A latte or your mortgage?

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New research has found that people could pay off their mortgages eight and a half years early by cutting out treats.

CreditExpert has found that the average person spends £57,434 in their working lives on non-essential treats.

Items, such as coffee-shop lattes, soft drinks, lottery tickets, taxis and gym membership that never gets used, added up across the year to £1,222.

By being strict with yourself, and cutting out such non-essential indulgences, you could either pay off your mortgage earlier of even increase pension contributions by 50 per cent.

Jim Hodgkins, managing director of CreditExpert, said: "Our research highlights that the little decisions we make everyday, such as whether to buy a coffee or a small treat, can soon add up.

"In the long term, they will make a real difference, one way or the other, to how quickly we own our homes or, how much well have in retirement."

He continued: "Many of us find it difficult to keep track of our finances and our survey shows this is just as true for everyday treats as for major purchases."

Considering your pension, the average person puts £115.50 away for retirement each month, but by cutting out treats and using the cash for the future a boost to the pension could mean instead of £61 a week in retirement you could have £115, an increase of 86 per cent.

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