Completing a decade in life is cause for a big celebration. Reaching 40 seems to be the time people start reflecting on every aspect of life. One of those reflections should be your financial life and debt management strategies. Before you get to that age, you should be working towards certain financial goals. So what are some of the money moves to make before 40?
Money Moves to Make Before 40
Make Managing Debt a Priority
Consumer debt is a major strain on your financial life. Turning 40 is life’s reminder that you are on the other half of it all. Therefore, one of the first money moves to make before 40 must include a plan on how to reduce credit card debt. Depending on your debt situation, you need to understand what route to take. Can you manage your debts on your own or do you need to consider nonprofit credit counseling and debt management services? Now is the time to make a decision.
Focus More on Retirement
Retirement is not too far away now. If you still haven’t started saving, it’s now or never. Contribute to your retirement savings and 401(K) plans as much as you can. Re-look at your investment plans and see if you have the right portfolio.
Work on Building an Emergency Fund
A rainy day fund is crucial at this point in your life. Economies can collapse or you can lose your employment without notice. A serious health issue or some other unexpected event can take a toll on your finances. Therefore, you need to prepare yourself and make sure you continue to work towards getting out of debt and living a financially independent life.
These are the most basic money moves to make before 40. However, concentrate on every little detail to make sure you are on track with your life goals.
If you need debt advice, speak with a certified counselor at ACCC today. Call 800-769-3571.