Probably the first recollection we have concerning money goes way back into our childhood when we heard the term “allowance”. Our parents would give us a little bit of money per week for doing a specific amount of chores around the house. In most cases we would grab that little bit of money and head off to the candy store. For some they could coerce their parents into giving up a few more pennies before the next allowance was due, while for others the parents were more rigid and would stick to the Friday payout of the allowance.
Once the teen years became into effect, more money was needed. At one time parents were able to cover the costs of education whereas now many parents cannot. Students are expected to contribute to their education or at the very least rely on student loans to do this. Some will pick up part-time jobs to help supplement this expense. Perhaps this is when the first stress that can be related to money sets in.
Once the education is completed than the ideal scenario is that the young graduate will now find a job in their chosen career. However, this doesn’t start with a debt free situation. Most have a large amount of student debt to pay back. At the same time they are planning to further their career and move up the success ladder, perhaps get married, and begin a family.
This now means time for investment in some sort of living accommodation. For those that are struggling it may mean having to rent. For others they may have enough saved to put a small down payment on a home or condo. There are some big financial decisions that have to be made and these decisions are going to set the path for the finances for many years to come.
As time progresses no doubt debt begins to add up aside from the mortgage. In most cases individuals have at least one credit card if not more, and then on top of this there is there tax obligations as well as the cost of living expenses. It seems that time flies by and the couple now have grown children of their own, and it is time for this couple to think of their retirement years. Many are realizing that it isn’t enough just to have a retirement plan to rely on and the future years which are supposed to be the golden years are somewhat shaky as many don’t know whether they’re going to have enough savings to give them the senior lifestyle that they would like to have, or had thought would take place.
What it all comes down to is that one can no longer leave planning for the senior years to the last moment. This has to begin at a very early stage in life and perhaps sacrifices have to be made during the different phases as one progresses through life, in order to be sure that they are going to be secure when the time comes for retirement.
