Section 2.3 Young Adult and Family Finances 59
Beginning Stage
From age 18 to the late 20s, young people are getting established on the job
and in life. Those who marry begin the first stage of the family life cycle, called
the beginning stage. Income for most young adults starts low and gradually
increases with time on the job. Two-income couples enjoy the benefits of two
incomes. People who marry later may have established careers and higher
incomes.
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furnishings, and insurance. The down payment on a home is often the largest
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savings, or contributions to a retirement fund. Couples need to tailor savings
and investment programs to meet changing needs as they move to later stages
in the life cycle.
Expanding Stage
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rising income, and increasing responsibilities. With the birth or adoption
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responsibilities. If one spouse leaves the workforce to raise children, income
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As the family grows, many couples decide to move to a larger home or
to leave city living for a more family-friendly environment in the suburbs.
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educational fund for children. It also is important to create a will.
Morgan Lane Photography/Shutterstock.com
The different stages of life bring about unique financial challenges as families
grow and change.