Skipton Building Society have just released a survey that seems to say Britons will only be able to enjoy seven years of life without having to worry about their finances. Between the ages 58-years-old and 65-years-old seems to be the best time of life, financially.
On average, between these years, people will have managed to pay off their debts, such as their mortgage, will have had their children leave home and no longer be financially reliant on them, and will still be drawing a full wage without needing to use it to pay off any remaining financial commitments.
Of course, this won’t be the case for everyone, as some people will be lucky enough to reach that state beforehand whilst others will still be struggling to pay the bills, but it does provide an interesting picture of our finances throughout our life.
Skipton are trying to spin this as a positive development, with their head of corporate communication, Tracy Fletcher, saying that “this study offers a glimmer of hope for those hard-working young people who are currently strapped for cash and can’t see light at the end of the tunnel. As an adult there will be financial commitments throughout your working life, but you can get to the point, albeit potentially quite brief, where things ease up and you finally have a little money to spend on yourself.”
Unfortunately, many people will not see it that way, and will find the idea of being shackled down by various loans and debts for the majority of their life a miserable and unpalatable state of affairs, especially when the media repeatedly exposes the high levels of pay that celebrities, footballers and bankers take home.
The research does provide one valuable titbit though: “our findings also highlight the fact that, particularly in the current climate, it’s more important than ever for people to get on top of their finances when they are younger, in order to boost their chances of achieving more comfortable later years,” says Fletcher. It definitely is the case that sound financial planning can make your life easier, and the earlier you start, the better.