Your 30s are a time in your life when you will be settling into your career and begin achieving those goals that seemed so far away like purchasing your first house. But it can also be a time when you see many new expenses – like the fees for your children’s school or increased premiums on insurance. In that sense, owing to this slew of changes, your 30s should also be characterized as a period in which you review and reorganize your financial plan wherever needed. Here are a few things to consider that can help you plan well:

• Amplify your savings:

During your 30s, the increased stability in your work life also comes with an incremented salary. However, the increased pay should not encourage you to splurge. Consider increasing the percentage of your income you demarcate for savings. Definitely keep aside a contingency of liquid funds to spend in the case of an emergency. Situations like coronavirus pandemic are uncertainties which can happen and create instability in your work life. Hence, it is important that your savings and other goals do not get affected badly, in the case of such events. 

• Try to clear all outstanding debts:

Suppose you have an educational loan, a personal loan or some other form of debt, this is when you want to clear it. In addition to being more frugal, you should also try to spend less on credit. Apart from helping you reach your long term goals, this will help in the short run as well, especially when it comes to buying a house. By closing outstanding loans and steering clear of debt, you can improve your credit score. This will help you secure a home loan at a lower rate of interest. 

• Review your investments and insurance

By this time you should already have general insurance cover apart from company providedIt will help you in case of job loss.. Apart from this, you should also consider investing in a life insurance policy(term plan); especially if you have a family dependent on your income. In this time, you should also see if your risk profile may have changed, and reorganise your investments and other assets accordingly. As this can be a complex task, it is always good to work with a professional who can help ease your burden. Consulting a financial advisor will also ensure that you don’t make silly errors that could have been avoided – such as purchasing investment cum insurance product. 

• Don’t put all your eggs in one basket:

Risk mitigation is an extremely big part of financial planning in your late 30s. You should create a sound balance between investments in equity and other assets like bonds, mutual funds, annuities, property, and so on. If you are thinking of investing in gold  – particularly to prepare for periods when the value of stocks and other similar assets begin to decline, then evaluate other options as well like Gold ETF and Sovereign Gold Bonds.

• Start thinking early about retirement:

Saving for Retirement is the first thing that should come to your mind when you start your career. Apart from provident fund contributions your employer handles, you can open PPF and NPS. Starting a systematic monthly investment plan for your retirement and other long term goals will help you amass a substantial corpus by the time you retire and help you develop the discipline you need to successfully manage your finances in the process. 

Your 30s begin paving the way for the rest of your career which eventually ends in retirement. So you cannot afford to experience any lapses in judgement. In addition to these general considerations, there may be other factors that will benefit you particularly. Consulting a certified and experienced financial planner or wealth management firm will help you assess your plan from a more objective perspective; and ensure that you check all the required boxes.