The real cost of delay in planning for your future
20th June 2025
“I’ll sort my finances out later” - the five most expensive words expats say.
Expats are an optimistic bunch. We’ve all heard the familiar phrase, usually said with confidence: “I’ll sort my finances out later.” Unfortunately, these might just be the five most expensive words you’ll ever utter.
Expats are an optimistic bunch. We’ve all heard the familiar phrase, usually said with confidence: “I’ll sort my finances out later.” Unfortunately, these might just be the five most expensive words you’ll ever utter.
The problem with procrastination isn’t just that you eventually have to face reality - it’s that reality has become significantly pricier while you waited. Delaying financial planning can have dramatic consequences, particularly when it comes to building a comfortable retirement or achieving long-term financial goals.
To illustrate, let’s look at a straightforward example.
Imagine you’re starting from zero and aim to build a pot of £500,000 within 15 years, with investments that achieve an average annual growth rate of 6%. If you get moving immediately, your monthly investment needs to be around £1,708.52. Manageable for many expats who’ve planned their finances wisely.
To illustrate, let’s look at a straightforward example.
Imagine you’re starting from zero and aim to build a pot of £500,000 within 15 years, with investments that achieve an average annual growth rate of 6%. If you get moving immediately, your monthly investment needs to be around £1,708.52. Manageable for many expats who’ve planned their finances wisely.
But let’s suppose you delay taking action for just two short years. After all, life is busy - perhaps you’ve just moved, you're settling into a new job, or you're simply putting off facing paperwork. The numbers, however, don’t care about your reasons. Delay by two years, and suddenly your required monthly contribution jumps sharply to £2,110.82. That’s a difference of £402.20 per month, an eye-watering increase of around 23.5%.
Think of it this way: that's £4,826.40 extra per year, every year, for the remaining 13 years. That could easily cover several family holidays, annual school fees, or even a decent chunk towards your home repayments.
Compound growth is your friend when you start early - but it becomes your harshest critic when you wait. Each month you delay is a missed opportunity for your investments to grow and compound. And it’s not just investment returns you're losing out on; tax inefficiencies and poor currency timing can further amplify the financial consequences of procrastination.
Think of it this way: that's £4,826.40 extra per year, every year, for the remaining 13 years. That could easily cover several family holidays, annual school fees, or even a decent chunk towards your home repayments.
Compound growth is your friend when you start early - but it becomes your harshest critic when you wait. Each month you delay is a missed opportunity for your investments to grow and compound. And it’s not just investment returns you're losing out on; tax inefficiencies and poor currency timing can further amplify the financial consequences of procrastination.
It’s similar to ignoring a leaky tap at home, skipping oil changes on your car, or letting small debts quietly pile up. Small issues become enormous headaches surprisingly fast, and fixing them later always costs more.
The good news? It’s never cheaper or easier to get started than right now. Setting up your financial plan today might feel inconvenient, but it will never be more affordable than this moment.
So, banish those costly five words from your vocabulary. Instead, embrace clarity, control, and significantly lower costs by taking action today. After all, your future self, and your wallet, will thank you.
The good news? It’s never cheaper or easier to get started than right now. Setting up your financial plan today might feel inconvenient, but it will never be more affordable than this moment.
So, banish those costly five words from your vocabulary. Instead, embrace clarity, control, and significantly lower costs by taking action today. After all, your future self, and your wallet, will thank you.