Money

Since I was a tiny pope, I’ve always been good with budgeting. I’d carefully plan my larger purchases (usually books or LPs) then steadily add the money to an ashtray in my knicker drawer. I’ve no idea why I didn’t use a piggy bank like a normal person. But, hey, it worked. The money I saved as a child actually got me out of a few pickles in my twenties. All those Saturday jobs, paper rounds, and holiday gigs added up – especially when interest rates were high. As the years progressed, though, and my responsibilities changed, I found it harder rather than easier to budget. ...

While everyone’s going mad for White Lotus at the moment, my favourite telly programme is Sort Your Life Out. Each week, Stacey Solomon and her friends descend on a chaotic family home and impose order. Although this format isn’t new, what I find refreshing is the completely non-judgemental tone. Our lives get messy and this is reflected in our immediate environment. This week’s family had accumulated hundreds of CDs, which Stacey encouraged them to offload in favour of streaming. But does it make sense to rent music? ...

Yesterday morning, I was filled with joy. My calendar was gloriously empty, which meant I could finally tackle one of those projects that demand a lot of focus. I would quickly pay a bill, then I’d get started. Two hours later, I was resolving to throw all my devices in a passing refuse truck. That two-minute job had involved installing apps, repeatedly entering the same information, and “talking” to a chatbot that kept timing out. ...

On day two of my Tiny Experiment, I struggled to access my feelings about money. My beloved cat had just died and I felt overwhelmed. Humphry had been my furry sidekick for almost eighteen years and had seen me through some bumpy times. Although he didn’t have a lot to say about money, he did enjoy two passive income streams. Perhaps he should have written a book instead? Anyway, losing Humph reminded that traditional financial advice usually assumes we’re in the best possible position to make an important decision. But often that decision is prompted by an unpleasant life event, such as a bereavement, divorce, or redundancy. To make matters worse, those decisions can involve long-term commitments, such as a fixing a mortgage rate or buying an annuity for retirement. The security we crave in that moment becomes a trap later on. ...

I used to be decisive with money, but now I’m not so sure. This is partly the cynicism of mid-life, partly the challenge of the present global ghastliness. Financial planning is all about confidence in the future. If we commit to large mortgage repayments or pension contributions, we’re making a bet that we’ll be able honour those commitments over the long term: “In 10 years’ time, I’ll definitely be able to afford £1,500 each month”. Given the uncertainty surrounding just about everything, is this realistic? How do we overcome the problem of making long-term financial decisions when the future is so uncertain? ...

Tucked away behind High Street Kensington is 18 Stafford Terrace, a sumptuously preserved Victorian townhouse. This was once the home of Edward Linley Sambourne, a cartoonist for the magazine Punch, and his wife Marian. Many of their possessions were sold after the death of their son in 1946, yet the house remains cluttered, even by Victorian standards. I learned from our tour guide that the Sambournes bought around 200 chairs. Even though they had two children and a small collection of servants, this is very a high bum-to-chair ratio (especially given the servants weren’t encouraged to sit down). What on earth was going on? ...

One of my many resolutions for 2019 was to read more books. Although some of the other resolutions were quietly abandoned, I’m pleased to report that I read 120 books. Yes, that’s a lot. This is partly because did a great deal of train travel last year, and also because my idea of a holiday is to solidly read books and eat crisps for a week. Some of those books really changed my thinking, or at least clarified it significantly. Here are my top three in the categories of self-improvement (one of my obsessions), business, marketing, and money. ...

Who knows how much you earn? One person? Two? Maybe nobody apart from Human Resources. Research shows that nearly 50% of couples have no idea of each other’s salary. As Alex Holder explains in Open Up,1 we often believe our salary and assets define us. These are the true indicators of our success, status, and power. Revealing that magic figure gives someone an easy way to judge our worth. And this secrecy extends beyond our salaries. In a survey by the Money Advice Service, 45% of people admitted to lying to their partners about money, especially debt. ...