Middle & upper class more money savvy than most?

[Southerngal5]

DC in very mc school with very affluent parents... The talk non stop is about energy bills, bragging about getting free toys on Facebook groups (but they sell their stuff😉) their dc wear second hand clothes... Is this just my area? Forgot to mention they gave an obsession with Aldi & Lidl...

It’s very easy and comforting for people who are comfortable to assume that those of us who are struggling are just bad with money and they’re just so savvy it could never happen to them. It’s not the case.

@Aroundtheworldin80moves

Its easier to save money when you have money.

Absolutely. Having the time and energy to shop around, bulk buy, put money towards a holiday rather than buy a scratch card because you have the headspace to look forward to something rather than needing that adrenaline rush now because everything’s so grindingly tough. Being able to buy heatech underwear because not every penny is going on the meter.

I think it would be wrong to suggest that people who are less well off are like that because they aren't managing their money well. Indeed, people with very little money probably have to look after every penny just to remain more or less solvent.

Personally, in my very middle-class existence, I know I could manage my money better and I don't economize as much as I potentially could. This said, i'm also not frivolous and when I do make purchases I tend to go for quality with the expectation of durability. This to me explains why it can sometimes be harder to not spend money when you don't have much to begin with.

It's called the Vimes' boots theory www.goodreads.com/quotes/72745-the-reason-that-the-rich-were-so-rich-vimes-reasoned

Incidentally, a good pair of boots (price 200 euro) was the last time i spent any serious money on myself and, true to this theory, I do indeed expect them to last me 10 years if I look after them.

Mumoblue exactly this.

I am fairly MC (although perhaps more aspirational, as I've learned on here) but have been on benefits in the past due to having to give up work to look after sick ds. I found from the school gates that those with the least felt they had to make the most effort to be seen to be keeping up, if that makes sense. I remember one other mum who was in receipt of benefits joking that you always know who was on benefits because they have the biggest birthday parties, and I found this to be true. Designer clothes, new haircuts, nice cars, games consoles all bought on the tick. Buy now and worry about it later. The wealthier families never did class parties and the dc seemed to get a lot less at birthdays and Christmas.

"My problem is little luxuries eg I like going for a coffee with said mums to the local Costa maybe once a week or fortnight..."

Would those Costas pay for one of their holidays? When you have a really nice warm house to live in, regular holidays and decent food, you need less treats.
Is someone living on £50k a year more money savvy than someone living on £17k? Are you really asking that?
I can remember someone in work going on about how much she saved by cooking rather than takeaways/dine in for two etc. Everyone thought that she was marvelous. What she saved was more than my food budget, so I stayed quiet. As said you only brag about saving when you've got money.

@Wbeezer

"Look after the pennies and the pounds look after themselves" as the old saying goes. Free been down a bit of a rabbit hole recently watching and reading interviews with sixties and seventies musicians. It's not escaped my notice that the ones who hung onto their money and managed not to get completely ripped off by dodgy managers and accountants etc are the "grammar school boys" types. The more working class kids who made it big tended to spend the money as soon as its came in enjoying themselves and didn't read the small print on contacts. Money literacy gets passed down through families (usually, DS3 seems rather resistant to being trained in this way!)

I would give a shout out to MSE and Martin Lewis, he has made a assign difference to financial education of everyone, including fighting tans succeeding in getting financial education into the national curriculum and creating the text books. I think general population is now so much better informed then say 10 years ago.

Those wealthy parents with boring birthdays may well be having ski trips and music lessons though. When you strip all that away why not have a nice birthday when you dont have all the rest all year round. People are very blinkered. And like to feel superior 😔

I’m definitely one of the people you describe. The thing is, I don’t see why anyone with the time and means to do so wouldn’t economise on boring stuff like energy bills, parking spaces etc or short-lived things like children’s toys if it’s going to free up little bits of money for more fun stuff. And as you rightly observe, frittering money on the day to day stuff quickly adds up to a big dent in your disposable budget. I have to say though I do agree that affluent people are generally less inclined to give things like toys or kids clothes away free or very cheaply. I feel that it’s sheer good luck that I’m in a good financial position and I try to share that luck around when I can.

Yup costa once a fortnight what £6 x 26 so £104 . Much more cost effective "luxury" than a holiday

£156 my maths is failing. Even so same point.

In addition to what pp have said, one of the reasons has to also be because middle class and up genuinely have more free time which they can then use to manage money. Working class often are working 50-60hrs a week in physically exhausting jobs. They don’t have time or energy to research and switch energy providers, or drive further and do price comparisons between supermarkets. They also don’t have time/energy to cook from scratch, grow veg on an allotment, sew etc ...and other middle class frugal activities.

@Mumoblue

It’s very easy and comforting for people who are comfortable to assume that those of us who are struggling are just bad with money and they’re just so savvy it could never happen to them. It’s not the case.

I agree with you. It's a bit of a capitalist myth isn't it?

I think it would be wrong to suggest that people who are less well off are like that because they aren't managing their money well

Some are, some aren't.

Obviously a lot of people who struggle to cover the basics and don't have enough to save for bigger purchases are genuinely short and don't have much, if any, spare money , but we probably all know people who always buy their lunch rather than take a packed lunch, always have the latest phone, or are having their nails done or all manner of other 'affordable' treats but never have the money if their car breaks down, can't afford a holiday or need to borrow to replace the washing machine, so sometimes a change of mindset about spending just a little less day to day so some of your spare money builds up is all it takes to be able to afford things like holidays, or being able to replace the washing machine without borrowing.

"The wealthier families never did class parties and the dc seemed to get a lot less at birthdays and Christmas."

But the over the year they get a lot more and aren't deprived of tech, physical sport stuff etc.

I think it's just a matter of priorities. I suppose we would roughly fall into the "middle-class" bracket. I am quite frugal, if I can get something second hand I will, clothes included (I can buy better quality, longer lasting clothes for the same price than cheaper items new). I shop around for deals re bills, insurance, shop at aldi/lidl, meal plan etc. But this is because I prioritise experiences, so going on holiday, theatre, meals. I'd rather spend money on stuff that interests me than boring or material things. Im also a worrier by nature and realise how lucky we are to not be one of the millions in this country that are struggling and so I like to save a large portion of what comes in just in case.

Martin Lewis is a bit of a social hero in my book.

He actually does good in the world.

The unsaid assumption of your post is that working class (so poor, then) people fritter away all their money on giant TVs and champers then, is that right? Everyone needs to be frugal these days, but to perpetuate this demeaning working class big spenders stereotype is kind of disgusting

I think its easier to talk about savings when it's a choice to whereas people struggling to last til pay day probably aren't talking about their savings and bargains.
The irony is its expensive to be poor. Pre pay meters definitely used to be more expensive for fuel, corner shops and small shops are always more expensive than large out of town supermarkets. It's no good knowing about the bargains in Aldi if you don't have the means to get there.
If you're overdrawn on your bank account you are charged for the overdraft facility and for each day you're overdrawn. If you can't easily get credit you will be limited to loans or brighthouse type companies with extortionate interest rates.

I don't think you can generalise. We live in a very nouveau riche bit of outer London where people like to flash the cash with expensive cars and watches. They tend to be new money and mostly Asian (most people are not white where I live not that that's relevant but it is crazy rich Asians sort of money). We cannot call them working class so they will be middle class. then you get more careful with money even if they have a lot middle class which is probably what I am - happy to spend a fortune on school and university fees but happy to wear the same clothes until they have holes in as it is not important to me. Neither group is worse or better than the other. My older children eg had 100% second hand school uniform (not least because after school fees and a massive mortgage and huge full time childcare bills in the 1980s/90s we did not have a lot of spare money).

Some less well off people are very careful with money and others spend more than they have.
I don't think it is a class thing - most just what your family is like. My parents grew up up being bombed during WWII in the UK and then had rationing and national service in the 1950s - if your parents went through all that then you tend to be quite careful with money.

There's a different mentality depending on where you are on the income ladder.

Driving round to find cheap petrol so that you can afford your gas bill this month is a different kettle of fish to driving round to find cheap petrol so you can have a bit more spending for this year's trip to the Maldives.

People in the first group are going to see that as a horrible experience to avoid wherever possible, whereas people in the second group will see it as a fun challenge,

My point Ponoka7 is that the wealthier families didn't seem to feel the need to make a show out of presents or events. I remember one birthday party where the whole class was invited, they hired a party bus and then got Dominos delivered. The child was presented with a £500 present. The day must have cost an absolute fortune and the mum was a single parent on benefits. Contrast this with dd's best friend, who both parents are solicitors. Her birthday present was going to see a ballet, as "the tickets are £30 each!".

I do know a couple of families like this, my DD's friend's Mum is 'working hard' as she wants the best for her girls, the best being, 'private school' but they have a bit of sad day to day existence, for example, a thin and crispy Aldi pizza was shared amongst 5 of them when DD went for a playdate recently. The girls are 10 so DD took what she thought was one slice but it was three! Needless to say she was starving and she is quite slight and does not have a big appetite but it was made out that her appetite was huge by the Mum! On the other hand, we waste money on meals out quite regularly, we can afford to and have a teenage boy who generally will come out with us if food is involved! We go up to London and visit galleries/theatre but also have the coffees, the dinners. I like the occasional stratch card but I don't conform to the demographic stereotype on this. It is far from my only thing to look forward to. It is easy to pigeon hole people but I really don't think it is a class thing.

@CrinklyCraggy

I think "comfortable" are much happier to talk about being frugal, to see it as a bit of a game almost. A far different thing when you've got no choice.

I pulled a face at that, but I think you’re right. We have the MN 6-figure income but shop in Aldi and drive older cars. We both grew up with not very much and nearly lost everything in the 2008 recession so we don’t like to fritter now. We don’t talk about it with friends, it’s not a game as such but it’s not strictly through necessity either.

not surprisingly, people saying it’s not a class thing all also seem to be stating how well off they are