So here I am, almost a year into my journey as a reporter at Money Marketing, and I can say it has been a positive experience so far.
I feel lucky to have landed a role at the magazine and website, especially considering the redundancy I faced in my previous job. But as my mum loves to remind me, everything happens for a reason, and now I am happily a reporter at Money Marketing.
Over this period, I’ve soaked in a wealth of knowledge about the financial landscape, becoming more attuned to the myriad issues that affect the people of the UK. Yet, amid the hustle and bustle of reporting, a realisation dawns on me – the pressing need for a financial roadmap.
In an article I wrote during the first couple of weeks in January 2024, I delved into research from St James’s Place (SJP) that unveiled a surprising statistic: those under 34 are twice as likely to have a financial plan as those over 55.
SJP’s financial health research found that 61% of under 34s had a financial plan in place, compared to 27% of over 55s.
Overall, 41% of UK adults surveyed said they have one, with 76% of those who did saying they were confident in their financial position.
Meanwhile, over half (54%) described themselves as financially comfortable compared to 34% who do not have a plan.
These findings struck a chord with me, prompting a closer look at my own financial standing.
As my birthday on 11 February looms (feel free to send me a happy birthday email), this will mark my transition into the 34-and-above category.
Despite currently being under the age of 34 and many other people having a financial plan in my age group, I do not have one.
Sure, I have aspirations – to buy a house or flat, and I have a Help to Buy Isa – but that’s about it. For the record, I got the idea of a Help to Buy Isa from Martin Lewis.
I don’t think I’m the only one to be following Lewis’s words, as last year I wrote an article on how LV= research discovered that 43% of adults turned to consumer-finance websites such as MoneySavingExpert.com – founded by Lewis – for what they considered to be financial advice.
This compared with 38% seeking advice from a qualified adviser.
The urgency to chart a financial course intensifies against the backdrop of a challenging economic landscape, with inflation surpassing the 2% target set by the Bank of England.
Another article I wrote for Money Marketing last year suggested something similar.
Research from Standard Life said people start to ‘actively plan’ for retirement at the age of 36.
From the 11 February, that will only be two years away from me.
Additionally, topping up pension contributions by 3% from the age of 36 could lead to £120,000 more at retirement, according to Standard Life.
The report suggests 36-year-olds planning their retirement have a 13-year head start on current retirees, who started planning at age 49.
Due to the shift from defined benefit pension to defined contribution, Standard Life said the onus is firmly on younger workers to take responsibility for their retirement plans.
In all honesty, the time has come to consider a conversation with a financial adviser. Not for an interview, as has been my routine for the past 11 months, but for genuine advice I can apply to my own life.
My role at Money Marketing is signalling the need for a shift in perspective – from reporting on financial matters to actively engaging in my own financial planning. So, here I am, ready to listen, learn and embark on the journey towards securing my financial future.
Also, who would be better to speak to about my financial plan than a financial planner?
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