Not only can we commend grandparents for helping to support their families with duties such as childcare, we can also thank them for their financial support …
- 42% of grandparents are saving for their grandchildren's future (of those who don't, 55% said it was because they simply couldn't afford it)*
- on average those grandparents who are saving put away £154 each a year - or £2.4 billion collectively*
… and they have lots of wise advice to pass on too, and here's a selection of their money-related tips, which we're sure you'll agree, we could all learn a thing or two from:
- When you get your wage, put away everything you need for the coming week. Divide the rest of your money into four: quarter for fun and frivolity, quarter for savings, quarter for emergencies and the final quarter for making your dreams come true.
- I do online food shopping in what I think is a novel way. On the first attempt, I order what I fancy and the next day I look at each item and the total, thinking do I really need that? I manage to shave off quite a bit. I also go for offers and store them.
- If you can't get the cash out of the hole in the wall to pay for it, then you can't afford it.
- Mr Micawber's famous, and oft-quoted, recipe for happiness:
"Annual income twenty pounds, annual expenditure nineteen [pounds] nineteen [shillings] and six [pence], result happiness. Annual income twenty pounds, annual expenditure twenty pounds ought and six, result misery."
Charles Dickens, David Copperfield
- If you're worried that you would overspend with a debit or credit card, get one of those 'pre-loaded' cards. You set up your money on the card and when you reach that amount that's it - no more spending.
- At the end of the month, take whatever you have left and put in savings.
- Don't buy on credit - it's a lovely feeling when you buy something you've saved for
- Save up the equivalent of three months' overheads/expenses and keep it in an interest-bearing account to cover emergencies, like illness or the necessity to replace something that hadn't been foreseen.
- My best tip is to learn to manage spreadsheets - once I did this, going overdrawn was a thing of the past and I could project the year ahead.
- Never live beyond your means, no matter what everyone else seems to have.
Many thanks to all the money-savvy grandparents on Gransnet and the Mature Times for their help!
* Source: JP Morgan Asset Management, July 2013