For all you younguns out there

[redsimon]

Just found video clip of Woodsey at a local restaurant

[PokerBroker]

Some very good points rased n this thread. 

The only thing I'd like to see is some sort of subject brought in at schools teaching these sort of life lessons.  Too many people haven't a clue what they are doing in terms of planning for life/future. 

I'd argue unless you come from a background where your parents were financially savy and grounded you well you are at an even greater disadvantage. 

I speak tp people evry day in appointments and they vastly underestimate how much they are spending.  It's alarming but once you challenge them on it and they stick to their guns there isn't much more you can say/do.  On the otherhand those who are completely honest often get screwed over as well. 

[EvilPie]

Some very good points rased n this thread. 

The only thing I'd like to see is some sort of subject brought in at schools teaching these sort of life lessons.  Too many people haven't a clue what they are doing in terms of planning for life/future. 

I'd argue unless you come from a background where your parents were financially savy and grounded you well you are at an even greater disadvantage. 

I speak tp people evry day in appointments and they vastly underestimate how much they are spending.  It's alarming but once you challenge them on it and they stick to their guns there isn't much more you can say/do.  On the otherhand those who are completely honest often get screwed over as well. 

Agree with this 100% and I think it's disgraceful that there isn't something in the curriculum.

I mean don't get me wrong it's obviously vital that kids know how many wives Henry VIII had but it would also be handy to know that by switching to a different energy provider they could save themselves £400 a year.

[DaveShoelace]

Martin Lewis has been pushing for financial education in schools for years, spent a lot of his own time and money badgering the government about it.

Sadly I don't think it would work, human beings are naturally very bad at predicting the future and it's only hard life lessons that seem to shape what somebody will be like financially. People with money think it will never end, people without money think fuck it what's the point, it's only when you have a major life lesson you change (IMO of course). My missus was the worst with money and it was only when she had debt collectors chasing her did she sort her life out (thanks to Martin Lewis btw), I was pretty crap with money too but when my Dad passed away I suddenly realised I was on my own and I got good with it.

Some people are naturally good obviously, but I think it takes bitter experience to change somebody's attitude towards it.

[edgascoigne]

Martin Lewis has been pushing for financial education in schools for years, spent a lot of his own time and money badgering the government about it.

Sadly I don't think it would work, human beings are naturally very bad at predicting the future and it's only hard life lessons that seem to shape what somebody will be like financially. People with money think it will never end, people without money think fuck it what's the point, it's only when you have a major life lesson you change (IMO of course). My missus was the worst with money and it was only when she had debt collectors chasing her did she sort her life out (thanks to Martin Lewis btw), I was pretty crap with money too but when my Dad passed away I suddenly realised I was on my own and I got good with it.

Some people are naturally good obviously, but I think it takes bitter experience to change somebody's attitude towards it.

I typically think that people need a tangible, attainable goal that they attach value to in order to make progress / change. (Which is basically what you say above)

1. Skint and no chance of that changing --> why bother / what's the point / what difference will it make attitude

2. Rich and 'no chance'  of that changing --> why bother / what's the point / everything is good already

3. I perceive a goal I feel I can hit that would really mean a lot to me --> how much do I want it / what will I sacrifice or do extra / when can I get there

***

Often it takes a serious life event to drive people from 1/2 to option 3.

[DropTheHammer]

Definitely agree that they should teach financial education at school. It will be the most valuable life lesson kids will learn. I had to learn everything from moneysavingexpert, but thank god for Martin Lewis as I have saved a fortune thanks to his tips. Hope he gets knighted soon for his services to the U.K. 

[DaveShoelace]

Definitely agree that they should teach financial education at school. It will be the most valuable life lesson kids will learn. I had to learn everything from moneysavingexpert, but thank god for Martin Lewis as I have saved a fortune thanks to his tips. Hope he gets knighted soon for his services to the U.K. 

+1, IMO he has done more good that most of the folks who get knighted combined. Can you believe there are some (wrong) people around these parts that don't like him?

[DropTheHammer]

Well, there's always bitter or hyper-cynical people out there. You kind of have to feel sorry for them. Don't get me wrong, Martin Lewis is quite annoying as a TV presenter, but he's saved/reclaimed millions for people versus the banks/corporations, and is still looking for the next cause to fight, as a multi-millionaire.

[ripple11]

Definitely agree that they should teach financial education at school. It will be the most valuable life lesson kids will learn. I had to learn everything from moneysavingexpert, but thank god for Martin Lewis as I have saved a fortune thanks to his tips. Hope he gets knighted soon for his services to the U.K. 

+1, IMO he has done more good that most of the folks who get knighted combined. Can you believe there are some (wrong) people around these parts that don't like him?

Some people just get the hump with him.

Agree he's been excellent with his advice/ website.

[DaveShoelace]

Well, there's always bitter or hyper-cynical people out there. You kind of have to feel sorry for them. Don't get me wrong, Martin Lewis is quite annoying as a TV presenter, but he's saved/reclaimed millions for people versus the banks/corporations, and is still looking for the next cause to fight, as a multi-millionaire.

Plus all the stuff he has done for mental health causes and vulnerable people.

I must admit I roll my eyes at his antics on TV, but his Radio 5 podcast is excellent for those of us who are little bit more into personal finance.

[roshambo]

Not everyone can afford to save as much as they’d like (or need) each year, but putting a little something away every month is better than doing nothing.


The earlier you save, the more time your money will have to grow. Saving just £100 a month from the age of 25 would result in a pension pot of £152,602 at the age of 65,

Delaying retirement saving until age 30 would see the fund value at 65 drop to £113,609 — and leaving it until age 40 would mean a further reduced fund value of £59,551. These figures are based on growth of 5%.

[Woodsey]

Not everyone can afford to save as much as they’d like (or need) each year, but putting a little something away every month is better than doing nothing.


The earlier you save, the more time your money will have to grow. Saving just £100 a month from the age of 25 would result in a pension pot of £152,602 at the age of 65,

Delaying retirement saving until age 30 would see the fund value at 65 drop to £113,609 — and leaving it until age 40 would mean a further reduced fund value of £59,551. These figures are based on growth of 5%.

Yup, good point well made. Something is waaaaay better than nothing.

[roshambo]

They are also changing the age at which you can claim any of your pensions so you have to ask yourself when do you want to stop working?

Currently you can take you pension at 55 as a minimum, this is going to change to 10 years before your state pension date. That for a lot of people is going to be 68 meaning you cant access your own pensions until 58. How many of you want to retire at 60? I'd imagine a high amount of builders etc would like to retire as early as possible, to do this you need a income for those 8 yrs until the state pension kicks in.

People say about paying mortgage of as early as possible but why? if you're paying 2% for a mortgage and can get 10% on a investment / pension why are'nt you plowing as much  possible into that and keep the mortgage for as long as possible.

People also say they are going to use their Residential home as a pension, look at the facts how long is that going to last ... ?

Say your property is worth £300k is 3 bed semi detached in a nice area, you've lived here 20 yrs ad loved it.

Are you going to want to move out of that area? Most likely no, you know he area you like it, your friends are there so you'll probably stay in the area.

You had a nice house so now you want to downsize and get a smaller flat, say 2 bed, that's still going to cost you £175 -200k.

After fee's you've got £120k max. Now you spend a little, help kids out, go on holiday and replace the car. You've now got £80k left and you're 68. You now have £80k to last you on average 15 yrs giving you £5k per year without growth. Is this enough for you to live on?

I know what i'd prefer to do, stick what you can away whilst staying at folks house rather than blowing it. Put what I can away whilst getting on the property ladder and then push as hard as possible in my later years.

[Woodsey]

Age of working is an important thing. I never gave a second thought to it until probably my late 30's, now I have reached mid 40's there's no effing way I want to be working into my 60's. I appreciate that a few people love their work or won't have the choice not to work until state pension age, but across all my peers my age virtually all of them think the same as me.

So even though it may not even be crossing your mind now it probably will be when you reach my age. So we are back to save something if you can rather than nothing, it will pay big dividends down the line 20 years later.....

[StuartHopkin]

Really looking forward to 'Future Woodsey' posting in 2032 that he has blown his pension fund and had to go back to work.