Children love playing grown-ups. What they don’t realise is just how expensive it will be when they do it for real. Consider for a moment some of the things they might want to do and that you might want to help become a reality.
- A university education
- A gap year
- Their first car
- A deposit for their first home
- A very special wedding day
The simple fact of the matter is that the financial world in which our children are growing up is a very different and difficult one. If saving for our children was once regarded as an aspiration, we feel it is increasingly becoming a necessity if we want them to have the best possible start to their adult lives.
Consider for a moment some of the things they might want to do and that you might want to help become a reality.Think then about how much some of these things cost today.
With the average cost of full-time tuition fees in 2016/17 reaching just under £9,250 (source: House of Commons Library, 2018 (17/18 academic year)), it is estimated that graduates could be saddled with an average debt of £57,000 (source: Institute for Fiscal Studies, June 2018).
After education comes the cost of setting up a home. According to a recent report, the typical deposit paid by a first-time buyer in 2017/2018 was £44,635 (source: The Annual English Housing Survey February 2019). And, unsurprisingly, the average age for a first-time buyer in London taking their first step onto the ladder is 34.5 in 2017/2018 (source: The Annual English Housing Survey February 2019)
One thing we believe. The earlier you start to save, the better their start will be.