There’s no doubt that hitting your 30’s is a big milestone for everyone. Even though some of us may have started a family, bought a house, or even started a new career, this decade of our life has a substantial financial impact for the years to come. For many individuals, our financial obligations have perhaps grown and juggling bills and responsibilities with saving money for the future is more difficult 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 need to grow and seriously look at our financial position. We have to prioritise commitments, like our children’s education and retirement balance, and take the most suitable steps to achieve a bright financial future for you and your loved ones. Life can undoubtedly get more complicated in your 30’s, however by targeting a number of crucial aspects of your finances, your money doesn’t have to be nearly as complicated.
By making slight lifestyle alterations, you can drastically strengthen your financial situation now and in the years ahead, so here are some personal financial goals that everybody in their 30’s should think about.
Broaden your emergency fund
Ideally you started an emergency fund in 20’s, saving enough money for several months’ worth of expenses. This is a wonderful goal to achieve in your 20’s, but earning more money and having increased financial responsibilities in your 30’s means that your emergency fund becomes considerably more important. Financial experts strongly recommend that individuals in their 30’s should have at least 6 to 12 months of living expenses saved in their emergency fund. Always remember, moving back in with your parents is much more complicated in your 30’s, especially if you’re a parent yourself.
Review your insurance coverage
Normally, people’s circumstances change dramatically in their 30’s. You may have bought your first home, a new vehicle, or have started a family, so it’s critical that you review your insurance plans so they’re up-to-date. It’s also a smart idea to take a look at income protection and life insurance coupled with your current insurance policies. Even if your personal situation hasn’t changed in your 30’s, you should nevertheless review your insurance policies several times a year to be sure you’re receiving the best rates and premiums.
Develop your retirement savings.
Now is the time where you should begin developing your retirement contributions, especially if your workplace features a salary sacrifice plan. Making voluntary super contributions is a superb way to grow your nest egg, so if you receive a pay rise, contemplate using the extra income towards your retirement savings. In addition to this, if you begin a new career or job, always ensure that use the same super account which will markedly reduce fees and maximise your retirement growth.
Live well below your means.
When you find yourself having more financial obligations, you should review your budget and make sure you’re living well below your means. The trick to enhancing your wealth is to increase the gap between what you earn and what you spend. You’ll quite likely have to cut back on some expenses like eating out or cable television subscriptions, but the more money you save, the quicker you’ll achieve your financial objectives. It’s also recommended to look at percentage of income saved as opposed to dollar amounts, as this makes it much easier to determine which expenses can be lowered to ensure you’re always saving more than you earn.
Seek financial help sooner rather than later.
If you’re finding it tough to make mortgage repayments on time or you’re plunging deeper into debt, seek financial assistance as soon as possible. Often, the sooner you take action, the more possibilities will be available to you. Lots of 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 turmoil, so if you require any financial aid, call Bankruptcy Experts Emerald on 1300 795 575, or visit our website for further information: www.bankruptcyexpertsemerald.com.au