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Tim Townsend, head of wealth management and corporate consulting at Alexforbes, says that clarity, stability and timeless values are key to spending with purpose
IN my previous columns, I explored how the longevity revolution is reshaping our lives, not just by extending them, but by challenging us to live better, with purpose, resilience and foresight.
As we move deeper into this new era, one question becomes increasingly urgent: how do we spend well, not just save well?
Morgan Housel’s latest book, The Art of Spending Money, offers a timely lens. He writes: “Spending money well is the skill of maximising your quality of life per dollar.” In a world where many will live into their 90s or beyond, this skill becomes essential. It’s not just about budgeting or avoiding waste; it’s about aligning spending with values, meaning and long-term wellbeing.
This is particularly relevant in Jersey, where financial services and intergenerational wealth are central to our economy. As we embrace longer lives, we must also embrace a more nuanced understanding of money, one that goes beyond accumulation and into intentional use.
In my September article, Living Longer, Living Better, I argued that longevity is an opportunity, not a burden. It invites us to rethink retirement, contribution and community. But as Housel reminds us: “The saving habit is powerful and sometimes paralysing.”
Many clients, even those with significant wealth, struggle to shift from saving to spending. The fear of running out, the loss of structure and the emotional weight of financial decisions in retirement can be overwhelming.
This is where behavioural finance meets emotional intelligence. Advisers must help clients not only plan technically, but transition psychologically. As James Woodfall notes in Fidelity’s recent piece on complex retirements: “People take around three years to adjust psychologically to retirement.” During this time, spending habits are often shaped more by emotion than logic.
How do we help clients spend well in the age of longevity?
First, we encourage clarity. What does a good life look like in your 70s, 80s or 90s? What experiences, relationships and contributions matter most? Spending should reflect these priorities.
Second, we simulate stability. Regular drawdowns that mimic a salary can ease the shift from accumulation to consumption, reducing anxiety and reinforcing confidence.
Third, we normalise the conversation. Sharing anonymised examples, using behavioural frameworks such as PERMA and modelling “pre-mortem” scenarios can help clients feel seen, understood and prepared.
Finally, we anchor in timeless values. As I wrote in October in Longevity and the Things That Never Change, trust, stewardship and sustainability remain as vital as ever. Spending well is not just about the individual; it’s about the legacy we build and the communities we support.
Longevity gives us time. Spending well gives that time meaning. In Jersey, we have the tools, the talent and the trust to lead this conversation.
Let’s help our clients not just live longer but spend better with purpose, empathy and joy.
