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The average Brit suffers a financial wake-up call when they reach the age of 34.
Researchers found a large percentage of us have a 'live for today' attitude through our 20s and early 30s, spending big and splashing out on things we can't actually afford.
But nearing our mid-thirties is when people 'wake up and smell the coffee', realising they have little or nothing in place for their later years, it emerged.
And 34 is the point when they will start to take a long hard look at their finances and fully grasp the nettle when it comes to pensions and savings.
The age was revealed in a report carried out by Skipton Building Society.
Skipton's David Cutter, Chief Executive for the fourth largest building society, said: "From the moment they turn 18, financial temptation is everywhere for teenagers; from enticing credit cards and loans or running up overdrafts.
"So after years of carefree spending, it comes as little surprise that when they do sit down and think about their futures, the alarm bells start to ring, but it's concerning it's not until people hit 34.
"In many cases, temptation has got in the way of common sense, with over a third of those questioned wishing they'd paid more attention to trying to get on the property ladder instead of splashing money on nights out, holidays and other indulgences.
"We all make financial decisions every day of our lives – and just like saving the pennies to make them add up, the same works with spending them too."
The study quizzed 2,000 18 to 65 year olds on their attitudes and behaviours towards saving and spending.
It found four in ten had a 'live for today' attitude with the majority – two thirds – doing so in their teens, 20s and 30s.
But 46 per cent said they reached a point where they had very little or nothing in place for their later years.
It wasn't until they had to start saving for a big occasion like a wedding, or having a discussion with parents or friends that the majority of Brits realise their outgoings was too great and they had to change their ways.
The survey highlighted the true extent to which Brits threw caution to the wind in their younger years.
It found more than half forked out on items they couldn't really afford before they reached 30, with 42 per cent left regretting spending so much during their younger years.
Half wished they had stuck their money into savings rather than 'frittering it away', while one in six 'should have' set up a pension scheme and three in ten wished they had seen more of the world and gone travelling.
More than a third (36 per cent) said looking back they should have focused on getting their foot onto the first rung of the housing ladder.
Instead, holidays, nights out with mates and alcohol as well as splashing out on clothes and new cars topped the list of unnecessary spends.
Seven in ten blamed their exuberant spending on their mentality that life was for living and six in ten admitted to spending their hard-earned cash on things they wanted rather than stick it into any form of savings.
A third still currently spend 'pretty much every penny they earn', while one in five said they used to, until they came to their senses.
One in five pay off the minimum amount on their credit card and the same number buy what they can on finance. A quarter go into their overdraft every month without fail, and their average overdraft is £500.
More than half work purely so they can spend their money and enjoy themselves.
It also emerged a third don't have a pension set up and four in ten don't bother siphoning away savings each month. Six in ten said they have no spare money and one in five have other commitments.
Of those who do save, just £68 on average is stuck away each month and is being saved up to spend over the next year or so rather than for when they retire.
When it came to how Brits plan to finance their future, a quarter said they will live frugally, 12 per cent will end up downsizing and 13 per cent will work well into their seventies.
Three in ten said they 'didn't know' how they were going to afford to live.
The poll also quizzed the over 50s specifically on whether they thought the younger generations managed their money well – just 10 per cent agreed.
David Cutter, added: "Our findings show that the most common cause of a financial wake-up call is a 'live for today' attitude, with Brits saying they threw caution to the wind and lived beyond their means in their younger adult years.
"For others the underlying factor wasn't their spending, but their attitude to saving money – with 46 per cent not having anything in place for their later years.
"With the average person having a financial wake-up call at 34 there is still time for people to understand their financial position and work their way out of their predicament before it really does get too late. Financial worries can affect us all, but people need to take control and manage their finances. So do a simple budget plan, set individual savings goals, speak to your bank or building society about opening a savings account that suits your individual needs, be savvy with your spending, deal with your debt and think about your future.
"Above all else, if you do have a financial wake up call, don't put it on snooze."