Is the Coronacycling boom coming to an end?

[Johnsco]

There is a happy mid-way in this discussion of spend-it or save-it.
My father was a keen cyclist --- Ran the local cycling club in the 1930s.
He worked hard all his life and provided well for us.
In his last 15 years, he chose to live the life of a pauper.
He died at 92.
He refused to have central heating installed, maintain his house security or spend anything on himself.
My brother and I pleaded with him to spend his cash on making his life more comfortable.
He told us he was saving it for me and my brother.
We both had homes … We both were better-off than he had ever been.
Eventually I said: "What you don't spend, you can be sure that we'll spend it for you".
It made no difference.
I've always said - "Spend it all and die in debt".
I'll not be following my dad's example when it comes to spending money.
If we want it --- We get it …. But I do spend thoughtfully and try not to waste my hard-earned cash (or my dad's).

 

[SkipdiverJohn]

When will you have enough?

In reality I've probably got enough now. This year I've worked less hours than normal due to the virus, so my earnings have been down. My investment returns have also reduced due to dividend cuts. I can live with it and I am unlikely to go back to working as many hours as I did before the virus kicked off. What I do have that reckless spenders don't, is the option to wind down at work over the next few years or retire before the state pension age. People who have dysfunctional finances don't get that choice, they will have to work until they drop. There's a balance to being frugal where you can still enjoy the things you enjoy, but have the money in the pot not to be forced to keep working beyond the age you are happy and able to do.

 

[mjr]

Because the interest rates of cash ISAs are pitiful.

Many shares ISAs have done even worse this year, incurring net losses. IMO best wait for the economy to bottom out before moving back into them - and it would be an optimist who thought that was now.

 

[Rusty Nails]

In reality I've probably got enough now. This year I've worked less hours than normal due to the virus, so my earnings have been down. My investment returns have also reduced due to dividend cuts. I can live with it and I am unlikely to go back to working as many hours as I did before the virus kicked off. What I do have that reckless spenders don't, is the option to wind down at work over the next few years or retire before the state pension age. People who have dysfunctional finances don't get that choice, they will have to work until they drop. There's a balance to being frugal where you can still enjoy the things you enjoy, but have the money in the pot not to be forced to keep working beyond the age you are happy and able to do.

With respect, how do you know how much money "reckless" spenders have? Reckless is a very subjective word that probably means different things to different people.

I don't think I am reckless in my spending, but I don't judge all my purchases on whether I could have got it cheaper by waiting. I don't like spending too much on a bike because I actually enjoy buying used and doing it up, but I will spend on a brand new car or foreign holiday because I want to rather than need to.

I have retired and hopefully have more money than I will ever spend, other than me and my wife both spending ten years in care homes, but I am trying to leave as little as possible to the kids.

 

[Rusty Nails]

Many shares ISAs have done even worse this year, incurring net losses. IMO best wait for the economy to bottom out before moving back into them - and it would be an optimist who thought that was now.

Since March my shares ISAs have risen by 5% despite some falls in between. One of the problems investors face is never know exactly when a market has bottomed out. My cash ISAs have in the same period lost around 2% spending power, because of inflation.

As long as you don't pile all your money into shares continuing to drip-feed into them is not a bad long term strategy.

 

[SkipdiverJohn]

Since March my shares ISAs have risen by 5% despite some falls in between. One of the problems investors face is never know exactly when a market has bottomed out. My cash ISAs have in the same period lost around 2% spending power, because of inflation.

As long as you don't pile all your money into shares continuing to drip-feed into them is not a bad long term strategy.

I can pretty much guarantee any pure cash investment will not return enough currently to keep pace with inflation. You'll lose at least some real value unless you have an inflation-linked product, which I do for about half my cash.
Trying to judge the exact bottom of any market is a bit of a fools paradise. I've bought shares then seen them fall a few percent more, nominally wiping out a year's dividend yield. However, those shares have generally recovered as much if not more than they have lost within a relatively short period. I don't aim for perfect judgement in buying and selling. So long as I buy somewhere near the lows and sell higher than I paid, I'm in pocket. Obviously the better/luckier you are the more you'll make, but fundamentally the first rule of making money is avoid actually losing money. If you can at least do that, then everything else it's just a matter of how positive your result is.

 

[Ming the Merciless]

Hard to tell now as you’ll hit a natural cycling low as frost ice and fog makes a return.

 

[mjr]

Hard to tell now as you’ll hit a natural cycling low as frost ice and fog makes a return.

I hope those investment puns were deliberate!

 

[jay clock]

My last 2 bikes came without me seeing them or even buying them, I am very happy with them.

bought sight unseen (and I still have them all)

• Vitus di2 road bike
• Ribble CR3 cx/winter bike
• Ridgeback tourer (frame)
• Whyte MTB
• Brompton

I did order a Jamis from Evans that I went to collect which didn't fit so rejected it. But all of the above are great bikes and very happy bought sight unseen.

 

[jay clock]

Buying something untried is fine if you've already had one the same before and know exactly what you are getting. I've done it myself, and it involved a lot of money in one instance.
However, I would not make a significant purchase of a product that I have no previous experience or knowledge of, just based on a description on a website. Maybe money has come too easy to some people, so they are happy to waste it by making poor purchase choices? Seems some have a mentality that so long as the majority of the purchases work out OK, it doesn't matter about those that didn't. They just get put to one side and forgotten about.

that assumes you hold onto the unsuitable item. if you don't like, you can send back

 

[SkipdiverJohn]

that assumes you hold onto the unsuitable item. if you don't like, you can send back

There's a hassle factor though to sending things back because you bought wrong, plus the seller is perfectly within their rights to charge you for the cost of delivery & handling. After all, unless the item is actually defective, it's not their fault if you just buy things on guesswork without trying them out. I've got better things to do with my time rather than dealing with retailers and couriers, I would rather just buy the right thing in the first place.

 

[mjr]

There's a hassle factor though to sending things back because you bought wrong, plus the seller is perfectly within their rights to charge you for the cost of delivery & handling.

No, they are not within their rights to do that! Under the Consumer Rights Act 2015, they must refund the original delivery and handling. They are not required to refund the cost of returning the item, so the rejecting buyer may still have some cost.

 

[classic33]

There's a hassle factor though to sending things back because you bought wrong, plus the seller is perfectly within their rights to charge you for the cost of delivery & handling. After all, unless the item is actually defective, it's not their fault if you just buy things on guesswork without trying them out. I've got better things to do with my time rather than dealing with retailers and couriers, I would rather just buy the right thing in the first place.

Do you also buy without asking a single question about the item?

 

[mjr]

Do you also buy without asking a single question about the item?

But you haven't got time to ask questions! The site says "only 2 left" so you might miss out on that bargain and all marketplace sites are absolutely honest and genuine and not at all trying to pressure sell(!)

 

[classic33]

But you haven't got time to ask questions! The site says "only 2 left" so you might miss out on that bargain and all marketplace sites are absolutely honest and genuine and not at all trying to pressure sell(!)

You're buying a pig in't poke in that case.

I asked the question as they didn't appear to like buying online, physical shops preferred it seems. Therefore the question relates to possible shop(physical) purchase's, not possible internet purchase's.