What should you do with money before 30
The time goes too quickly nowadays not to plan your financial activities as well as other essential parts of your life faster. There are numerous professionals, which provide different pieces of advice on how to successfully manage your personal finance as well as maintain your overall plans for life and career to be successful. We are going to share some of their thoughts here.
Think about the retirement
First of all, you should remember that you should reflect on the retirement as soon as it is possible. When in 20th, you are always thinking about the freedom and personal realization. But when in 30th, it is time to maintain the overall stability as well as to provide the best options for your money. You should think about the possible lifestyle you want to maintain during your retirement period and start thinking about the amounts of money you are ready to save. There are several rules on the general savings, which are 50 / 30 / 20:
- 50% is about your monthly expenses. It is the rent, phone & Internet expenses; clothes are other regular expenses you have every month)
- 30% is about your lifestyle. Whether you are visiting the gym or any other place to relax or travel to some countries, you should always think about the particular sum of savings to spend on your lifestyle and dreams.
- 20% is about your savings. You should care about not only the retirement but possible situations in the future you will need the money.
Increase your emergency budget
As we are living in the changing world, we cannot predict the future and should always be ready for different situations. This particular fact is also about your savings as well as the ability of use it during the emerging situations. For instance, when you have problems with your health, you should always be ready to provide instant help to overcome these challenges.
Track your monthly budget
You will never know how much money do you spend or how much do you save if you will not be able to analyze your overall budget. Try to create your unique format of personal budget planning and learn how to manage your profits, expenses as well as revenue for the particular month, quarter and year as well. It will help you to understand your overall financial situation.