Do Old People Spend More Than Youths?

Post by **Silvio Omutsiambo** » 18 Jul 2022, 15:13

The book is about planning for retirement. Given that people are advised to start saving for their old ages at a young age, do you think that at that time is when they will spend more than what they spent now?

Victoria Ukamaka · Post by **Victoria Ukamaka** » 19 Jul 2022, 09:54

I don’t think it is because they will spend more at that time than they are currently spending at a young age. It is because they are likely to work less and earn less due to their declining age and health.

Victoria Ukamaka · Post by **Victoria Ukamaka** » 19 Jul 2022, 09:56

Also, due to decline in health that usually accompany old age, they are likely to spend more money on hospital bills and supplements. Saving for old age will help take care of those bills.

Post by **Tonia Freeman** » 19 Jul 2022, 11:38

I guess it depends on the person, but the idea is to save more early so you can spend more later. If you look at a typical life your large costs will be college expenses, homes, cars, etc. But if you aren't always buying the most expensive of each more of your income can go to savings vs living expenses. Personally, I hope to spend more after I retire because I want to travel and maybe buy a vacation home. That's why I find the minimum that I can live with. But, maybe others don't plan to travel and want to buy and pay for things and stay where they are during retirement so they wouldn't need as much.

Post by **britcott30** » 19 Jul 2022, 13:02

No, I don't think so. Because it depends on how many they're saving and how they're spending. If they already spent it on holiday or to their kids, then maybe it was the purpose of their saving and nothing else to be spent on their retirement.

Post by **Alice Fu** » 19 Jul 2022, 15:33

I can imagine the average old person spending more money than the youth. Younger individuals have the support of their parents while older people have to find ways to get by on their own. If they are physically inept, they have to pay for caretakers 24/7 as well, which would quickly drain out their money.

Ayomikun Babalola · Post by **Ayomikun Babalola** » 19 Jul 2022, 15:35

I really don't think so. I believe that the purpose of saving towards that age is so that even when the steady income ends, you can still feed, clothe, and take care of yourself. I feel it was also created with the idea that at that age, when you can rest, you should be able to have the financial freedom to do as you please, and go where to wish.

Ateshi John · Post by **Ateshi John** » 19 Jul 2022, 16:13

I can't say for sure, but I do know it's best to make hay while the sun shines.
Wouldn't it be a sad thing to be old, hungry and penniless?
It doesn't necessarily mean they'll spend a lot more in their old age, in fact I believe they'll spend less! But one cannot be so sure of what tomorrow brings.
Better to be able to sustain yourself in your elderly years than be a burden to children, friends and families.

Post by **Pauline Parnell** » 20 Jul 2022, 02:48

This is an Interesting question. Old people are supposed to save but do they really. Studies show only 6 percent of the elderly do save, so I guess they are spending their money. So, an 80 year old person would be spending a lot more on healthcare because they are more sicker than a 18 year old. And there are other costs for them to consider. Therefore, my answer is yes.

Soraya Bayah · Post by **Soraya Bayah** » 20 Jul 2022, 05:41

I very well believe that they can get into impulsive behavior and end up spending all their savings in a whim if they are not great with saving money. It really depends of the person addressed, but it is certainly very probable that they spend more in their late years to satisfy a certain feeling of emptiness that was once there from overly saving money.

Soshell Williams-Witter · Post by **Soshell Williams-Witter** » 20 Jul 2022, 11:46

I think in some cases youths spend more. For instance, on leisure activities such as partying and shopping they do. However, overall I think old people spend more because they have more bills to take care of than youths. For instance, they may have a mortgage, have children in school to support, utility bills, among others.

Shelby Ayres · Post by **Shelby Ayres** » 20 Jul 2022, 15:01

I think it depends a lot on mindset. I personally have times when I don't spend anything and there are times when I spend a lot. I feel like it is also situational, but I also save a lot of money because I like to enjoy life to its fullest.

Phooko Tebogo PC · Post by **Phooko Tebogo PC** » 20 Jul 2022, 18:33

Not really, I think that youths are the ones who spends more money which is why the concept of financial planning is proposed mostly to youths for that reason. Spending a lot of money and end up forgetting that there future is waiting for you. Hence, planning comes in to rescue youths from over spending money on useless things without considering the unforeseen future.

Buk Nerd · Post by **Buk Nerd** » 21 Jul 2022, 03:56

I think the purpose of planning or saving for retirement is so as to have something to fall back on when you're older and unable to work anymore to support yourself due to failing health or old age. I don't think it's solely because people spend more when they are older.

Post by **Kelsey Roy** » 21 Jul 2022, 13:06

I do not know that I would be able to distinctly say that older people spend more than youths or vise versa. However, I do think the older generation is more discriminatory on how they spend their money. My mom, who is in her late 60's, always comments on how much her young co-workers spend on morning coffees and eating out at lunchtime. Conversely, my mom clips coupons and packs her lunches but probably has more money to spend on the things that are important to her such as vacation or grand kids. So even if they spend similar amounts of money, the older generation likely puts more planning into where that money goes.