Life’s big moments have a history of becoming very expensive. As a result, it’s critical to recognise this and plan ahead as much as possible. Here are s the most popular things to save for throughout our lives that you should be aware of.
Property
House prices have soared in recent decades, This has been good news for homeowners. They have seen their assets appreciate in value. However, it has also made purchasing a home extremely difficult. They’ve risen even higher in 2022, and the bubble has yet to burst.
Most metrics currently estimate the average property price at more than £200,000, depending on whether you count the over-inflated London market or not, and whether you look at actual sales data or predicted values.
Obviously, saving for a 10% deposit will take some time, which is why the government has developed a series of initiatives under the title of Help to Buy to help individuals get started.
Popular Things To Save For – Weddings
Your wedding day may be one of the most memorable days of your life, but it comes at a high cost.
According to one survey, the average UK wedding now costs more than £25,000. This is once all expenses are factored in. While you can plan a special occasion for less, it’s certainly an expense that you should budget for when choosing a date for the big day. Those costs certainly pile up before you even realise it. Many have to plan well ahead for their big day.
Popular Things To Save For – Holidays
A family holiday now costs more than £1,200 on average. This implies that you’ll need to save aside a significant cash if you want to enjoy some sun, sea, and sand.
Many people choose to pay with a credit card. This is because it provides more security and allows the balance to be paid off gradually over time, making it more reasonable. However, it pays to avoid too much interest or extra charges.
Parenthood
When you bring a child into the world, you want to know that you’ll be able to raise them in a safe and caring home where you can offer all they need.
The cost of raising a child is estimated to be more than £230,000, albeit this amount includes everything from birth to 21. Still, if you don’t want to be in debt, your family planning should include a financial component.
Pension Pot
It’s critical to set aside enough money during your working years so that you may live well in retirement.
Many people do not consider their pension until it is too late.
Begin by imagining what you want your retirement income to be. Then, you must calculate how much you’ll need to save to get there. The sooner you begin, the less difficult you will find it.
