There’s no question that hitting your 30’s is a serious landmark for everyone. Even though some of us may have embarked on a new career, bought a house, or even started a family, this decade of our life has a major financial impact for the years to come. For the majority of folks, our financial commitments have probably grown and accommodating bills and responsibilities with saving money for the future is more challenging than ever before.
A lot of us have dusted off the mistakes of our 20’s and learned a thing or two, however this decade of our lives is the time when we really have to mature and genuinely consider our financial circumstances. We need to prioritise commitments, like our kid’s education and retirement account, and take the most suitable steps to obtain a bright financial future for you and your family. Life can surely get more complicated in your 30’s, however by prioritising a couple of vital aspects of your finances, your money doesn’t have to be nearly as complicated.
By making slight lifestyle changes, you can substantially enhance your financial circumstance now and in the decades ahead, so here are some personal financial goals that everybody in their 30’s should consider.
Grow your emergency fund
Ideally you established an emergency fund in 20’s, saving enough money for several months’ worth of costs. This is an excellent goal to reach in your 20’s, but earning more money and having increased financial responsibilities in your 30’s signifies that your emergency fund becomes considerably more important. Financial advisors highly recommend that people in their 30’s should have at least six to 12 months of living expenses saved in their emergency fund. Keep in mind, moving back in with your parents is much more difficult in your 30’s, particularly if you’re a parent yourself.
Examine your insurance policies
Often, people’s circumstances change considerably in their 30’s. You may have bought your first house, a new vehicle, or have started a family, so it’s critical that you evaluate your insurance policies so they’re up-to-date. It’s also a wise idea to have a look at income protection and life insurance in conjunction with your existing insurance policies. Even if your personal situation hasn’t changed in your 30’s, you should still assess your insurance plans several times a year to ensure you’re receiving the best rates and premiums.
Build your retirement savings.
Now is the time where you should start developing your retirement contributions, specifically if your employer features a salary sacrifice plan. Making voluntary super contributions is an excellent way to grow your nest egg, so if you receive a pay rise, look into using the extra income towards your retirement savings. Alongside this, if you begin a new job or career, always see to it that use the same super account which will significantly decrease fees and maximise your retirement growth.
Live well below your means.
When you find yourself having more financial obligations, you should revise your budget and make sure you’re living well below your means. The trick to boosting your wealth is to increase the gap between what you earn and what you spend. You’ll quite likely have to reduce some expenses like eating out or cable TV subscriptions, but the more money you save, the faster you’ll accomplish your financial objectives. It’s also advisable to look at percentage of income saved in lieu of dollar amounts, as this makes it a lot easier to determine which expenses can be reduced to ensure you’re always saving more than you earn.
Seek financial help sooner rather than later.
If you’re finding it difficult to make mortgage repayments on time or you’re falling deeper into debt, seek financial assistance immediately. Commonly, the sooner you take action, the more choices will be available to you. Many people suffer financially for several years prior to seeking help, and not only are they in a far worse position, but it is also completely unnecessary! There are many possibilities available for those in financial hardship, so if you require any financial help, reach out to Bankruptcy Experts Alice Springs on 1300 795 575, or visit our website for more information: www.bankruptcyexpertsalicesprings.com.au