Most people believe serious Financial Planning should begin by an average age of 28 and a half, according to a new study covering the views of 2,000 consumers.
While the research found that many believe Financial Planning should start before age 30, the research found that 44% of people felt financially unprepared for major life events despite recognising the importance of Financial Planning.
Wealth manager Mattioli Woods, the firm behind the survey, said unpreparedness was highest among 45–54-year-olds, at 53%, compared with 32% of those aged 55 and over.
Women were also less confident than men, according to the study, with 48% feeling unprepared versus 40% of men. Scotland and the North West recorded the highest regional figures, both at 49%, followed by Yorkshire at 48%.
The life events people were concerned about included needing long-term care or support with everyday living, losing the ability to manage their own finances, supporting an ageing parent or relative and experiencing a relationship breakdown or divorce.
Amit Joshi, managing director of wealth at Mattioli Woods, said: “Many people understandably think about Financial Planning in terms of retirement and making sure they have enough money for later life. But our research shows that the financial events people feel least prepared for can often happen much earlier.”
He said the findings pointed to a particular challenge for those approaching later life. While people aged 45–54 may be increasingly focused on retirement, they are also more likely than those aged 55 and over to say they do not feel financially prepared for the major life situations presented.
Mr Joshi said: “The fact that people believe serious Financial Planning should begin before the age of 30 shows there is widespread recognition that planning ahead matters.
“However, financial resilience is about more than preparing for a retirement date. A long-term financial plan should also consider what happens if circumstances change along the way.”
• Research carried out by YouGov with 2,078 UK adults between 2-3 September.