Have you ever wished you could tell your younger self not to make some of the choices that you made, to protect themselves against the situations they found themselves in?
Of course, the frustrating thing that we all know is that we can’t go back, and our mistakes become our life lessons, for better or worse.
However, the finance experts at Aviva have released survey results which give us the next best thing: advice that folks over 50 wish that they could tell their younger selves.
Yes, we can’t reach back in time, but we can definitely listen to those who came before us.
5 pieces of financial wisdom from over-50′s
Clear your debts ASAP
While debt can be a taboo topic, if you’re in debt, you’re not alone. In fact, The Office for Budget Responsibility (OBR) predicts that household debt in the UK will reach £2,429 billion in 2025. This would equate to an average household debt of £85,274.
Nothing to sniff at, really.
When asked what they thought their younger selves should focus on, more than half of the 1000 over 50s that Aviva spoke with recommended clearing debts as soon as possible.
Additionally, one in six of those surveyed, who are fully or semi-retired, mentioned that they carried undesirable credit card debt or mortgage debt into retirement.
Save into an emergency fund
Emergency funds are pretty self-explanatory but, if you can’t picture exactly why you would need one, some of the example scenarios presented by Money.co.uk include: car repairs, home repairs, medical bills, or a loss of income.
All of these are challenging situations to find yourself in, but having a financial safety net can take a lot of the weight off your shoulders.
53% of those surveyed by Aviva wish that they had an emergency fund in place when they were younger.
Start a pension early
According to the UK Government, around 88% of eligible working people in the UK are actively paying into a pension. Yikes.
53% of people surveyed by Aviva regret not paying into a workplace pension for longer and a third of those also suggest maximising the workplace pension allowance.
Avoid designer labels and overspending
Listen, life is hard and treating yourself is not a crime. If you want to splurge now and then on designer items, don’t let us stop you.
However, nearly two-thirds of the over 50s would advise against relying too much on credit cards or loans. In fact, more than half recommend avoiding extra expenses on designer labels, and over two in five suggest not overspending on cars.
Let me just empty that shopping cart I was working on…
Don’t overspend on your wedding
According to the wedding experts at Hitched, the average wedding in the UK costs around £23k. Gulp.
It all adds up, though, doesn’t it? The invites, the dress, the vendors, the venue, the food, etc etc.
However, around 41% of those surveyed recommend trying to keep wedding costs down, with women (50%) more likely than men (33%) to suggest cutting wedding costs.
Brb, I need to go back to my budget spreadsheet.
#Financial #Tips #Over50s #Give #Younger
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