Third delay family plans due to cost: Mortgage Choice
Over one in three Australians will delay plans to have children because of the costs of raising a family, according to new findings by Mortgage Choice.
Findings from Mortgage Choice's inaugural Financial Confidence survey have shown that 34.9 per cent of surveyed respondents found the cost associated with having children as "so high" that it is has forced a rethink of family plans, with almost half of all respondents saying they would have to rely on their spouse or partner for money if they took parental leave.
The online survey gauged the thoughts of 1,113 Australians and was completed last month.
Mortgage Choice chief executive officer John Flavell said the data was "unsurprising" given that the cost of living and property prices continue to rise year on year.
"Our data shows more than 85 per cent of Australians have seen their day-to-day expenses rise substantially over the last 12 months," Flavell said.
The survey found that over half (56.7 per cent) of those with children believed they were not "financially prepared for a family", Flavell said.
The comments come in light of research by fintech Map My Plan conducted last month that found over half (58 per cent) of working Australians have less than three months of emergency savings.
Mortgage Choice said that making financial plans, adhering to manageable budgets and paying off debt — such as personal and car loans — should be seen as key priorities for families in their preparation for parenthood
"Given that the cost of living is rising and there are costs associated with having children, it is little wonder why more than one third of Australians are actively pushing their family plans back," Flavell said.
Recommended for you
A financial advice firm has been penalised $11 million in the Federal Court for providing ‘cookie cutter advice’ to its clients and breaching conflicted remuneration rules.
Insignia Financial has experienced total quarterly net outflows of $1.8 billion as a result of client rebalancing, while its multi-asset flows halved from the prior quarter.
Prime Financial is looking to shed its “sleeping giant” reputation with larger M&A transactions going forward, having agreed to acquire research firm Lincoln Indicators.
An affiliate of Pinnacle Investment Management has expanded its reach with a London office as the fund manager seeks to grow its overseas distribution into the UK and Europe.
