Three-quarters of the UK's over-65s believe the internet has helped keep them feeling young and mentally agile.
The majority of Britain's older people online are skilled in saving money.
Research by broadband provider Plusnet has shown that 84% of over-65s with broadband at home use it to search for deals and compare prices - on everything from insurance and bank accounts to holidays and electrical equipment.
The survey of 'silver surfers' revealed that broadband has become an indispensible part of life for the UK's older people, with 63% saying they could not live without being online and 75% claiming the internet keeps them feeling young and mentally agile.
Jamie Ford, chief executive of Plusnet, said: "It's really encouraging to see that so many over-65s are getting online and really making the most out of the internet.
"There's no reason for anyone to feel their age means they can't get the best out of what technology has to offer."
Plusnet's research has also shown that 41% of over-65s now use Facebook, with 16% checking their social networking profile at least once a day.
However, although Britain's older population is increasingly web-savvy, findings published by the Office for National Statistics (ONS) show there is still a way to go.
More than five million Brits aged over 65 have still never been online.
In a recent poll by the charity Age UK, nearly a quarter of older people surveyed claimed they feel closer to friends and family because of the internet. Overall, 78% said their lives had improved since learning to use the internet.