Are you turning 30? It’s time to make some important financial decisions! The decisions you take in your 20s-30s impact your financial security later on in your life. You should follow a financial plan, so you can build a strong financial base to secure your future. Put in all your efforts to achieve your major financial goals to lead a comfortable life after retirement.
Here are 5 financial goals you should achieve by your 30s:
- Have Six Months of Savings in Your Emergency Fund
You might have $1000 in your emergency fund. But make a goal of saving at least six months of income in your emergency fund, so you can tackle any financial emergencies easily.
- Pay Off All Your Debt
Keep credit card debt at bay and pay off all your non-mortgage debt. Stick to your debt repayment plans to eliminate your loans. Cut down your expenses, so you can contribute more to pay down your debt.
- Increase Your Retirement Savings
Are you making regular contributions to your retirement account? Hopefully, you are not among those who have not saved anything for their retirement. You should be saving at least 15% of your income in your retirement account by your 30s.
- Take Term Life Insurance
It’s important to build a strong financial foundation by your 30s, so your family can live comfortably and can have financial security even when you are not around. You can take term life insurance to ensure your family is well protected in case of any emergency.
- Diversify Your Investments
It’s the perfect time to diversify your investments, so you can spread your risk and reduce volatility. Consider investing in stocks of different companies- various sizes, categories, and countries. Apart from this, you can check other investment options like real estate.
Making the right financial decisions at the right time will set you on the path to financial security!