, spend it then there are no rows :laugh:

 

I saw an article in the Mail online about 'oldies' living it up in Tenerife, spending their kids' inheritances at clubs like 'God's Waiting Room.'

[MARYROSE02]

I do save (half my wage)each month,but not for anything too much in the future,just for holidays or stuff round the house.I live in the "now"but like to keep a floater of a few thousand just because I think its nice to have some savings in the bank,no other reason.

 

I went to the doctor in the middle of June, hernia diagnosed, referred to surgeon, who said to me 'When would you like it done?' 'ASAP.' 'How about 7th July?' 'OK'. He explained the (astronomical!) costs, but I knew I had the money saved up, so I said 'Yes.' I paid the bulk of the fee using my UK debit card (and the first few payments of my RM pension) and I do regret now not transferring that money to my ANZ account, as I think the FX fee for using my card was over 80 pounds (on a fee of 3,000.)

 

I usually scrimp and procrastinate for months about spending money, but when it's something I need, I just do it.

 

I am going to look into private health insurance though!

[Marisawright]

If you do, why do you do it?

 

a few years ago at my grandads funeral, I walked around the headstones. A lot of people seemed to have died in there 40's, 50,s early 60,s.

 

i went home that night and cancelled every insurance policy and pension we had.

 

im great at saving, but only do it now for something I want in the here and now.

 

i refuse to squirrel away money just to leave to my daughters...

 

are you not enjoying life, because your saving for a future you may not have?

 

I agree up to a point. I think you have to strike a balance, because over the years, governments all over the world have been steadily cutting back on state pensions. So although I'm hoping to die having enjoyed every cent of my money, I don't want to end up living in poverty if I live into my eighties.

 

I guess I've been lucky to have good jobs so it's been easy for me to put something aside while also enjoying life, so I haven't ever had to make a choice, really - I've been able to do both.

 

Considering people are living longer and longer, the chances are that most of us will live a long time after retirement. I suppose you could take the view that if you do live that long, your daughters can bloody well support you, but that seems a bit rough to me.

 

On the other hand, I can't see the point of life insurance unless you have a family who wouldn't survive without it, so I've never had it. I did have income protection insurance while I was working, because if I'd become disabled I would've been a burden on my family - disability benefits are woefully inadequate.

[Guest littlesarah]

We save what we can, mostly to pay for house renovations at the moment. But I also started squirrelling some cash away for a new car, that then became the 'baby fund'! I also like to have some money in the bank for a 'rainy day', which has meant that we haven't paid credit card interest for about 15 years! We're also keen to pay our mortgage off early if possible, so we take advantage of an offset account.

My parents did it tough when I was a kid, dad was in & out of work & interest rates were high. But they still managed to save when things got a bit better for them, & they gave me some money to help me through uni & to help with a deposit on my first house. But I was always sensible with money, & never asked for anything. They wanted to help because I was helping myself, & I was paying rent while saving to buy, so they knew I was being very frugal! My sister got herself into financial trouble a bit, & they helped her sort that out - so it was fair really.

Would I do the same for my offspring? Yes, as long as I could afford to & not go without.

As for retirement saving, I think it's important to make some provision- not for my kids, but so that I can be cared for should I need it. Yes people die young, but a lot (perhaps more) also live a long time & need looking after. I'd like to be able to travel if I want to, & to choose where I live if I need care.

For me, I always try to save something, 'just in case', but we also allow ourselves a treat or two.

[Paul1Perth]

Me and the wife were brought up in an age where you just saved all the time. From the first pocket money and paper round you had you saved as much as you could for a treat. My first purchases that my Mum and Dad didn't buy me would have been levi jacket and jeans. I had saved up ages to buy them with my paper round money.

 

That practice has never left me and we didn't have credit cards till we came to Aus. We were much more in control of our financial situation then. Even though we still save probably every month we don't exactly know what we are "worth" now we have credit cards and an offset mortgage, it's too hard to spend time trying to work it out. All we know is when my wife had to go back to the UK as her Mum was sick we had enough in the bank to pay for the ticket and not have to worry about where the money was coming from.

 

My kids and our nephews and nieces were born in an age where lots of things seem to be bought on credit, they don't save up for things, don't seem to worry about how they are going to pay for things, they just want them NOW. Actually our youngest is like us but he has autism so is different. He spends our money without a problem but never seems to take his own money out.:laugh:

 

He has a job so he has plenty. The oldest is more typical. He works FIFO though so earns a lot of money but, boy, does he know how to spend it.

[Parley]

I had a friend who had everything set up for his retirement, and then died within a few weeks of starting his pension, but then I meet people of 80, who still seem to be leading happy and active lives. Look at some of our former PM's - Paul Keating, 70, John Howard, 75, Bob Hawke, well into his 80's. Clint Eastwood, just released a new movie - Jersey Boys - and he is 84

 

Don't forget Gough Whitlam, still chugging along at age 98.

[Guest]

I wouldn't save for kids. No one ever gave me anything and I wasn't left anything either. I saved and invested and put a little away i can easily spare, the rest goes on enjoyment - thats the way it should be.

 

I think far too many people are scared by all the negative news and advertising and they dont live their lives any more, kids are ferried to school and dropped off all over. Cotton wool, they wont experience real life

[Johnny Kash]

Its a strange one alright.

 

Ive got mates, late 30s/early 40s still essentially living the life of a backpacker, on a never ending gap year. snowboarding in the winter, Greece and the likes in the summer working at the resorts.

Of course no pension, no hope of getting on the property ladder and cant really have kids with that lifestyle, but... they lead a life of riley! sometimes Im envious of that freedom and devil may care attitude.

 

On the other hand one of these 'Peter Pans' was telling me how its now getting a bit embarrassing as the supervisors giving him orders at these resorts are about 19 :wink:

 

Im about in the middle I guess, paid into a final salary pension when I could (That ones a no brainer!) and made sacrifices to buy property years ago. At the time I sometimes wondered why I was living in a council estate miles from town while my mates were all whooping it up in the centre of Edinburgh but looking back it was a great move and the way I see it having a bit of financial freedom give you so many more options in later life.

[MARYROSE02]

Its a strange one alright.

 

Ive got mates, late 30s/early 40s still essentially living the life of a backpacker, on a never ending gap year. snowboarding in the winter, Greece and the likes in the summer working at the resorts.

Of course no pension, no hope of getting on the property ladder and cant really have kids with that lifestyle, but... they lead a life of riley! sometimes Im envious of that freedom and devil may care attitude.

 

On the other hand one of these 'Peter Pans' was telling me how its now getting a bit embarrassing as the supervisors giving him orders at these resorts are about 19 :wink:

 

Im about in the middle I guess, paid into a final salary pension when I could (That ones a no brainer!) and made sacrifices to buy property years ago. At the time I sometimes wondered why I was living in a council estate miles from town while my mates were all whooping it up in the centre of Edinburgh but looking back it was a great move and the way I see it having a bit of financial freedom give you so many more options in later life.

 

I probably envy those 'Peter Pans' too, although life does not have to be 'either/or.' You could strive for a middle way, having fun AND saving for old age. And of course, 'having fun' does not have to mean spending money?! Just look at the huge levels of debt that many people carry, to maintain their 'life of Riley!?'

 

For some reason I'm thinking now of 'My Generation' and 'Hope I Die Before I Get Old!?' I guess Keith Moon lived by that ethos, although he did not write the song, whilst the guys who wrote it, sang it, DID get old, and they - Pete and Roger - still seem to be having fun, at, what? 69/70? Likewise Paul and Ringo, still going strong in their early to mid 70's, touring, making records. Those 'Peter Pans' could still be skiing and surfing in their 60's and 70's, as long as they can afford to, of course!

[Johnny Kash]

I probably envy those 'Peter Pans' too, although life does not have to be 'either/or.' You could strive for a middle way, having fun AND saving for old age. And of course, 'having fun' does not have to mean spending money?! Just look at the huge levels of debt that many people carry, to maintain their 'life of Riley!?'

 

For some reason I'm thinking now of 'My Generation' and 'Hope I Die Before I Get Old!?' I guess Keith Moon lived by that ethos, although he did not write the song, whilst the guys who wrote it, sang it, DID get old, and they - Pete and Roger - still seem to be having fun, at, what? 69/70? Likewise Paul and Ringo, still going strong in their early to mid 70's, touring, making records. Those 'Peter Pans' could still be skiing and surfing in their 60's and 70's, as long as they can afford to, of course!

 

 

I agree, and as you say Im probably in the middle, do my best to have fun but with half an eye on the future.

 

A good compromise would be if you bought a property, held for a few years, got the mortgage down - then rent it out and bugger off to do the seasons abroad whilst still holding an asset for the future. I think Ive cracked it :cool:

 

Oh yes, forgetting Ive got a wife and am supposed to be planning to have kids in the foreseeable. Ah well, twas a grand idea :wink:

[Paul1Perth]

Its a strange one alright.

 

Ive got mates, late 30s/early 40s still essentially living the life of a backpacker, on a never ending gap year. snowboarding in the winter, Greece and the likes in the summer working at the resorts.

Of course no pension, no hope of getting on the property ladder and cant really have kids with that lifestyle, but... they lead a life of riley! sometimes Im envious of that freedom and devil may care attitude.

 

On the other hand one of these 'Peter Pans' was telling me how its now getting a bit embarrassing as the supervisors giving him orders at these resorts are about 19 :wink:

 

Im about in the middle I guess, paid into a final salary pension when I could (That ones a no brainer!) and made sacrifices to buy property years ago. At the time I sometimes wondered why I was living in a council estate miles from town while my mates were all whooping it up in the centre of Edinburgh but looking back it was a great move and the way I see it having a bit of financial freedom give you so many more options in later life.

 

I didn't have the years of working in resorts, thought about it plenty of times though. I left school and did an apprenticeship with the NCB, so I was always lucky enough to have enough money to go abroad, to Spain, Greece, Portugal or somewhere nice, probably 3 or 4 times a year while I was in my teens and 20's. I went back to Uni when I was 31 and spent everything I had saved. First time I'd been without a car as I couldn't afford to run it on a grant. Got a job aged 33 on a graduate training scheme, got married to my long term girlfriend and had to start from scratch at that age.

 

Your mates in their 40's must be getting to the age where it's getting a bit embarrassing and harder picking up the young chicks. Lets face it, that's one of the main reasons for living that lifestyle too. If they can come back to reality, get a decent job, settle down, they should still be OK and will have had a great life with a lot of fantastic memories most of us will never have.

 

You only live once and I can't blame people who have the guts to go and live like that for as long as they can.

[Johnny Kash]

I didn't have the years of working in resorts, thought about it plenty of times though. I left school and did an apprenticeship with the NCB, so I was always lucky enough to have enough money to go abroad, to Spain, Greece, Portugal or somewhere nice, probably 3 or 4 times a year while I was in my teens and 20's. I went back to Uni when I was 31 and spent everything I had saved. First time I'd been without a car as I couldn't afford to run it on a grant. Got a job aged 33 on a graduate training scheme, got married to my long term girlfriend and had to start from scratch at that age.

 

Your mates in their 40's must be getting to the age where it's getting a bit embarrassing and harder picking up the young chicks. Lets face it, that's one of the main reasons for living that lifestyle too. If they can come back to reality, get a decent job, settle down, they should still be OK and will have had a great life with a lot of fantastic memories most of us will never have.

 

You only live once and I can't blame people who have the guts to go and live like that for as long as they can.

 

 

It is getting harder for them, but one in particular has no shame! He's more embarrassed about taking orders from 19 year olds than trying to pick up chicks of that same age ! :biglaugh:

 

I agree with your thoughts that its great to have such memories to look back on. I managed one year of that lifestyle and it was magic!

[Chortlepuss]

Life's a gamble and none of us know how long we are going to live.

 

 

 

I'm going to live loads longer if I cheer up a bit

 

http://www.deathclock.com/

[Guest51810]

I won't be left anything by my parents.. Infact I'll probably end up having to pay for their funerals! I'll start thinking about properly saving in the next few years, I guess I'll want to buy a flat when I'm a bit older!

[Marisawright]

I believe in saving; but only to achieve those immediate goals that I want to achieve. Life is most certainly too short to deny yourself happiness at a time when you are fit enough to enjoy it most.

 

A young person's attitude for sure! What no one expects when they're young (I certainly didn't) is that when you get to fifty or sixty, you'll still have the same attitudes and desires that you had at twenty - you won't be content to sit in your cardigan and slippers watching the world go by. So that means you need money - and if you haven't put anything aside, then that means you have to go on and on and on working to earn it.

 

Now that I'm sixty and am fed up of work but still fit and active enough to want to enjoy life, I'm very glad I did put some money aside so I can actually have a retirement.

[ramot]

Trust me as a little grey haired old granny! retirement is much more fun if you have made provision to be comfortable when you retire.

some of us are still fit enough to get out of our arm chairs and live life to the full. We are off to the Kimberlies for 3 weeks shortly and then Vietnam and Cambodia later in the year. Had a great lunch out yesterday in a group of over 50 like minded retirees..

Car treasure hunt at the weekend etc etc. so there is still a life to lived when you retire and it's made more enjoyable if you have been a bit sensible and provided for your retirement.