Is it ever to late to save ?

[Deleted User]

Reading a thread below has got me thinking.

People are a lot more savvy now with forums like these motivating and teaching the benefits of saving and getting the most out of your money no matter the sum.

I was wondering for poeple late forties and above if there is the same impetus to pay off the mortgage, increase the pension, rainy day funds or whatever or if there is a feeling of missing the boat and not long enough of a working life left to really make a difference.

I cant help thinking that if I was 30 yrs younger I would have done things so differently. I've had some wonderful holidays and enjoyed life to the full but I still have a couple of mortgages and wish I had the forsight to clear them early.

Anyone else feeling they would have done things differently.

foreversummer

I certainly would have done things differently! But for me personally I would have retrained and updated my skills to have been able to earn a higher salary probably with a reasonable pension. I've always been just above the minimum wage sort of person.

Although I certainly fall into the above forty category the impetus of paying off the mortgage and building up savings is greater than ever. There certainly is time to make a difference in fact there is less time to make a difference if you see what I mean. I'm ever so more aware that hubby and I have less time to accumulate for later years and that's a real worry. I'm also more aware as I get older that time is precious and we should also be able to enjoy some holidays and time-out before we pop our clogs. It's a difficult balancing act for sure.

Foreversummer

[Deleted User]

I think investing in yourself is something a lot of people would do if they had their time again. I was lucky in that I joined a company with a lot of training and development which helped progression.

I think for me I always had 50 in mind as a retirement age so that is probably where the running out of time, is it worth it comes from, in reality today some people may never be able to afford to retire.

I suppose even 10 years of saving can make a difference depending on what your goals are. Small acorns and all that lol

foreversummer

I think it's important to have goals, but equally important to be flexible as things change and maybe different things become important.

Retiring at 50 would be fantastic if you have enough money to live and do the things you want to do. But I have known many people who have retired relatively early and then go back to doing some part time work because they simply are not sure what to do with themselves. I think a phased retirement is a great idea - you kinda get the best of both worlds.

I think ten years of savings can make an enormous difference to anyone.

Foreversummer

bowlhead99

Is it ever to late to save ?

Yes, if you get to the split second that you need the money and you don't have it, you have left it too late to save for that.

However, aged late forties with a life expectancy of late eighties and the chance of living much longer, it's laughable to think that it's too late to bother making plans to save up cash or investment assets for an expense you might want to incur when you're 50, 60, 70, 80, 90 or older.

Thrugelmir

Hindsight is wonderful. Little point in having regrets. Never to late to do something.

Small acorns and all that lol

Absolutely agree. Compounding as Einstein said is the 8th wonder of the world.

jimjames

bowlhead99 wrote: »

Is it ever to late to save ?

Yes, if you get to the split second that you need the money and you don't have it, you have left it too late to save for that.

However, aged late forties with a life expectancy of late eighties and the chance of living much longer, it's laughable to think that it's too late to bother making plans to save up cash or investment assets for an expense you might want to incur when you're 50, 60, 70, 80, 90 or older.

Saw the headline and assumed the OP was in their eighties! Scary that someone the same age as me thinks they're past saving!

Keep_pedalling

If you have done it right there should come a point where the need to save further ceases and you can start to draw on them to maintain a decent lifestyle in your later years.

We are in our early sixties and have luckily reached that point, and although we could live more frugally, and continue to save there is no point as that would only boost the government's IHT revenue when we eventually snuff it.

steampowered

No, its never too late to save.

For people approaching retirement age it can make a lot sense to make huge contributions to your pension (perhaps even figures like 50% of your salary), since you won't pay tax on contributions (so if you are a 40% tax payer you are effectively getting £1.40 in your pension for £1 off your net pay), and you'll get access to the money on retirement anyway.

The annual allowance for pensions is capped at £40,000 a year but that won't be an issue for most people. The fact they introduced a cap of £40,000 tells you a lot - some high earners approaching retirement used to simply stuff most of their income into a pension to reduce their tax bill.

bobobski

It's never TOO late to buy a dictionary.

But no, never too late to save. Certainly not in your 40s.

markwilkinson

No, it's not too late! I was always a saver but lost my way a bit, but started again about 10 years ago (I'm mid 40's). If you put some effort into it you will reap the benefit, if only to know that your beneficiaries will get a little extra.

By the way, so happy to read that you have had some holidays. We only get one chance at life and balance is required, so well done on those holidays! My wife and I are heading off to Mallorca for 3 nights on Sunday, quick break, will spend lots but don't care!