Saving? The generation game…

Woman looking at laptop screen

Savings

Sarah Willingham

28th April 2014 at 1:26pm

In my last blog I looked at the potential financial benefits gained from just speaking to loved ones, of tapping into the knowledge of kith and kin. Research had shown that money was a taboo subject over the dinner table, that many family members would rather suffer in silence than share their cares. I believe much can be gained from opening up to those close to you, that a diverse generational experience when it comes to cash can reap some valuable advice and tips on managing your money.

To help illustrate this I’m taking a generation per blog and sharing some of their top money saving tips. I’ve started at the top of the chain with gran. Having lived through the turbulent times of rationing, the tough post war rebuild and now coping with modern life on a budget, she’s learnt much about being frugal.

Here’s grans top 3 tips…

Save Early

When it comes to planning for retirement, time is your friend. The earlier you start, the longer your money has the potential to grow.  A man who started saving at age 40 would need to put aside £290 a month to get a pension of £10,000 at age 68. The monthly figure would be just £149 if he had started saving at 30, and would go up to £661 if he started at age 50. Try to increase your regular pension savings as and when you can or pay in a lump sum after a windfall such as a bonus.

Use cash

Almost everyone now has a debit or credit card and it’s all too easy to just stick something on your card and worry about it later.  If you used cash more often like the good old days, handing over real money might just make you think twice before buying something you don’t need.

Be thrifty with your energy supply

Utility bills are expensive but you can do loads to save your energy. Try to increase your regular pension savings as and when you can or pay in a lump sum after a windfall such as a bonus. Fitting a hot water tank thermostat will save you £30 a year, changing to LED bulbs will save £9 per bulb and turning your telly off rather than leaving it on standby will save around £35 a year. Check out more ideas here.

There’s some sound advice here I think and each simple and achievable with foresight. In my next blog I’m going to tug on mum’s apron strings and see what she might be able to offer us in the way of financial savvy.

You can follow Sarah on Twitter @S_Willingham for more top tips on managing your family finances.

Alternative you can visit her at www.letssavesomemoney.com where she looks to help consumers take action, save and make money through easy to follow 1-minute Guides and 1-minute videos.

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The information in this blog and any responses to comments should not be regarded as financial advice.