Young and Single (18-25)
You are probably still studying or have your first job ahead of you and are ready to start your career.
Your life plan is still just a hazy list of things to achieve but your initial goal is living your dream lifestyle.
You are likely to be looking for your first home or deciding whether to rent a small flat to seek independence away from Mum and Dad but limited bills while at home and a helping hand from parents is keeping you undecided. Luxury items are easy for you to get your hands on as you have a lot of disposable income with little financial pressure. You may be about to buy or run your first car and seeking new adventures. Friends, nights out, festivals and holidays are your priorities.
You have no fear. You are indestructible and every opportunity is a good one.
Even at this wonderful time in your life there are still things that should be considered. You need finances to ensure independence, whether that be for a car, a holiday or moving away from the family home.
Protecting what you have
Life insurance, critical illness cover and income protection are perfect at this stage in your life as they offer peace of mind to you and your family whilst you are out taking risks and having fun. Not only will this provide a secure financial net but it will offer you an income to pay the bills if you become ill and unable to work. At your age these products are cheaper than they will ever be, allowing you to fit them around your lifestyle.
Planning for the future
Although you’re relatively new to the finance world, it’s never too early to start planning for bigger spends or a rainy day. The earlier you start saving, the less stress will arise when a big purchase crops up. Taking advantage of an individual savings account (ISA) is the perfect way to save for these events. They offer competitive interest rates on investments to help your money grow and tax benefits to save you from tax impacting on returns.
Choices of ISA’s are often vast and bewildering and can take a lot of time to get your head around; a financial adviser will be able to help you make the best decisions to grow your money to its full potential.
Although your need for a financial adviser is relatively low it is still significant enough to be acted upon as these decisions can be confusing. To discuss your priorities and options, contact one of our advisers at People and Business. Click here