So you have hit the midlife crisis and are ready to splash some cash to boost your self-confidence – but is having a good time worth it at the expense of your pension?
The latest research shows a third of us try to spend our way out of the sudden realisation that our best years may be behind us.
The midlife crisis affects women as well as men, but the big spenders are blokes forking out an average £26,140, compared to £8,500 for women, according to a study by financial services firm Towergate.
If you are in your early 40s, your about to hit the midlife wall.
The study suggests most people start the process at the age of 42, although many do not have the experience until their early 50s.
Tell-tale signs of a midlife crisis
In the past, typical signs of a midlife crisis were men buying motorcycles or sports cars and having an affair.
Now, the thinking about a midlife crisis is different, and so are the ways money is spent, says the research.
A major change is admitting you are living through a midlife crisis is a badge rather than a taboo, the study found.
More than 80% of midlifers revel in their changing lifestyle and realisation of their mortality.
You know if you are in the middle of a crisis if you have a tell-tale shopping list which includes:
- A boat or yacht
- Expensive car
- A holiday home
- Expensive watch
- A motorcycle
However, half of those in a midlife crisis are spending on less traditional pick-me-ups like Botox treatments to make them look good, home cinemas, home gyms, getting tattoos and taking up sports and pastimes such as golf, cycling, painting and photography.
Spend or save dilemma
Many experiencing a midlife crisis can indulge their passions because their children have left home and they have large disposable incomes.
The big decision is should you spend thousands on a midlife crisis or save some or all of the cash to ease finances in retirement.
Towergate’s Emma Watson said: “Today, having a midlife crisis is more of a badge of honour than something to hide.
“We are seeing a lot of interest from forty somethings in buying extra insurance cover for their expensive purchases.
“The signs are midlife is hitting many people later, more towards 50 than 40 years old.”