To ask how you balance preparing for the future with living in the moment

[NoodleNooNoo]

Hi all. I'm currently thinking of a 10 year plan that involves paying off credit card by the end of the year then saving up to buy a holiday home abroad with a view to renting it out before eventually retiring there. This will involve a fair amount of scrimping and saving. I'm happy enough to do that but then the thoughts start to creep in, what if I'm not even here in 10 years - anything could happen. Would it be better to just enjoy myself now? Treat the family to holidays now while the kids are still young, go out in the new dress on date nights with hubby, go away for the weekend, basically enjoy life now while I'm young and healthy. So scrimp and save for comfortable retirement or live for the moment????

It depends on a lot of factors. Enjoying the moment is something I strongly believe in, but I am not talking holidays to Florida or Bali, the small stuff like pancakes every Sunday morning, long prosecco soaked brunches with friends etc.
I never keep dresses for 'occasions', I wear them whenever I want. I don't have drawers and drawers of make up, I have one or each, at an eye watering price etc.
At the same time I am saving for the future, overpaying mortgage, saving etc. There is a balance there.
Don 't overthink it too much. 😊

Ah if there was a magic answer it would be bottled and sold!

For me, it comes down to taking neither exteme, but trying to find a middle ground. Given that statistically the vast majority of us will live to a ripe old age, it seems crazy to just live in the moment without a thought for the future. Ok, any of us could be run over by a bus tomorrow but there's a much higher chance we won't. I pay hundreds into my pension each month, but then I'm in a very good occupational pension where my employer pays in even more so I'd be mad not to. Alongside that I ensure we have a good holiday at least once a year- not necessarily exotic and hugely expensive, but one where we know we can afford to have days out, meals in fancy restaurants and not be Worrying about paying for it. We also eat out pretty regularly all year round. Having said that, our children are grown up; we didn't have this sort of lifestyle when we were paying nursery fees!

I'm going to retire early, because although on average people live quite a lot of years now post-retirement, it may not always be in the best physical health so I want to ensure we have plenty of time for travelling etc

Oh and I have no credit cards- never have done; I've seen too many people spend in the 'today' without much thought to paying it off in the 'tomorrow.'

It always amazes what people think they need in order to enjoy/have a good life. You actually need a lot less to be happy, than you think.

A new dress: buy a fancy nearly new one from a charity shop.

Holidays: a week in the UK, discovering your own country & its history. There are plenty of sunny, beautiful places to be enjoyed in Britain.

Date nights with husband: once a month - movies & dinner (only main and one drink each/bottle wine between you).

Week end away for kids birthdays, instead of extravagant birthday parties.

Young kids ime like the beach. This doesn't have to be an expensive pastime!

Making the most of their childhood but creatively on the cheap.

Money can make more of a difference ime when you are ill or getting older and want to buy help.

Mine exactly. Young kids don't give a toss about travelling abroad or going visiting the latest, greatest attraction. They like beach holidays and camping, that sort of things.
It's when kids get older that you generally need to spend more on those things.

Paying off your credit card is a good start. Then only spend what you have.

I would split what you have left into 3 pots-

1. savings for the long term including holiday home, pension and emergency fund.
2. Short term savings for things like holidays, house, car, Christmas etc
3. Money for spending on treats now.

Scrimping and penny pinching for 10 years doesn't sound like much fun.

Well clearly you can't. Living in the moment does not include any sort of planning for the future. It sounds fantastically carefree, but it isn't. I live in the moment. I never worry about tomorrow and try to get the most of out of every day. I also don't have a mortgage, savings or a pension. I am comfortable with that. Other people would worry themselves sick.
Do whatever makes you happy. But don't kid yourself into thinking you can do it all.
You can't.

I understand OP. People say that there are "no pockets in a shroud" and that you should enjoy your money when you can, but the thought of an impecunious old age is awful. Some of the PPs seem to have the right balance.

Save half, spend half.

Be super canny about what you spend so it goes much further, be creatively frugal.

I think that you should do some things that you enjoy now. However I think that it is prudent to plan for the future too. When I am older I don't want lots of money in the bank and look back and think I wish I had done something. I want to look back on the good times that I spent with family and friends doing things and going places

I manage by living in a sensible sized semi, rather than having a mahoosive detached house and corresponding mortgage.

My DC genuinely don't care where they live, and we can spend things on trips out etc.

With a big mortgage we would be sacrificing life now for some future bigger paid off house.