Contemplate the Following Three Inquiries Prior to Making Any Purchases, According to Martin Lewis
Martin Lewis, the renowned financial expert and founder of Money Saving Expert, recently shared some valuable advice for consumers looking to save money and secure their future State Pension contributions.
In a post on Instagram, Lewis outlined three key questions that everyone should ask themselves before making any purchase:
- Do I need it?
- Can I afford it?
- Have I checked whether it’s available cheaper elsewhere?
These questions are designed to help individuals avoid unnecessary spending, especially when managing finances that may affect their ability to contribute to or save for the State Pension.
Lewis emphasized the importance of ensuring you are properly making or checking your National Insurance contributions because missing contributions can affect your future State Pension entitlement and amount. While these three questions are general money-saving mantras, they encourage careful spending and prioritizing essentials, such as pension contributions, over impulsive buying.
For those who can afford purchases more comfortably, Lewis offers a different set of questions, but for saving money and securing pensions, the first trio—need, affordability, and price checking—is most relevant.
For example, if a £250 item of clothing will only be worn once, it may not be worth the cost. Lewis often reminds his followers to consider the value of a purchase before making it.
The comment section of Lewis's post was filled with followers sharing their own penny-saving rules. One individual shared their father's advice of equating the cost of a purchase to the number of hours needed to pay for it. Another commenter advised considering whether an item can be found secondhand to reduce costs, suggesting the second-hand website Vinted as a potential resource.
In summary, before spending money that could affect your pension contributions, ask if you really need to spend it. Ensure you can afford it without risking missing pension contributions. Always look for cheaper options to maximize savings and secure your pension future.
This aligns with Lewis's broader advice on financial self-assessment and prioritizing essential spending like pension contributions to boost retirement income. Lewis shares his advice on spending and finances regularly, encouraging consumers to think carefully about their purchases and make informed decisions that benefit their long-term financial well-being.
[1] State Pension Contributions: What You Need to Know
[2] Missing National Insurance Contributions: How to Catch Up
[3] Retirement Income: Boosting Your Pension and Savings
- To maintain a secure future with a good State Pension, it's crucial to prioritize essential spending, such as pension contributions, over impulsive buying, like making unnecessary home improvements or buying luxury beauty items that could affect your ability to afford pension contributions.
- When considering a purchase that could impact your personal-finance or health, such as a wellness program or supplements, you should ask yourself if you truly need it, whether you can afford it, and if there are cheaper alternatives available.
- For those who have taken care of their personal-finance and can afford unnecessary purchases, they might want to consider the cost-effectiveness of their buying decisions, like investing in sustainable products that can contribute to overall wellness and health, or even looking for second-hand options on platforms like Vinted to save money while still making a positive impact on their lives.
