Why do people save?

Thrugelmir

Nationwide8 wrote: »

It occurs to me reading this thread if there comes a point in life where savers become try-to-be spenders ?

Takes a matter of seconds to spend money. Money doesn't buy happiness. Far more important things in life. In my will I've decided to leave bequests to a number of worthy causes. Far more satisfying. Meanwhile I'll continue to enjoy a comfortable standard of living. Knowing that I've never ever going to have to worry about money

Cakeguts

I don't save. I am just not very good at spending money. I never have been. We are comfortable. We nearly always have too much in the current account because it mounts up. I don't like shopping. I spend money on the two main charities that I support. Usually by donating things they need. I have to buy the things to donate but I don't need to do that everyday.

I think it depends on whether you like shopping or not. I have never been very interested.

RG2015

Thank you to everyone for your thoughts and advice on this issue. In fact, the conversation has covered several diverse issues.

I am sure that I will come back and re-read these words of wisdom more than once.

EachPenny

davieg11 wrote: »

There may be an increasing number of people living to 100+ but I doubt it would be a shame running out of money at 90. Not many people at that age doing much with their life.

I think it depends on the individual. The 90+ people of the future will have had far better healthcare at the start of their lives and experienced a lot more, so are more likely to have the health and the interests to want to do more with their lives in their 90's.

I know someone who is months away from their 100th birthday. Who, in their 99th year, has been on three foreign holidays. Flying away twice, plus travelling by car (not driving though ) to the South of France. All that in a year which started with them having major heart surgery.

So to me it is all in the mind.... just make sure you have enough cash to do a parachute jump or whatever else you fancy doing to celebrate your 100th

choccielover

I save because we are in the extremely fortunate position to earn more than we need. We aren't exuberant spenders, in fact we've been careful not to acquire the expensive habits my peers have. We live well and the savings give us security, options for our future and the ability to splurge when/if we want to.

Our only child will be secure and well provided for, should she need it. Though we don't come from and therefore aren't the types who will be buying her first car or home. We value the satisfaction that came from knowing the things we have were worked hard for, not given and want her to have the same.

JustAnotherSaver

On the topic of care ... having had my nan in the care system this year and suffering its frankly disgusting level of 'care' to the point it's actually hazardous to health & life

I hope i never have to go in to care. To be honest i'd rather die than have someone 'care' for me the way she's been 'cared' for.

I'm sure there are good carers out there but like many things - cuts & targets result in the care side of things suffering. A friend of ours is in the hospital system & has said the same. So that's someone on the inside in the hospital system & our nan on the receiving end in the care system and it's negative results on both sides.

Mr_Costcutter

I'm tapping-on a bit and have recently acted as an Executor for a number of friends who have sadly died.
One in particular had endured a very hard childhood ( from a very poor mining community) and found it impossible to spend. The reason he gave me was that he felt guilty in doing so. I spent many a day encouraging him to spend a little eg a nice holiday etc - he just couldn't do it. Consequently the Estate was extremely large (nearly 2 million). This chap isn't the only one of my friends with this problem - for some 'saving' became addictive. Obviously achieving the balance between saving/investing and spending is essential

bigadaj

JustAnotherSaver wrote: »

On the topic of care ... having had my nan in the care system this year and suffering its frankly disgusting level of 'care' to the point it's actually hazardous to health & life

I hope i never have to go in to care. To be honest i'd rather die than have someone 'care' for me the way she's been 'cared' for.

I'm sure there are good carers out there but like many things - cuts & targets result in the care side of things suffering. A friend of ours is in the hospital system & has said the same. So that's someone on the inside in the hospital system & our nan on the receiving end in the care system and it's negative results on both sides.

Is this care publicly or privately funded?

The simple answer to those criticising care is often that the care could be given by relatives instead, I wouldn't want to and wouldn't expect many to want to either but it's an option and one that may be logical if the relatives want to retain the estate.

IanManc

davieg11 wrote: »

There may be an increasing number of people living to 100+ but I doubt it would be a shame running out of money at 90. Not many people at that age doing much with their life.

I have a friend who is 95. Each week he goes out on a two hour bicycle ride with his son, and bought himself a new bike not so long ago. Another friend who is forty years younger - like me - lives opposite him and often sees him at 7.30 in the morning walking back from Morrison's with two big bags of shopping: he likes to get his chores done early because his days are so busy.

I'm sure many people could give examples of very old people who are living full lives.

On the other hand, if a 90 year old is not "doing much with their life" and actually needs to be in a care home then that can be very expensive indeed - in fact one of the most expensive times of life. And then you would be glad to have savings as money gives you the freedom of choice to be in a home you actually like, even if it costs quite a lot more. It would be a real shame to run out of money then and be shunted into a cheaper place that you didn't want to be in, but which was all the state was prepared to pay for.

Eco_Miser

Cakeguts wrote: »

I don't save. I am just not very good at spending money. I never have been. We are comfortable. We nearly always have too much in the current account because it mounts up.

That makes you a saver. Now all you have to do is divert that excess money to where it will earn most, so you will have plenty to live on when you stop earning.