Despite this, Government research has found that Welsh financial literacy could be much improved, with an especially ‘worrying lack of money skills among young people’.
The report found 43% of adults don’t feel confident managing money, something that then impacts on the younger generation with three in ten parents disagreeing that they are good financial role models. This is then compounded by the fact 65% of kids studied had never been taught about money management in school.
The survey found that those who were confident in their own financial situation and goals were more likely to involve their children in discussions about money, helping them develop vital financial skills.
There are many components in becoming more financially literate as adults, albeit not an exhaustive list:
• Do you know how much you need to live comfortably in retirement?
• What is the current balance of your pension, and are you on track to meet your retirement goals?
• Will your assets make you liable for taxes, for example inheritance or capital gains tax?
• What is your attitude to financial risk?
• Could your savings be better put to use in investments?
• Are you on the best possible mortgage rate?
• Are you sufficiency prepared for a financial shock, for example with an emergency fund?
• Does your insurance fully cover you for all eventualities?
For some, this list may seem daunting which is why many choose to use a financial adviser to help them sort through all of their existing assets and liabilities, help them map out their financial goals, and to suggest ways in which their money can work harder for them.
If that is something that may interest you, please get in touch with one of our local financial planners who will be able to book you in for a free initial consultation, either at one of our offices or at your home.