Seven Things to Know About Money Before You Hit 30!
If you’re about to enter the third decade of your life, i.e., hitting the 30s, you may be thinking about money a lot. Earlier it was about graduating, securing a job, and finding a purpose. But now, as you’re turning 30, you know money management is vital.
You may be looking into cryptocurrency or considering real estate investment. You may already have bought your first house or first new car. Chances are, you’re doing as much as possible to accumulate wealth while you can.
But there are things you may have put on hold for all thirty years of your life. Thinking that you have ample time to save, plan retirement, and get rid of debt, you have not paid attention to some matters needing serious attention.
The good news is, it’s still not too late. And before you hit your 30s, here are things you must know and practice!
Start Saving Right Now
If you haven’t already, now is the time to start saving 15 percent of your gross annual income. To get started, learn about the 50, 30, and 20 rule for your salary.
Get Rid of Debt
Student debt, credit card payments, or any other debts you thought you’d pay off later will be a sore spot. The sooner you get rid of your debt, the better will be your credit score. The better the credit score, the lower interest you’ll have to bear on mortgage, car, and other installments.
Stick to Budget Plans
You may have been going with the flow in your 20s. But now, with the 30s approaching, making budgets and sticking to them is essential for you to build generational wealth. You don’t want to live paycheck to paycheck, right?
Embrace Side Hustle
Side hustle is a great way to expand your income. Learn about low-cost startups to kick start your entrepreneurial journey and add some extra cash to your bank account.
Always Have Contingency Plans
Less than 50 percent of Americans have savings for emergencies like hospital visits or car repairs. Make sure you’re stashing away some amount of your income for your rainy days. Experts say three to six months of living expenses should always be available for emergencies.
Diversify Your Wealth
Learn about investment management, and don’t put all your eggs in one basket. Consider investing in crypto, buying stocks, and building a portfolio so that you have simultaneous streams of steady income.
Don’t Forget Retirement Planning
And while you’re working on your today, don’t forget tomorrow. Start contributing maximum to your 401k and if that doesn’t apply to you, consider retirement planning. Save to buy a house, start a business, or support your living once you have retired. This all starts today!