Your 40s are the peak earning years for most people, and your average net worth hits about £150,000 to £180,000. Sounds great, right? Except you’re now paying for everything: teenage food bills, car repairs, and a vague sense that you should have saved more for a pension. Your retirement fund is still just a spreadsheet with optimistic projections.
This is also the decade of the “equity release” dream. You look at your house, which has magically doubled in value thanks to location and luck, and think, “I could sell and move to Spain.” Instead, you spend the equity on a new kitchen that you’ll never fully enjoy because the kids have turned the dining room into a gaming den.
The Mid-Life Investment
Someone told you to invest in stocks. You bought a few shares in a trendy electric car company, panicked when it dropped 10%, and sold at a loss. Your net worth includes the £500 you have in a “fun” trading account, which is now just a learning experience. The average 45-year-old has about £50,000 in pensions and a £10,000 emergency fund—which is the same emergency fund you had three years ago, because you keep dipping into it for holidays.
Your biggest win? You own a home, and the mortgage is down to just 20 years left. That’s like winning a marathon where the finish line keeps moving.
Wealth Calculator By Age - The Money Mind
