COVID Savings (and Money after the Pandemic)

[ComUtoR]

I'm totally gonna spunk it on random stuff™

I'm in the group that had financially benefitted from the pandemic. I've been working full time as I'm a "front line worker" so I haven't seen a decrease in earnings. However, I have seen a significant reduction in my costs. No cinema, no eating out, less shopping and 'retail therapy' and due to sensible planning; my home costs are pretty static.

I've suffered from personal losses over the past few years and I have a new outlook in life. You truly can't 'take it with you'. I went into a retail store recently and was asking how they were doing. Their response was surprising; and germane to the topic at hand. They have been making a profit and seen an upturn in buisness because people have had holiday refunds and various cancellation of plans. They have been spending the money on more 'tangible' items and making those luxury purchases.

So, in that same vein. I'm gonna spunk it on random junk. I'm gonna turn this year around and push mysef to say yes to more things and try and life life a little more. Family has become more important and some friends have shown themselves to be real friends during a time of crisis so they will also be getting a little more love and attention in the future.


I haven't 'run the numbers' but Corona has put things into perspective. For me, the changes it has brought will be building more positive connections and a more care free attitude towards the future.

 

[greyman42]

I haven't 'run the numbers' but Corona has put things into perspective. For me, the changes it has brought will be building more positive connections and a more care free attitude towards the future.

I don't know your age, but be careful not to jeopardise a decent pension with your care free attitude.

 

[ChiefPlanner]

What did we do - got the house externally painted , 2 interior rooms ditto , 2 new sheds at the bottom of the garden (bases frugally laid by self) , wood pile rebuilt , lots of external niggling things done like guttering. Some trees planted and the garden has never looked so well and tended.

Nothing in the "treat" scenario bar eating well at home and the odd book purchased. A simpler life - but the chance to get out a bit by rail is very much appreciated. (when that pleasure was taken away for so many months)

"Holidays at home" (nothing much planned) - but a trip to the West Coast USA when we can is much desired.

 

[Giugiaro]

Honestly I can't bring myself up to buy anything.
Even considering that what I have in my wish list will barely make a dent on my savings account, the reality is that it feels irresponsible to waste such hard working money on random stuff, when I don't have the time to enjoy it.

Last Saturday I went with a friend of mine to a restaurant we haven't been to for more than a year already, only to find out that the prices rose in general, with some dishes getting almost 3€ more expensive!

With signs like these it's hard not to believe that things won't get worse...

 

[CrilMitic]

I faced the same situation as you, but the problem was that I could not send my children to study in another state. And so, I had to find a way out of this situation. And during a pandemic, it's not easy. So I had to spend the savings I had left on buying a new car. And then, I didn't have any money at all, but to some extent, I was lucky because I came across a website wealthtender.com which was about finance, and I also sent my kids to school. So, although I can't say that everything was resolved by itself, but more or less, I am saving up, and my whole family lives in prosperity.

 

[Horizon22]

I think the vast majority of people in this country are not that financially literate and will probably spend the money. A lot live beyond their means. Some may indeed pay off debts but I think most will not do much more. I've personally been saving a bit more for a suitable house deposit.

 

[Giugiaro]

So, a little update considering the time that's been since we've last touched this topic.

Last month I made a hard decision that may, or may not, bite me in the back in the next few years.
I decided to buy a second-hand electric car and sold my petrol car.

I was putting this off because of my earlier prospect to move abroad to pursue further studies.
Since I wasn't going to need, nor could I take with me, the car, I would either suspend the license plate, or just sell it outright.

Things have changed. COVID made it almost impossible to pursue further studies where I wanted to, and circumstances landed me at my dream job way earlier than I expected.
After one year and a half of work, I had plenty of money to spare. And since my initial goal might have been pushed further into the next 5 years max., I also didn't have a purpose for it anymore.

Then comes the current situation. My car, which usually stays in the garage, costs me around 750€ (about £640ish) a year just to keep (insurance, tax, yearly maintenance, MOT...).
Ever since I started working on the Portuguese National Railway I had to use the car so that I can have a way to return home whenever I need to work extra time and/or Saturdays.
As we know, every time I pick my car it adds up to the yearly cost I have with it.

And with fuel costs nearing 2€/L, and the car not getting any newer or any greener with time, I felt the urge to finally throw in the towel and make the change to electric, before it becomes too hard to sell my car.
The amount of money I will save per year, does the car leave the garage or not, and the convenience I will have with it by being able to charge it anywhere there is a plug without having to spend time doing so and at a specific place, certainly made the decision much easier to make.

And I paid it in full with my savings, with a lot yet to spare.
If I didn't save the money I got in excess during the Pandemic I would never have this readiness to make such an important investment.

---

That being said, we can't understate the fact that everything is becoming a lot more expensive lately.
Besides the aforementioned increase in fuel costs, the increase in pretty much everything, from food to raw materials, from rents to electronics, it seems that the next few years won't be as exciting as we could initially expect.

For those who had in the Pandemic a rare occasion to save money, the price rises mean that their savings won't be as meaningful as they could be. For some they may as well be meaningless.
The biggest problem is what this means for those who the Pandemic has essentially been a life burden. With barely any money to sustain themselves as they were at the start of COVID, and with pretty much everything, even food, raising tremendously, the future certainly looks bleak.

 

[35B]

So, a little update considering the time that's been since we've last touched this topic.

Last month I made a hard decision that may, or may not, bite me in the back in the next few years.
I decided to buy a second-hand electric car and sold my petrol car.

I was putting this off because of my earlier prospect to move abroad to pursue further studies.
Since I wasn't going to need, nor could I take with me, the car, I would either suspend the license plate, or just sell it outright.

Things have changed. COVID made it almost impossible to pursue further studies where I wanted to, and circumstances landed me at my dream job way earlier than I expected.
After one year and a half of work, I had plenty of money to spare. And since my initial goal might have been pushed further into the next 5 years max., I also didn't have a purpose for it anymore.

Then comes the current situation. My car, which usually stays in the garage, costs me around 750€ (about £640ish) a year just to keep (insurance, tax, yearly maintenance, MOT...).
Ever since I started working on the Portuguese National Railway I had to use the car so that I can have a way to return home whenever I need to work extra time and/or Saturdays.
As we know, every time I pick my car it adds up to the yearly cost I have with it.

And with fuel costs nearing 2€/L, and the car not getting any newer or any greener with time, I felt the urge to finally throw in the towel and make the change to electric, before it becomes too hard to sell my car.
The amount of money I will save per year, does the car leave the garage or not, and the convenience I will have with it by being able to charge it anywhere there is a plug without having to spend time doing so and at a specific place, certainly made the decision much easier to make.

And I paid it in full with my savings, with a lot yet to spare.
If I didn't save the money I got in excess during the Pandemic I would never have this readiness to make such an important investment.

---

That being said, we can't understate the fact that everything is becoming a lot more expensive lately.
Besides the aforementioned increase in fuel costs, the increase in pretty much everything, from food to raw materials, from rents to electronics, it seems that the next few years won't be as exciting as we could initially expect.

For those who had in the Pandemic a rare occasion to save money, the price rises mean that their savings won't be as meaningful as they could be. For some they may as well be meaningless.
The biggest problem is what this means for those who the Pandemic has essentially been a life burden. With barely any money to sustain themselves as they were at the start of COVID, and with pretty much everything, even food, raising tremendously, the future certainly looks bleak.

Yet, here in the UK, job vacancies are at a long term high.

 

[Eyersey468]

I guess I was in the sweet spot of using it enough to keep everything ticking over nicely, without using it enough to wear things out too much!

I was very relieved - last year was a bit pricy.

I still did 13000 miles or thereabouts between car MOTs so my usage of it didn't really drop much despite the lock downs, though I changed it for a newer one 3 weeks ago as my old one was wearing out and I had a feeling it would become one bill after another.