00:00

Financial Planning Across Life Stages

Explore the concept of personal financial life cycles, understanding how financial needs evolve with age. From early dependence to retirement, learn to plan for stages like independence, developing, pre-retirement, and beyond. Discover key considerations such as saving, budgeting, insurance, pensions, and estate planning. Gain insights on constructing your own financial life cycle to ensure a secure financial future.

benitezcano
Download Presentation

Financial Planning Across Life Stages

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. Chapter 11: Financial Planning for Your Future

  2. Chapter 11 Learning intentions In this chapter you will learn to: › Construct a personal financial life cycle to identify financial needs at different life stages › Draft a personal financial life cycle to think about planning for your own financial needs › Plan finances for different stages of your life. Textbook page reference: 122

  3. Chapter 11 What is a personal financial life cycle? A personal financial life cycle shows the changing financial needs a person will have at each stage of their life. Textbook page reference: 123

  4. Chapter 11 How your stage of life affects your personal financial life cycle People have different needs, wants, priorities and assets at different stages of their life. Textbook page reference: 124

  5. Chapter 11 Financial planning An asset is something of value that you own. Textbook page reference: 124

  6. Chapter 11 Financial planning Your estate is made up of everything you own. At the moment, it might be your bicycle, your books and your laptop or tablet. Later, it might include a car, a house and your savings. Textbook page reference: 124

  7. Chapter 11 Financial planning Making a will is part of this planning process. A will is a legal document containing instructions for what should be done with personal money and property after death. Textbook page reference: 124

  8. Chapter 11 How your stage of life affects your personal financial life cycle The main factors that may impact on your financial planning are: › Employment status › Age › Number of dependents › Health status › Economic outlook › Marital status Textbook page reference: 125

  9. Chapter 11 When to plan and what to plan for Dependence stage: In your early years, you probably didn’t think about money, budgeting, saving or planning. You have been, and still are, very dependent on your parents or guardians for your financial needs. Textbook page reference: 127

  10. Chapter 11 When to plan and what to plan for In your teens your key financial concerns will be: › Full-time education and preparation for your career › Income from part-time employment › Considering future financial needs and resources. Textbook page reference: 127

  11. Chapter 11 Independence stage At this stage people will probably be thinking about: › Finishing education/apprenticeship/career preparation › Starting work and building wealth › Becoming financially independent › Repaying student loans › Beginning regular savings › Buying/renting a home › Household budgeting › Insurance needs › Starting a pension. Textbook page reference: 128

  12. Chapter 11 Pensions A pension is a fund into which payments are made during a person’s working life, and from which payments are later made to support them when they retire from work. Textbook page reference: 128

  13. Chapter 11 Developing stage People at this stage will probably be thinking about: › Increasing income › Paying mortgage/rent › Personal savings/emergency fund › Children’s education costs › Household expenditure › Life assurance › Health insurance needs › Pension › Considering estate plans/making a will. Textbook page reference: 129

  14. Chapter 11 Pre-retirement stage At this stage, people will probably be thinking about: › › › › › › Children’s third-level education Savings Updating retirement plans Paying off a mortgage Life assurance Considering estate plans. Textbook page reference: 129

  15. Chapter 11 Retirement stage People of retirement age will be thinking about: › › › Children’s education Pension entitlements Life assurance and health insurance Meeting the responsibilities of ageing parents Retirement planning Checking the contents of a will Inheritance planning. › › › › Textbook page reference: 130

  16. Chapter 11 Retirement stage At retirement: › › › › › › Re-evaluating living conditions Spending based on retirement income Living off saved wealth Adjusting insurance for increased risk Considering what care needs they might have as they get older Finalising will and estate plans. Textbook page reference: 130

  17. Chapter 11 Recap and review Can you? › Construct a personal financial life cycle to identify financial needs at different life stages? › Draft a personal financial life cycle to think about planning for your own financial needs? › Plan finances for different stages of your life? Textbook page reference: 122

  18. Chapter 11 Credit slide › Shutterstock

More Related