Over-50s ‘wish they’d cleared debts sooner’

Many over-50s wish they’d got on top of their debts much sooner, a new study has found.

Aviva asked people aged over 50 what they’d do differently with their money with the benefit of hindsight.

More than half (54%) said they would tell their younger selves to clear debts as soon as possible.

This was ahead of:

• saving into an emergency fund - 53%
• paying into a pension as soon as possible - 52%
• maximising contributions into their workplace pension - 34%

This view may be partly because some older people still had several debts to deal with even after they stopped working.

For example, 16% of over-50s said they carried undesirable credit card debt into retirement, while 7% still owed money on their mortgage.

And when asked what they’d advise their younger selves to spend less on, nearly two-thirds (64%) said they’d recommend not relying too much on credit cards or loans, ahead of spending excessively on:

• designer labels - 54%
• cars - 44%
• weddings - 41%
• material possessions - 33%

In fact, over-50s were quite keen to advise their younger selves to be less materialistic, saying they should have instead spent more on:

• making your house feel like a home - 41%
• experiences rather than material possessions - 35%
• hobbies you enjoy - 34%
• travelling the world - 25%

Set a household budget

If you want to prioritise your spending, so you know what you’re saving and spending on essentials and luxuries, then try our free budget planner.

We’ve also put together a handy guide to creating a budget to help you get started.

We can also help you check you’re getting all the benefits you’re entitled to and suggest debt solutions if you’re struggling to repay what you owe.