Life stages- Financial needs and Implications

• what are the different life stages?

  childhood, adolescence, young adult, middle age, old age
• what are the financial needs of the childhood life stage?

  • needs are limited
  • relies on caregivers
  • purchases non essentials such as sweets and toys
• what are the implications of the childhood life stage?

  • money is received from parents in the form of pocket money
  • money is spent on non essentials
  • may be encouraged to save their money
• what are the financial needs of the adolescence life stage?

  • want independence
  • start to socialise away from home
  • less reliant on their family
• what are implications of the adolescence life stage?

  • still reliant mainly on money from parents
  • may look for a job
  • receive cash as gifts and save for larger purchases
• what are the financial needs of the young adult life stage?

  • university or an early career
  • more independent
  • buying cars, renting or buying homes
  • starting a family or getting married
• what are the implications of the young adult life stage?

  • student loan
  • financing their car and borrowing
  • job and mortgage
  • eligible for credit cards
• what are the financial needs of the middle age life stage?

  • support family
  • improve their lifestyle
  • save for the future
• what are the implications of the middle age life stage?

  • paying a mortgage
  • paying into a their pension
  • high income and high expenses
• what are the financial needs of the old age life stage?

  • fewer dependants
  • fewer financial needs
  • may downsize
• what are the implications of the old age life stage?

  • no mortgage payments
  • income comes from their pension and not their salary