My Grandma is a very money-savvy woman. I like to think that I get a bit of my money know-how from her, because as far as I can remember, she’s been good with money. Her and my Grandpa have a comfortable retirement, which has only been made possible by my Grandma’s careful money management.
5 lessons from Grandma about money:
1) Keep a record. My Grandma always kept a paper record of everything that came in and everything that came out. When the likes of internet banking appeared, she still continued with her paper system alongside the internet banking, to check everything was just so. She taught me this system, which I do still use, though I do an electronic version now.
2) Pay for things in cash. She would be horrified to have to have had to buy something on credit, as my Grandma and Grandpa are from the generation when credit didn’t really exist. As far as they know, they always pay for everything in cash, wherever possible.
3) Save and invest for as long as you can. Part of the reason why they live a comfortable retirement is that Grandma has always saved and invested their money so that it would then provide an income when they retired. I always wish I could have asked her about her investments before now, as she struggles with speech now, as they’ve done so well for them.
4) Do not go over budget. Linking in with checking everything coming in and going out, Grandma never goes over budget. They have kept to a similar budget for mainly years I think, never straying massively over budget.
5) Be generous with your money if you can. I always got cash gifts when it was my birthday or Christmas, and we’ve been on some fantastic holidays as a family. I hope I can continue with this tradition with both my parents and if we have any children.
I’d like to think my Grandma would be pleased to know that I’ve learn things from her regarding money and that I’m sharing those things with others. I might show her this post, but I don’t know if she’d really understand what is was. I guess you never know!
Have you learnt anything from your grandparents about budgeting? I’d love to hear your stories.
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People from your grandma’s era were so wise about money and things. I read a lot about people from days gone by for the sole purpose that you can learn some pretty awesome things about how to live and manage life properly.
They were; I wish I’d appreciated their knowledge before she’s got sick and so can’t really communicate her wisdom so easily.
Your grandma is a very smart and financially responsible woman, those are some great principles she lives by!
The sad thing is these five lessons should be ingrained the general population, but the truth is hardly anyone knows the basics of personal finance.
My grandfather actually taught me quite a lot about investing, mostly bonds and funds. He once took an entire afternoon to explain how to buy bonds, when to sell them, etc. Good memories!
Best wishes,
NMW
How fantastic of your grandfather to spend time teaching you good things about investing!
Those are great tips. How wonderful you were able to learn from her!
Thank you – I am lucky 🙂
My grandparents have been brilliant with money too. They both retired at the age of 50! My grandfather turned 90 in June and I loved it when he said: “I haven’t worked a day for 40 years but I still earn money every single day.” 🙂
Wow, what an amazing thing to be able to say! 🙂
My grandma does the same thing with having a paper trail for absolutely everything. She has a little filing cabinet where she keeps all her records, and she’s always on top of things. It actually surprised me when I saw my grandma using credit cards, but I know she’s a fan of paying things off as quickly as possible.
Your grandma sounds like another wise woman 🙂
Your grandmother sounds like a wise person. Her tips are simple really but overlooked. I really think having that kind of ‘training’ and experience in dealing with money rubs off on the next generation. My whole family are hopeless with money, I hope my children won’t be.
I’m hoping that when we have children, they’ll grow up with a good attitude to money 🙂