What They Didn’t Teach You About Money (But Should Have)

Navigating money as a young adult today feels like stepping into a game where the rules were written decades ago, but you’re still expected to win. The system has shifted, and not in your favour. Back in 2020, the Institute and Faculty of Actuaries (IFoA) identified a trend called The Great Risk Transfer. It means that financial risks like how much to save for retirement or what financial products to buy, has moved from institutions (like employers or the government) straight onto individuals.

And here's the kicker: this shift can hit young people hard.

If you’ve looked at rent prices, tried to save money, or dreamed of owning a home one day, you already know how hard it can be. Compared to your parents or grandparents, you're dealing with bigger student loans, sky-high living costs, and fewer safety nets. You're expected to build wealth—but how, when most of your wages goes just to stay afloat?

The Housing Hustle

Let’s talk about one of the biggest barriers: housing. A report by the Pensions Policy Institute (sponsored by the IFoA) shows that house prices are now around eight times the average salary. In the 1980s, about a third of 16–24-year-olds owned homes. Today, it’s dropped to just 16.5%.

The reality? You’re expected to save more, for longer, just to get a foot on the property ladder—if you ever do at all.

Student Loans: Taking longer and costing more

Now add student debt to the mix. The average student loan hovers near £50,000, with high interest rates tagging along. The IFoA has published a paper exploring the problems with the current system and suggesting ideas on how to help. Student debt isn’t just a number—it’s a weight that affects how much money you have to spend or save (including for when you retire).

Why retirement matters

We get it—retirement feels like forever away. But here’s the truth: the earlier you start thinking about it, the better off you’ll be. Pensions used to be straightforward. Employers offered generous final salary pensions (called defined benefit pensions). But that’s mostly gone. Now it’s on you to save enough into what’s called a defined contribution (DC) pension.

Problem is, that’s incredibly hard when rent’s due, student debt has stacked up, and you’re just trying to make it to next payday.

Change might be coming, and you can be part of it

It’s easy to feel powerless, but you’re not. Right now, the UK government is reviewing the pension system, and so is the Institute for Fiscal Studies (IFS). That means things are changing and your voice will be needed to create a solution that’s fair for everyone.

The actuarial profession (think finance meets future-planning) is working hard behind the scenes, and we're proud to be part of that conversation. That’s why we were so proud to host an event in partnership with the young person’s charity Debate Mate to launch the pensions research paper we sponsored with the PPI. We brought young people together to debate the future of the pension system and put their views to industry experts and senior actuaries.

It’s Your Future. Own It.

This isn’t just about pensions or policies. It’s about your freedom to live the life you want—own a home, travel, start a family and retire comfortably. This is a crucial time for the future financial wellbeing of your generation.  Your perspectives will be vital if we are going to adapt to the needs of your generation. So get involved in this important debate and make your voice heard.