Your current confidence to make purchases?

[TopGear7]

This topic stems from a team meeting I had today which I found quite interesting.

For context, while business levels have dropped significantly, there have been no furlough and our department in particular is incredibly busy. So we all continue to work but from home.

There seems to be a split in mindset in the team. About half, including me, is being very cautious. I am anticipating very turbulent times ahead and while the company is not furloughing anyone, if things do not pick up I can imagine tough decisions being made.

However the other half seem very optimistic. They continue to spend liberally (expensive watch, designer bag and other frivolous purchases). They genuinely do not believe the company can be impacted.

Of-course there is no wrong or right. I just found the split in mindset of individuals in the same boat as far as job role and company have very different perceptions.

I suppose the question is, if you are still in your usual role being paid your usual salary have you changed your spending habits? Are you putting off any purchases and if so, what will it take to be confident?

[PrinceRupert]

We are both still earning, and have recently moved into our first home that needs a bit of work but is perfectly liveable. Very willing to continue to spend - lining up roof repairs and a re-wire as we speak, hired an interior designer, getting tradesmen in to price up more cosmetic work. However in normal times I would perhaps be more willing to borrow to get it done more quickly, now I am wondering whether it makes more sense to do it more slowly with already earned cash. Given we have just bought our savings are quite limited, albeit will grow quite quickly.

[Paul_M3]

Still earning and still spending money in the same way as before.

I'm lucky in that I've got a pretty secure job which I'm highly unlikely to lose.

If I was in the same position as a lot of people I think I'd be trying to build up some extra savings and cut back on spending at the moment.

[CubanPete]

We're spending cautiously. Balance between the slush fund and we do need to keep spending to maintain the flow.

Saving on commuting and cash spending. The last few years most spending has gone on home improvements, so not much change. The odd birthday present too.

[jack_86]

Nothing really has changed for me in terms of spending, though have been a little tighter as saving for a car deposit.

The only thing that puts me off spending is uncertainty about how long things take to be delivered (impatient) if i get a whiff of possible delayed shipping I don’t bother going through.

[Don Veloci]

It can be a difficult decision. I'm swaying towards the idea of nobody spending being a bad thing so have been continuing to spend (Small things like a pressure washer and strimmer) and plan to spend when restrictions lift ranging from new boiler, new shed, to properly big like pushing on with an extension.

Of course I could soon wobble and be very protective of the pennies I have if I lose confidence in the stability of my employer.

[Daveb257]

Being (relatively) cautious here (Furloughed since 28/03) , have spent a fair bit in garden & house maintenance, however big purchases are not something I’d consider at the minute - our company car scheme has ended technically although still in it on a rolling month by month basis as can’t return to lease co and plan was always to go & lease something.
Now I think I’ll go & buy a £5-7k something or other until everything has settled down into whatever the new normal becomes, I’d rather have something as an asset and not incurring any debt commitments for the time being

[Blanchimont]

Without sounding crass, neither me or the Mrs will be out of work, and both of us are busier than we were pre-Covid due to the industries we work in.
We're spending much less, but primarily due to not getting morning Coffees, breakfasts, cooking more food, reduced fuel costs (and less time in traffic, meaning higher MPG) we're up about £200 a month, each. I am however, currently skint, having spent over £1000 on the car this month, but that's because, A, I'm a dhead and got an exhaust for my car, and B. I needed 2 new tyres.

[Ollerton57]

I find I'm spending more on certain items e.g. food: cheese & charcuterie delivery, wine and champagne delivery etc. but on the whole my monthly spend has gone down significantly.

No nursery - c.£2k per month
No rail fair - c.£450 per month
No petrol for wife work commute - c.£250 per month
No London lunches/coffee/breakfast/beer - c£300 per month

I wouldn't be put off buying a larger purchase at this moment as my job is secure (as long as it was something I already wanted and had budgeted for).

[glenrobbo]

Yesterday I bought a 24 pack of toilet rolls, which has left me feeling very confident compared to eight weeks ago. :smug:

[Dibble]

Paul_M3 said:

Still earning and still spending money in the same way as before.

I'm lucky in that I've got a pretty secure job which I'm highly unlikely to lose.

If I was in the same position as a lot of people I think I'd be trying to build up some extra savings and cut back on spending at the moment.

Same for me, as I’m in the cops, so about as secure, job-wise, as it can get. GF is a vet and has had a much reduced income for her practice. She does do so,e locum work, so that has helped.

I’m fortunate to be in such a safe position and I genuinely feel for people who have lost jobs/income. It’s going to be a long, hard slog to come out of this. There’s already a suggestion of further public sector pay freezes. We went through a period of that with the austerity measures, which in real terms for me was equivalent to about a 10% pay cut. Again, that’s nothing in the grand scheme of things, compared to what a lot of people are facing and if I have to share some of the pain, then so be it.

[mart 63]

I'm self employed, but still working. Spent around £90k cash since the end of February. On toys and investments.

[s2sol]

mart 63 said:

I'm self employed, but still working. Spent around £90k cash since the end of February. On toys and investments.

£90k cash? That's some going. I doubt that much cash passes through my hands in 20 years.

[TwyRob]

We both have public sector jobs and these are secure. We are also still working and being paid in full, although my job has changed enormously.

We are saving around £1000 a month due to spending less on fuel, eating out, family day trips, work lunches for my wife and the like. This is despite increased spending on some items, including £200 buying me a bike to ggo for rides with my daughter. As a result I have spent a little more in the last few weeks on car parts and some other items.

We are having a new garage door fitted next week for about £2k and had some internal work completed in weeks 1 and 2 of lockdown for £8k (they were already started beforehand and could not be left unfinished). These were already planned though.

Afterwards we will have more savings than before and that will useful as I booked a two week summer European road trip just before this all got bad and I'm not sure we will get all the money back for two of the most expensive hotels.

[mart 63]

anonymous said:

[redacted]

In all fairness, it probably wasn't cash

In all fairness, just over £50k inc fees on a BTL and the rest on a car. The thread is about purchases, and i used cash.

[So]

anonymous said:

[redacted]

I think he means cash as opposed to debt.

[young_bairn]

I sold my SQ5 pre lock-down with the intention of getting another T5/6 camper or small motor home. I've the cash in my bank account doing nothing but still checking the classifieds every day. However, my industry is most likely f****d for the foreseeable (oil and gas) so the money will be staying where it is until there is some confidence again.

[mart 63]

anonymous said:

[redacted]

Thank you

[Steve91]

Currently on furlough, and have been since march. Living with parents has its benefits and I'm saving quite a bit extra, but we've already announced redundancy but not named anyone so until I know my job is safe, I'm being careful.

Car needs a new brake caliper so that's being done next week.

[alorotom]

Curious one this.

I spent £2k on a new iMac and memory upgrade for it a couple of weeks ago but currently won’t buy some new headphones (£250ish) since my airpods packed in.