At Some Point, Saving Stops Being Just About You
When we first start earning an income, our financial goals are usually centred around ourselves.
A car
A holiday.
Getting onto the property ladder.
But life has a way of changing our priorities.
Whether it’s getting married, buying a home or welcoming children into the family, saving gradually becomes less about us and more about the people we love.
It is no longer just about building wealth.
It’s about creating security, providing opportunities and giving your family confidence that, whatever life brings, they’ll be financially supported.
Waiting for the “Right Time”
Many families have the same intention: “We’ll start saving when things become a little easier”
It’s understandable.
Mortgages, childcare costs and everyday expenses can quickly take priority.
But waiting for the perfect time often means never getting started at all.
Sometimes, taking the first step, even if it’s a small one, can make all the difference.
A Story Many Families Can Relate To
Imagine a couple in their early thirties with two young children.
Like many families, they have a mortgage, childcare costs and all the usual day-to-day expenses.
They always intended to start saving but kept putting it off, believing they would begin once life became a little less expensive.
After speaking with a financial adviser, they decided to start small.
Rather than waiting for the perfect time, they simply committed to saving €250 each month into a long-term investment plan.
The amount was affordable and fitted comfortably within their household budget.
What Difference Could That Make?
If €250 was invested every month for 20 years and achieved an average annual return of 6%, compounded monthly before charges, tax and inflation, the fund could grow to approximately €116,000.
Over the same period, the family would have personally contributed €60,000.
The difference is the potential benefit of long-term investment growth.
It wasn’t achieved by making one large investment.
It was the result of saving regularly, starting early and allowing time to do much of the work.
The chart below illustrates this in a simple way.
The steady line represents the amount saved by the family, while the second line shows the potential fund value if the investment achieved the assumed return over the full 20-year period.
Illustration only. Assumes monthly investments of €250 over 20 years with a constant annual return of 6%, compounded monthly, before charges, tax and inflation. Investment returns are not guaranteed.
Why Family-Focused Saving Matters
When other people depend on you financially, your approach to saving naturally changes,
It becomes about more than reaching your own financial goals.
It becomes about:
- Providing financial security
- Preparing for unexpected events
- Creating opportunities for your children
- Building long-term financial independence
- Giving your family greater peace of mind
Saving with a purpose can help create confidence for both today and the future.
Balancing Today and Tomorrow
Building financial security doesn’t mean sacrificing everything you enjoy today.
A good financial plan is about finding the right balance between enjoying life now while continuing to build financial security for the future.
Even modest monthly contributions can make a meaningful difference over time.
The important thing isn’t necessarily how much you start with…
It’s starting and remaining consistent.
Every Family Is Different
No two families have exactly the same goals, income or financial commitments.
That’s why your savings plan should reflect your own circumstances.
At Oaktree Financial Services Ltd, we work closely with individuals and families to create practical, achievable financial plans that support both today’s needs and tomorrow’s ambitions.
Important Information
The example above is for illustration purposes only and is not a personal recommendation. It assumes monthly investments of €250 over 20 years with a constant annual return of 6%, compounded monthly, before charges, tax and inflation. Actual investment returns will vary. The value of investments can fall as well as rise and you may get back less than you invest. Past performance is not a reliable guide to future performance.
Tracy Sumstad is a highly qualified and experienced Senior Financial Consultant with over 20 years of expertise in the Finance Sector. Tracy is well-equipped to provide comprehensive advice on financial planning and corporate solutions. Her focus lies in helping clients identify their unique values and goals, empowering them to make informed financial decisions that protect and enhance their wealth and success.
