to spend or not to spend-that is the question.a first world problem

I agree with Monica. Set up a standing order to transfer half to a savings account to save for the bigger things. Spend the other half on new clothes, treats and so on.

To return to the OP!

I would say is that the best thing to do is to relax into your knew-gained wealth. (grin)

Next time you are in the supermarket and see a delectable you really fancy, do not turn your head and walk by, indulge yourself. next time you wash a well-worn pair of trousers and decide that they need to last another year, chuck em out, and buy a new pair - and better quality - they will last even longer. .

As others say, unless your wealth is immense, in which case this extra income is immaterial, put some of it by - for holidays, car repairs and to replace whit goods and the occasional private out patients appointment.

After that, just relax into your new income - you will be surprised how soon expenditure meets income!

Well mine is 87. But as both my parents died suddenly at 73 despite a very healthy lifestyle and three of my grandparents didn’t even get to that age, I’m not counting on it.

The 50-30-20 rule sounds good. I’m off to check how that tallies with our current spending.

Another WASPI here. I get my SP this summer at 65y 11mths. I plan to buy experiences with it. City breaks with friends or husband, more local trips out in the car to visit places in the U.K. I’d like to see Bristol I’ve never been and revisit Salcombe in Devon.

Talking about savings, you are careful and try to save all your life and then you end up paying for elderly care! Doesn't seem fair somehow.

Mine is 91, wow!!

Thanks M0nica didn't know that. Tried and mine is 88! We can always hope.

I am firmly of the opinion that retirement is our time to enjoy ourselves and in a lot of cases of course that means spending money, whether on lovely holidays, meals out or treating the family, or having work done in the house.

After all if we don’t treat ourselves now, when will we?

Having said that it’s absolutely essential to have sufficient funds put aside as none of us know what our financial needs will be in years to come, do we?

It’s a kind of balancing act. We do spend but also continue to add to our savings.

Age expectancy is more than 78. The average is now 81

But the older you get the older your life expectancy. Look at this government site www.ons.gov.uk/peoplepopulationandcommunity/healthandsocialcare/healthandlifeexpectancies/articles/lifeexpectancycalculator/2019-06-07. The older you get, the longer your life expectancy. At 76 my life expectancy is 89.

HurdyGurdy How right you are!! We recently received some money and we actually struggle with spending it. We have always had to be careful with money and made sure we never got into debt. We enjoyed nice family holidays and a nice car but we were still careful with it. Spending on just ourselves is the problem. I think it has become a habit to be careful. I will take heed of your post!! (will try, ha ha)

50-30-20

50% towards actual necessities

30% towards frivolity

20% towards savings

Why save? Unexpected expenses- Yours or others- Death is inevitable - But unexpected events can plunge most into financially precarious circumstances - It's prudent to have a cushion-

I've been receiving my pension since May 2019. It goes into a separate account and so far has paid for car and boiler repairs plus replacement washing machine. I'm hoping I can now save for a good holiday for us rather than the boring stuff.
DH has his own state and private pension. This is my money to spend how I choose.

Oh gosh you sound like me,I get mine in May and have always been a saver (since I was about 7 and my dad said he would double what I saved for my 2 week holiday in Wales every year I used to save half my weekly spends and buy a post office saving stamp I think they had a picture of Prince Charles or Princess Anne on)it has stood me in good stead all my life so I daydream about what I will do with this money after having budgeted all my life.Please post on Gn what you decide to spend it on?

I retired a few months ago and won't get my state pension for another 3 years. I've always been a saver which now allows me to live quite nicely on my private pension alone and feel secure for any emergencies.
It is very hard to change into a spender when all your life you have saved.
And when I finally get my SP I will be quids in.

I'd say money's for spending, not saving. Treat yourself as you deserve it!

I have to wait to 65 and 11 months for mine so it will kick in this summer. Like you I've lived on my private pensions and pip but haven't exactly had to watch every penny. When my pension kicks in I'll carry on in the same way but will pay off my bank loan as a priority, once that's done I'll start having a few improvements done to the house, nothing necessary just desirable and it will be nice not to have to budget for everything.

I have never been sensible with money, my instinct is always to spend. My husband is 65 but still no state pension, and I’ve got a couple of years to go.

We are both working so it hasn’t really affected us. But despite our good intentions to save it, I doubt that we will.

We have been savers all our lives. Now it's got to the stage when we can actually spend it but find it difficult not to source the cheapest item as we are so used to it. But of course if you can, now it's time to spend spend spend!

I have seven years to go before I get mine, and am living on savings and a small occupational pension until then.

I am used to being careful, but what hurts me the most about the age increase is not being able to help my children as much as I'd like to, and had planned to do.

When my State Pension eventually kicks in, I hope to be able to do more for them, but by then they are likely to be past the time when a helping hand would have had most impact.

To be honest, petunia, if you have enough of a nest egg to protect you in the event of the roof falling in or something, I think you should enjoy the money while you can. Moving the pension age has ensured that not only do we not have money for a lot longer than previous generations, but that we will be much closer to the age where we can't do as much with it, because of age-related health issues.

I worry about spending my savings, as they won't be replaced now, but the pension will continue to come in, so you may as well spend it.

Treat yourself to something nice. Then put half in the budget and save the rest for emergencies, holidays,helping the family. Its always good to know you have a nest egg somewhere.

I agree. I'm finally due to get my state pension later this year. I suppose I'm just in the habit of being careful with money. The family laugh at me about this but I'm not bothered. I have several bank accounts for different things. I expect I might put pension money away into my savings one for holidays. I don't feel I'm currently missing out on anything so don't know what I could 'splurge' on!

If you’ve been a saver and cautious with money all your life then it’s hard to suddenly become spendthrift.
I don’t worry about saving for ‘old age’, I might not be here.
I’d treat yourself, that’s what having the time to now enjoy life, in large and small ways, is all about.

Treat yourself to some nice things and then save for old age and when you have enough then treat yourself more often.

Spend what you need not what you want but with a few treats because you may need care at some time, but do enjoy some it, you have waited a long time.

I know exactly what you mean. I've had 4 lots of state pension and so far I have left it. Although I was hurt and angry at not receiving it at the age of 60 I now find I can't just go out and have a spending spree, although there's nothing to stop me. Don't know if it's just an age thing and 'do I really need anything'?