Test your investment knowledge today with our financial education quiz.
There are 10 questions in all - good luck!
Question 1
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What was the average cost of a pint of milk in 1970?
In 1970 a pint of milk cost 4.7p on average. Nowadays a pint of milk costs around 45p, an increase of over 850%. It is important when putting money aside for the future that your investments at least keep pace with inflation, historically the best way to do this is by investing in the stock market. Please remember past performance is not a guide to the future and stock market investments can fall as well as rise so investors can get back less than they invest.
Source: Office for National Statistics.
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What is the average cost of a three year course at university in England?
The average cost of university in the UK is £44,000, trumping the cost for students in America, Canada, Australia and New Zealand. Parents concerned by this might consider a Junior ISA, the allowance of which for 2016/17 is £4,080. Any money contributed is then locked away, sheltered from tax, until the child reaches the age of 18.
Someone contributing £4,080 a year for the first 18 years of a child's life with 5% growth a year could amass a tax free saving amount of £117,865. Please note investments can fall in value as well as rise.
Source: Sutton Trust / HL Regular Savings Calculator
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How many different jobs will the average person have over their lifetime?
According to the Government, the average person will have 11 different jobs over the course of their lifetime. With Automatic Enrolment now in full swing, it's thought this could lead to 50 million dormant and lost pension pots by 2050.
Source: Department of Work and Pensions
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What is the life expectancy of a baby girl?
Life expectancy for a girl born in 2014 is 93.5 years, for boys it is slightly lower at 90.6.
Source: Office for National Statistics
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What is the average cost of raising a child?
The average cost of raising a child to the age of 21 is £231,843, having risen by 25% since 2007.
Source: LV=
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What is the average cost of a wedding in the UK?
The cost of a wedding is on average £30,111. To reach this amount it would require putting aside £250 a month with 3% growth a year (net of charges) over 8 years.
Source: Conde Nast Brides / Hargreaves Lansdown Regular Savings Calculator
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What is the earliest you can normally access your SIPP?
The earliest age you can currently access your pension is 55. This is rising to 57 from 2028. If you want to be able to retire before your state pension age then you may need to pay close attention to how your workplace pension grows.
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How much money is thought to sit in unclaimed pensions according to the Government?
There is around £400m sitting in unclaimed pensions. If you think you have lost an old company pension, the DWP have a service to help you track them down.
Source: Department of Work and Pensions
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How many adults have less than £500 in savings?
Hargreaves Lansdown recommend people have between three and six months' worth of expenses in savings to help bypass any unforeseen circumstances. However, four in ten adults in the UK do not have £500 or more in savings. A survey by ING Bank suggests that 28% of adults have nothing at all in the bank.
Source: Money Advice Service
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How long would it take someone investing the current maximum allowed into a Stocks & Shares ISA to become an ISA millionaire?
Assuming 5% growth after charges, and based on the current annual ISA allowance of £15,240. The final figure of £1 million would be broken down into contributions totalling £448,310 and growth of £553,478. That amount could then be withdrawn 100% tax free. Although in almost 30 years’ time £1 million will be worth considerably less than it is today due to the impact of inflation.
Source: HL Regular Savings Calculator
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