| Introduction | | | | means that your may be unable to retire |
| This article seeks to discuss some of | | | | early in the future due to ongoing |
| the specific financial planning that | | | | mortgage repayments into your 60's or |
| needs to be considered by individuals in | | | | even 70's. In addition insurance |
| their thirties. The age range between | | | | payments that you take out for the |
| 30-40 is significant time in relation to | | | | duration of your mortgage term to |
| financial planning given that it is | | | | protect against critical illness or |
| during this time that many financial | | | | disability and life insurance or income |
| decisions will directly effect | | | | protection will be cheaper than they |
| retirement plans and long term financial | | | | would be at 40 because of your age. |
| matters, all of which will effect future | | | | 3. Life Insurance |
| prosperity. | | | | Life insurance gets more expensive the |
| 1. Pension Planning | | | | older you get because the risk of death |
| If you haven't yet had opportunity to | | | | increases with age. If you have not yet |
| start saving towards a pension this is a | | | | thought about life insurance consider |
| critical time because failure to do so | | | | taking it out now as it will never be |
| before you reach 40 will almost | | | | cheaper. Whilst no one likes to think |
| definitely mean that you will have | | | | about death, it is important to protect |
| insufficient time before retirement to | | | | loved ones from an excessive financial |
| build up a decent level of pension | | | | burden should you die early. Taking out |
| contributions to ensure a comfortable | | | | life insurance whilst in your 30's can |
| lifestyle. | | | | save you anywhere between $300 and $600 |
| Where possible join a corporate or | | | | dollars a year on an average policy. |
| government related pension plan as these | | | | 4. Saving for your children's education |
| employers often contribute additional | | | | If you have children as you reach your |
| amounts to whatever you can afford to | | | | 30's, planning for their future |
| save. So for instance if you put 4% of | | | | educational needs is now critical if you |
| your wages/salary a month into a pension | | | | intend to give then a good start in life |
| plan they will likely match it. | | | | and not place excessive financial |
| These schemes are often referred to as | | | | burdens on yourself another 5-10 years |
| final salary schemes, as the pension | | | | further along. College and university |
| provider promises to pay you a pension | | | | education can be very expensive. Costing |
| based upon your final salary before | | | | between $30-40,000 per child. Whilst |
| leaving the organisation and the level | | | | this figure is spread over a period of |
| of financial contributions made to the | | | | years it is important that you start |
| plan. So the sooner you can start saving | | | | thinking about how you will meet this |
| in your 30's the more pension | | | | cost now. |
| contributions you will have built up by | | | | Also think carefully about what level of |
| retirement and the greater your final | | | | risk you are willing to expose yourself |
| pension pay out. | | | | to as you save or invest for your |
| 2. Property Investment | | | | child's College/University fund. Do you |
| If you have not yet been able to | | | | really want to invest in high risk |
| purchase your own property, your 30's | | | | shares where the potential to lose your |
| are a good time to get into the market. | | | | original investment is significant. Try |
| The benefit those in their thirties have | | | | instead investing in government bonds or |
| over those looking to buy in their 20's, | | | | placing money on deposit in a high |
| is that you may already have 10 years | | | | interest savings account. |
| worth of savings from employment which | | | | Summary |
| can be used to place a larger deposit on | | | | This article has attempted to explore |
| the perfect property. This often reduces | | | | some of the financial planning |
| the size of the monthly repayment levels | | | | considerations for those in their 30's |
| and the total amount of interest you | | | | and the commitment this requires. We |
| will have to pay in the long term. | | | | have examined the importance of good |
| Whilst the decision to own a property is | | | | retirement planning through sound |
| down to personal choice it is advisable, | | | | pension and property investment along |
| as property usually gains in value and | | | | with the need to make contingency plans |
| is therefore a long term investment In | | | | through life insurance in case of death. |
| the future you may be able to sell your | | | | Finally we have explored the importance |
| property and downsize leaving you with a | | | | of thinking now about financing college |
| healthy profit with which to improve | | | | or university education to dependent |
| your retirement. | | | | children. |
| Delaying a decision until you reach 40 | | | | |