Insurance Services of Washington Blog
Retirement and financial security is the last thing on the mind of a person under 30. If you're one of them, you might be overwhelmed with life at this point. You must be in love with your job, and you might be starting a family. You might be planning on purchasing a car or buying your first house. Saving for the future must not be on your mind yet. However, here are some steps to take to ensure that you can secure yourself financially before you turn 30.
Take Your Financial Goals Seriously
A lot of people say you shouldn't take life seriously. But that's going to cost you. While you're young, develop your skills, experience, and knowledge. You can use all these to make as much money as you can for the future. Have a financial goal like making $500,000 by the age of 30 or even more. Develop your skills and use your experience and knowledge to give you a better income. Turn a part of that income into investments. The future value of your investments will always outgrow your salary.
Be an Aggressive Planner
According to research, those who have future financial plans usually end up with greater wealth than those who do not. Successful people always have goals and always try to achieve these goals. For example, if you have a goal to pay off your student loans within three years, then chances are you’re going to pay them off. However, plans should have details and milestones. They’re not only vague statements about what you’re going to do.
Set Both Short- and Long-Term Goals
Short-term goals are needed before you can accomplish long-term ones. Short-term goals are important because they serve as important milestones for long-term goals. Make precise, measurable, and scheduled short-term goals that can achieve your long-term financial goals. For example, make a short-term goal for achieving $10,000 even if your goal at 38 is $500,000. For your long-term goals, you need a retirement plan, so the best way to accomplish this is to pay yourself first 10% or more from every amount of money you receive.
Modest Cost of Lifestyle
Most young people have excess cash flow during their first two years of work. However, if you want to be financially secure by 30, make sure you live a frugal life. You have to control your spending habits early on in life if you want to live in luxury later on in life. Reduce debt and add more to savings and investments. Recognize that your true assets are those that generate money for you. Increase your financial literacy so that you'll know how to control your cash flow better.
Some Final Words
If you want to be seriously rich and financially secure later on in life, you need to get serious about handling your finances early on in life. Refrain from borrowing money, and if you do, use it for investment and not to improve your lifestyle. Whatever happens, give yourself peace of mind through a life insurance policy.
At Insurance Services of Washington Inc., we aim to provide comprehensive insurance policies that make your life easier. We want to help you get the insurance that fits your needs. You can get more information about our products and services by calling our agency at (425) 868-1123. Get your free quote today by CLICKING HERE.