‘With age comes wisdom’ goes the famous saying. According to our research, young people believe this to be true, with 50% describing the over 65s as ‘knowledgeable’. With 1 in 5 over 65s now millionaires, according to Netwealth, we should probably take a leaf out of their book when it comes to using our own money.
So, here are eight top money tips from some wise grandparents…
1. Learn the value of money
New research reveals that 88% of young people respect the over 65s, with money and savings tips often being something we consult our elders for advice on. They often wisely tell us it’s impossible to have everything you want, so the best thing you can do is to learn the value of money and use it sensibly, to avoid falling in to debt.
Think ahead, keep track of your money, plan what you need to spend and don’t use credit cards.
2. Spend a little, save a lot
Most of us work hard for our money, so don’t blow it! Instead, save up for a rainy day whether that be paying for your dream holiday or being prepared for that unexpected garage bill!
3. Cutting your cloth to fit
Think about living within your means – only spend as much money as you have and don’t be frivolous. If you do want to indulge yourself along the way, it’s important to understand whether you have the means to do so.
4. The more you spend, the richer you make other people!
Think twice before you spend your hard-earned cash on unnecessary things like that daily take away coffee or impulse buy which empty your own pocket. Like 62% of young respondents, be inspired by your grandparents, including their frugality, and spend your money wisely on only the things you actually need.
5. Look after the pennies and the pounds will look after themselves
In other words, every penny counts! With contactless cards, it can be very easy to tap away and for your small purchases to add up. But equally, putting aside that extra bit of spare change can lead to large savings, so why not start a piggy bank for those extra coppers, to go towards a new sofa or kitchen for example?
6. Make your money work for you
Sometimes we want to remain loyal to a bank, but if it’s not working hard enough for you and your money, then move it! 28% of young people believe that the elderly are more experienced and cultured than us, so when they say a bank account or investment isn’t worth it, they may be right…
7. Money is replaceable
At the end of the day, there is more to life than money, with wealth not necessarily equaling happiness. Remember to treasure the important things in life and not to prioritise money, whilst instead thinking about how to use it wisely.
8. Work hard, play hard
Life is all about balance, so if you’ve earnt your money, you should be able to enjoy it too. Thirty one percent of people under 40 say the best thing about getting older is having more money to enjoy life – so make sure you save up enough money to splash out occasionally.
There are many perks to ageing, including having a better understanding of money and how you should use it. So, forget Martin Lewis, it’s your grandparent’s money tips that you should be paying attention to!
Written by: Patrick Stannah, MD of Stannah.