“I wish I was a child again, so I don’t need to worry about paying bills.” “Adulting is a scam”

These are everyday phrases of many people going through their as adulting stage of life, where they are being required to be more responsible enough to actually care about where their money goes.

Whether we like it or not, money is inseparably connected to our life. In financial perspectives, money should not be the root of all evil. Money is what you make to have the finer things in life, not necessarily to make you rich but something you need to have security so you and your family can have a comfortable life, plus some extra perks.

Going through different milestones in life also calls for different aspirations. What you dream as a child is not the same when you reach college. What you may have aspired in your twenties has now changed in your forties.

Many of us were not really educated in school when it comes to handling money. Majority of graduates who go into the workforce barely have any idea regarding the habits they should develop the moment they receive their first pay. Only a few are aware of how important it is to set their financial goals.

You’ve come to the right page if you want to equip yourself with basic knowledge about the right attitudes toward your finances according to your life stage.

Let’s get started.

The first step toward better financial wellness when you are in your early career years is making a budget and tracking your expenses. If you are still paying your students loans, prioritize paying off your debt. Remember that you need to build a good credit history while in this stage of life. When you have a favourable financial standing according to bank standards, it becomes easier to purchase an asset such as a car or a dream home on credit once you plan on settling down maybe five to ten years from now.

You should also start planning your retirement and take advantage of the retirement packages that your employer might be offering. Also, even when you’re still in your 20’s and single, a disability insurance policy is crucial. This is to protect your income in case of a sudden event that prohibits you from working and earning. If you get seriously sick for example, the disability insurance can cover your expenses while recuperating and you don’t have to incur debt because of medical expenses.

In summary, these are the things you must accomplish during your early career years:

1. Build your savings and establish a good credit history.
2. Avoid increasing your consumer and high interest rate debts any further and pay the outstanding ones as soon as possible.
3. Live within your means.
4. Start thinking about your retirement and set up your financial accounts.
5. Get disability insurance      

   You may also welcome the idea of scouting for a reliable financial planner. As you advance in your career and possibly consider starting your own family at the later part of this stage in your life, a fee-based expert in wealth management with an eye on your goals can help you out in ensuring that you are on the right track in terms of your finances.

Are you about to settle down or have already built a family? Settling down is more than just getting married and having your dream house. It comes with greater responsibilities and of course greater expectations. It is not a matter of your personal dreams anymore because your aspirations have to match your spouse’s, especially when it comes to building a home and having kids.

Of course, what first goes to mind is buying a house. Buying such an asset is important, especially if the family is growing. However, buying a house also means securing your budget for maintenance, amortization, utilities, and other expenses. Therefore, protecting your income becomes more important than when you were single. This is to keep your family protected in the event of some of life’s risks, such as an untimely death and temporary or permanent disability.

In this life stage, your goals should include:

1. Buying life insurance.
2. Purchasing Medical Aid.
3. Saving for your child’s college education.
4. Starting your own business or building your career further.
5. Growing your savings.

It is ideal for you to have already accomplished certain things in your life by the time you are in your pre-retirement years. You don’t want to extend your time working as an employee after retirement only so you can keep up with the remaining obligations that you failed to complete before you even retired. Here’s a simple list below:

1. First off, you should already be on your way to getting done with paying off your mortgage and other debts.
2. You must be confident that you have enough money to send your kids to college without having to apply for additional loans. This may only strain you in your retirement years if you will still have to pay student loans.
3. You must also begin reviewing your options of reducing your taxes at retirement. Most income sources in retirement are taxed. You need to minimize your taxes so you can maximize your assets and ensure that you have a good plan that will sustain you for 20 or so years after retirement.
4. This is also a good time for you to start a business if you haven’t done so prior. Even when you have already set aside some cash to last you for 20 years, take into account inflation, and the idea of still doing something productive after retirement. This way you are able to continue growing your savings through your business or potential services that you can provide.
5. This is also the stage when planning for retirement becomes more serious. Look into your portfolio and see whether you are on the right track. If there are discrepancies between your plan and situation, you can immediately look for solutions

The first step toward better financial wellness when you are in your early career years is making a budget and tracking your expenses. If you are still paying your students loans, prioritize paying off your debt. Remember that you need to build a good credit history while in this stage of life. When you have a favourable financial standing according to bank standards, it becomes easier to purchase an asset such as a car or a dream home on credit once you plan on settling down maybe five to ten years from now.

You should also start planning your retirement and take advantage of the retirement packages that your employer might be offering. Also, even when you’re still in your 20’s and single, a disability insurance policy is crucial. This is to protect your income in case of a sudden event that prohibits you from working and earning. If you get seriously sick for example, the disability insurance can cover your expenses while recuperating and you don’t have to incur debt because of medical expenses.

In summary, these are the things you must accomplish during your early career years:

1. Build your savings and establish a good credit history.
2. Avoid increasing your consumer and high interest rate debts any further and pay the outstanding ones as soon as possible.
3. Live within your means.
4. Start thinking about your retirement and set up your financial accounts.
5. Get disability insurance.

You may also welcome the idea of scouting for a reliable financial planner. As you advance in your career and possibly consider starting your own family at the later part of this stage in your life, a fee-based expert in wealth management with an eye on your goals can help you out in ensuring that you are on the right track in terms of your finances.