U3 Functions/role of money

Question 1

Childhood

Answer 1

Financial needs:
- Limited
- Rely on parents

Implications:
- Save money (influenced by parents)
- Money received as gifts may be spent on toys

Question 2

Middle aged

Answer 2

Financial needs:
-Support a family
-Extra money to spend on luxuries e.g holidays
-Save for children’s future

Implications:
-Paying a mortgage
-Planning for pensions
-Income at a peak

Question 3

Young adult

Answer 3

Financial needs:
-Buying a car or renting flat
-Uni / starting a career
-Possibly looking to settle down (familys)

Implications:
-May take a student loan
-Finance deals
-Eligible for credit cards

Question 4

Adolescence

Answer 4

Financial needs:
-Starting to become more independent
-Less reliant on parents

Implications:
-May look for a part time job
-Reliant on pocket money
-May be willing to save up cash gifts

Question 5

Old age

Answer 5

Financial needs:
-Fewer dependants
-May downsize home
-Fewer needs for assets, yet higher need for health care

Implications:
-Mortgage payment stops or reduces
-Less income, reliant on pension