Is the Bank of Mum and Dad a thing of the past?

Financial company AXA released their Big Money Index last week revealing that parents are worried they won’t be able to provide for their children’s future.  I was really sad to read that more than four in ten people would feel like they’d let their children down if they couldn’t help them out financially. We are putting SO much pressure on ourselves.

As a mother to four young children, I too am thinking about the ways that I hope to be able to help them out as they get older.  University, cars, houses…….the list is endless.  As a young adult, my parents helped me out and I have always wanted to be in a position to do the same for the next generation.

Piggy Bank for College

However, this isn’t the eighties anymore and people just don’t have as much cash in their pockets.  I think the Bank of Mum and Dad is sadly going to become more of a luxury and less of a foregone conclusion unless people can find a way to increase their savings.

I know it sounds SO BORING but when it comes to planning for the future, you really are never too young to start saving. The earlier you start, the longer your money has got to grow.  If you start saving at age 40, you would need to put aside £290 a month to get a pension of £10,000 at age 68. However, if you started at 30, you’d only need to save £149 a month to get the same figure.

But PLEASE don’t despair, I am ending on a high!! There are LOADS of ways to save like ISAs, savings accounts, premium bonds and even peer-to-peer lending where you lend out your money and get it back with interest much higher than most savings accounts (trust me, it is pretty good!). If you have ANY spare cash, then you need to get it put away TODAY! It’ll be worth it in the long run.

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