Financial Goals To Hit Before The Big Three-Oh!

Design Credits: Rakesh Mohan

Turning 30 is an important milestone in everyone’s lives. One way to be ready to meet this milestone is to ensure that you face no trouble financially. There are certain financial goals that you need to pursue much before you blow out the candles on that cake. Given below are some financial goals that every individual should accomplish before they turn 30.

1. Be financially independent- Yes, your parents have always been more than willing to help you out whenever you’ve needed money. But letting your parents help you financially might be more of a hindrance than help when it comes to being a self-sufficient individual. It is important to establish your independence financially before you hit 30. This means no more ‘borrowing’ money from your parents.

2. Student loan debt free- Having a student loan in your early twenties isn’t unusual but it really is a serious problem if you are still paying off your student loan when you are closer to thirty. Ensure that you pay off your student debts as soon as you can. This will not only reduce your debt to income ratio but it will also take a huge burden off your shoulders.

3. Have proper insurance- Staying protected is very important. We are talking about life and health insurance. Keep in mind that you actually have the advantage of age on your side. The younger you are, the lower your policy premium amounts will be. This means that you’ll be able to protect your dependants and yourself without spending a huge amount.

Additional Reading: Term Life Or Whole Life Insurance?

4. Have a good credit report- Sure, you might have missed a few payments at one point or another, but it is important that you don’t continue missing payments or defaulting on credit cards or loans. It will have a bad effect on your credit report which in turn will affect your CIBIL score. So, do what you need to to get your CIBIL score on track before you reach 30. If you don’t it’s going to be pretty hard to be eligible for credit cards and loans in the future.

5. Save on taxes- Invest in a few tax saving schemes before you turn 30. These investments, if made early, will end up becoming a nest egg which can be later used for a big investment like making the down payment on a house or a plot of land. So, save what you can whenever you can. Trust us, it will pay off in the long run.

6. A solid retirement plan- No, 30 is not old. But that doesn’t mean you shouldn’t think ahead. Make sure that you’ve already started putting your money in a suitable retirement plan before you hit 30. Starting early will help you have a smooth post retirement life.

Additional Reading: Good Investment Options For Retirement