As I approach my mid-late twenties, my life is starting to get more and more expensive. I am now reaching the age in which my friends are getting married, I'm paying rent, I'm splashing out on my pension and my student loan and I also happen to live in one of the most expensive places in the world. However, unfortunately for me, it appears that life is about to get a whole lot more pricey. New research has revealed what the most expensive year of your life will be and why.
According to British credit checking firm ClearScore, 31 will be the most expensive year of your life, with the average person needing around £43,000 ($60,000) to cover the cost of those 12 months. To put that into context, the average salary in the UK is £27,600 ($38,000).
The reasons behind the eye-watering figures are that 31-year-olds say that they have to fork out for things such as weddings (27 percent), honeymoons (14 percent), having a baby (20 percent) and buying a house (25 percent). Buying their first home also comes in at 23 percent - so there's plenty to worry about.
More than half of the 3,000 people who were interviewed as part of the survey claimed that they covered the cost with their savings, while a third said that they were forced to rely on the good old bank of mum and dad.
According to the research, the use of credit has also markedly changed between the generations, with one in five under 34-year-olds using credit to help them fund big purchases, compared to just eight percent of over-55s. There was also a general agreement that - despite the older generation constantly claiming the opposite - millennials and the younger generation have a harder time financially when compared to their predecessors.
The research also found that Brits are concerned about saving for future milestones and general day-to-day needs. The top three concerns that the subjects had when it came to their finances were: saving for retirement (25 percent), saving enough in general (20 percent) and having enough money to support their children as they grow up (14 percent).
Speaking about the results, Justin Basini, chief executive of ClearScore, said:
“Many of life’s big milestones tend to happen very close together so we weren’t shocked to discover how much people were spending during their most expensive year. It’s not surprising that, given the squeeze on day-to-day living, that more people are now turning to credit or parents to fund some of these milestones.”
If you're reading this in your mid-thirties onwards, you can rest knowing that the most expensive year of your life is over and done with. However, for people like me, who have no savings and are already struggling to survive as it is, things are only going to get worse for us. Be prepared to call up the bank, get a credit card and become riddled with debt. What a time to be alive!
