More than a quarter of parents say the back-to-school period after the summer holidays prompts them to consider doing some of their own financial homework, a survey indicates.
Some 27% of parents surveyed for Aviva said they are more likely to review their finances or investments when schools go back after the summer, compared with the rest of the year.
Key triggers for financial reviews
Across the survey, which also included people who are not parents, the most popular trigger for reviewing finances is receiving a pay rise or bonus, with 39% of people saying this makes them more likely to take a look at their financial situation.
Meanwhile, 35% of people are inclined to do so when interest rates change and 34% when the tax year ends. The new year is also a prompt for a third (33%) of people to delve into their finances and make a fresh start.
Investment habits and family milestones
Although many people review their finances at significant points in their lives, just one in six (17%) said they would invest extra income received through a pay rise or bonus. Nearly two-fifths (38%) said they would save the money and 28% would spend it.
Retirement, growing long-term wealth and starting to earn a regular income were among the most common reasons for investing. Family milestones also prompted some people to invest, such as having children, buying a first home, getting married or entering a long-term relationship, according to the survey of 2,000 people in July across the UK, carried out by Censuswide.
Aviva's perspective
Alistair McQueen, head of savings and retirement at Aviva, said: “Most of us don’t choose to review our finances out of the blue. It tends to happen when something changes in our lives.
“That could be a pay rise, a new home, the birth of a child, or simply reaching a stage where we start thinking more seriously about the future or retirement. These moments usually push us to reflect on our finances.
“The good news is that many people are already reviewing their money regularly.
“The challenge is making investing a bigger priority and giving your money the opportunity to grow over the long term and work harder towards achieving your goals.
“Even small amounts invested regularly can make a significant difference over time.”
