Buying a home and paying off the mortgage are the “biggest financial wins” that make people proud, while living in debt and spending beyond one’s means are the “nation’s biggest regrets,” according to research shared by online pension provider PensionBee.
A survey by PensionBee has uncovered “what Brits consider to be their greatest financial triumphs and worst mistakes.”
Buying a property and paying off a mortgage have reportedly “topped the list of financial wins, with 28% and 25% of respondents respectively highlighting these achievements. More than half (51%) of people over the age of 65 said they have paid off their mortgage. Other big financial ‘wins’ among this older age group were regularly saving (21%) and building up an emergency fund (18%).”
Meanwhile, living in debt or relying “on credit cards (23%) and living beyond their means (18%) were the biggest causes of regret.”
These issues were experienced mostly “by working-age respondents, with almost a third (31%) of 35-54 year olds admitting to living in debt and over a quarter of 25-34 year olds reporting living beyond their means, more than any other age group.”
Top three wins, all ages:
- Buying property (28%)
- Paying off my mortgage (25%)
- Learning how to budget (22%)
Top three fails, all ages:
- Living in debt or relying on my credit cards (23%)
- Living beyond my means or salary (18%)
- Impulse shopping (15%)
Top three wins, over 65s:
- Paying off my mortgage (51%)
- Buying property (34%)
- Saving regularly into a savings account (21%)
Young people (18-24) were more likely “to include learning how to budget (34%) and smart shopping (22%), such as looking around for deals and avoiding impulse buying, among their top financial achievements.”
Meanwhile, nearly “a quarter (24%) of 24-44 year olds placed being able to pay off debt, such as student loans, as one of their top three financial wins. Saving regularly into a savings account was consistently listed as a popular achievement across all age groups.When asked about their biggest financial mistakes, 18-24 year olds were more likely to note making poor investment choices (27%) as an error than not being able to save for a house deposit (18%), which was the second biggest mistake.”
Becky O’Connor, Director of Public Affairs at PensionBee, commented:
“It’s not surprising that how people have fared on the property ladder, either achieving the first goal of buying a home or the next one of paying off a mortgage, come up top. These goals generally take a huge amount of focus and effort and are real achievements.”
As noted in the update:
“Anyone who has ever gone into debt and then struggled to get out of it will no doubt also empathize with those who feel that this was their biggest mistake. If this has happened to you, it might be heartening to know you are not alone. It’s clear that for older people, paying more into a pension might be something they’d tell their younger selves to do if they could go back in time.”