Shopping Cart
Your Cart is Empty
Quantity:
Subtotal
Taxes
Shipping
Total
There was an error with PayPalClick here to try again
CelebrateThank you for your business!You should be receiving an order confirmation from Paypal shortly.Exit Shopping Cart

Becker & Associates

Blog

Blog

11 WORST Money mistakes to make in your 30's

Posted on July 15, 2015 at 3:50 PM


11 Worst Money Mistakes to Make in Your 30's!


1. Saving too much in the wrong places.

Investing is important, but don't put off saving for other big purchases coming along, especially if you're starting to have kids or looking to buy a house, that you want to have savings for.

Contribute money towards a retirement fund but don't forget to set aside money for other things, such as a house, car, vacation, or your children's education. This could mean setting up multiple savings accounts (which, right now, are not earning much in the way of interest) or the use of interest earning Life Insurance products....kind of like killing 2 birds with one stone by protecting against the loss of a spouse you can also save and earn interest that may be much higher than any bank is paying.

2. Prioritizing your kid's education over your own retirement.

While focusing too heavily on the 401(k) is a common mistake, not setting aside enough money for retirement also remains a big issue, especially when kids enter the picture.

Obviously, your child's education is important, but your number one priority in your 30s — even if you have a family — should be retirement.  Think long term; if you don't set aside enough money for your own retirement, your child may have to support you in the future, which could end up being more expensive in the long run than student loans would be, or worse, they will have not have the abililty to help or be interested in helping you and you'll be on your own.  Helping an aging parent/s can put a damper on your children's ability to save for their own retirement and their children's education, etc.

"Make sure you're on pace for a decent retirement before you start setting aside money for college. Once you're on pace for that, and you have extra funds that you can set aside for a goal like college, definitely do that. You can start a 529 savings plan or interest earning Life Insurance products when the time is right.

3. Neglecting insurance.

Insurance in general — health, life, home, and disability — often gets put on the back burner, for two main reasons: It's not something that's fun to talk about, so it often gets put off longer than it should be.  Many times, people don't get great insurance advice. I cannot stress enough the importance of purchasing Life Insurance when you are young!  Not only will your premiums be lower for the life of your plan, but you will most likely be in your best health in your 20's and 30's.

Until people have children, they just don't seem to consider the importance of Life Insurance, but the earlier you buy, the more you'll be able to afford due to age and your health status.  Even if you purchase an inexpensive "Term" plan that has a good conversion option, it's like getting your foot in the door and "saving your insurability".  When you choose to convert it will be based on your age at the time of conversion but the rating you were issued at to start with will remain the same regardless of any health changes, weight gain, etc. and will not change or effect your premium.

4. Not having long-term disability insurance.

One type of insurance that gets neglected more so than others is long-term disability insurance, but not having it can be extremely risky.  Disability insurance is meant to provide income should you be disabled and unable to work, which is more likely to happen that many of us may think. It's estimated by the Social Security Administration that over 25% of today's 20-year-olds will be disabled before retirement.

Many people will pick up group life insurance (which you lose if/when you lose that particular job), which is usually barely enough for final expenses and covers you only if you die, but they don't think about the disability — especially if it's not paid for by the company — and that's your bigger risk. You're not dead, but you can't work, so now you have to watch yourself go broke.

5. Not talking about money when you're planning to get married.

It's not a fun or easy conversation to have, but discussing your personal finances, spending patterns, and financial plan with your partner is crucial.  Many couples often have this conversation too late in the relationship (or not at all).  By the time they're finally sitting down to discuss it, there's already a big emotional investment in the relationship, which causes couples to overlook major financial differences.  Nothing can put stress on or even ruin a marriage like money problems!

The conversation must happen, and the earlier the better. First, you have to understand the financial background of your partner which allows you to understand how they make financial decisions. Next you can move into the conversation about whether or not you want to separate finances if you're both working; if you decide to combine them, you must agree on how to spend the joint money.

6. Spending too much money on the wedding.

 

Too many people are spending an absurd amount of money to have a huge wedding.  Today, the average wedding costs a whopping $26,000.

Host a smaller wedding, and use the extra money to put toward a down payment on a house. Pulling off a great wedding under $5,000 is possible if you plan on a budget.  It's a better idea to go small and save big!

It does come down to personal preference; if a big wedding is important to you, that's fine — just start saving for it early on.

7. Going all out on the first kid.

When the first kid comes along, what tends to happen is that new parents will overspend on top-of-the-line cribs, bottles, clothes, and nursery accessories. Spending issues that we tend to see in 20-somethings will level out until the kids come along, and then it explodes.

You want to raise your child in a comfortable environment, but check yourself before dropping a couple grand on that fancy stroller and draining your savings, as there are bound to be unexpected costs to arise.  Also, babies grow fast!  Why spend tons of money on things that you're only going to use for a few months or even a year or two?

The worst all parents are guilty of is buying every cute toy you see.  You reason that your child "needs" this to grow up with or learn on.  Many parents come home as many as 5 times per week with "something" for the baby.  Keeping a spreadsheet of your expenditures (even the small ones like the energy drink and the candy bar at the gas station stop)  will help you SEE what you are spending and where you can cut back. 

For the cost of a toy, most 30 year olds can buy a half million life insurance policy!  Cut out ALL impulse spending and see how much you can save or invest in your insurance needs!  Most babies are happier with some pots and pans or a can full of ping pong balls than the expensive toy anyway.


8. Overspending on cars.

Another area the experts see overspending is cars. "People get bored with cars quickly. They always want a new car and so they're always dealing with a car payment.  But it's a hugely depreciating asset. You don't want to be putting a lot of money into something that's going to be worth nothing after a certain number of years.

Egan says to space your cars 10 years apart. After buying a new one (Buying a used car with low mileage could be the best deal you can get, as soon as you drive a brand new car of the lot it's depreciated (check the Kelly Blue Book on this!), be sure to pay if off in five years max; that way, for the next five years, you can build up other savings. After 10 years, hit the dealerships again. If you took good care of your previous car, you may even be able to trade it in, which will help with the payment of your next one.

Another option is leasing a car.  The monthly payment is usually much less than if you "buy" the car because in a lease situation you're only "using" the car and there is no equity at all when leasing.  You'll have a monthly payment forever doing this, albeit a lower one, because each time you turn in your leased car for a new one, the new payments start right up.

9. Going to graduate school for the wrong reasons.

Graduate school comes with a hefty price tag, which is why you want to be positive you're going back to school for the right reasons, especially if you're paying for it out of your own pocket.

It should definitively aid your career track, but if you don't know what you're targeting to do after you get the MBA, that's not the right path. If getting your MBA will help you secure a position that you want for your long-term career, then it's a perfect solution.

10. Taking a job for the short-term money.

You're preparing to enter your peak earning years by your mid-30s, and it's important to prepare for this phase of your life.

You don't want to just be taking jobs for the money at this point.  You want to be taking the job that is going to prepare you to make a lot more money in your late 30s and early 40s.  Hone your skills and be ready to be the best at what you do.  This will ensure a higher chance of getting and keeping a job and of earning higher wages or salaries. 

Look at what you decide to do as a "career" and be the one that employers are looking for like never being late, looking neat and professional no matter what your position, don't take time off for non-emergency situations (this makes you unreliable!), Do the best work you can, by just putting in the minimal required effort for the task you're given says to your employer, you don't really care about your job.

11. Assuming you'll have more money in the future.

While optimism is a good quality to have, too much can be dangerous, especially when it comes to money.

People tend to assume they'll be making significantly more money in their 40s, he explains, which they use to justify overspending in the present moment. This is the number one mistake most young people make.

The rule of thumb should be to live below your means. If you can't afford to buy the new car, then buy certified pre-owned. Savings first should be your mentality: Save for retirement first, then prioritize other things you wish to save for or spend with whatever is left over. What people typically do is the opposite of that, thinking, I've got to buy this, this, and this, and whatever's left, I'll save.


Pay your future first, and make sure your present is secure.  Be in control of your future.  It's not as difficult as it seems if you make saving a LIFESTYLE!


 

 

 

Categories: Life,Death and Illness & Injuries Happen, Be Ready!, Life Insurance for YOUR Retirement! , Disability Income Products

Post a Comment

Oops!

Oops, you forgot something.

Oops!

The words you entered did not match the given text. Please try again.

34230 Comments

Reply cheap curry 8
1:36 PM on August 12, 2022 
I am also writing to make you be aware of what a impressive experience my friend's girl encountered browsing your web page. She even learned several things, which include what it's like to have an ideal giving heart to get other individuals without difficulty completely grasp some tortuous subject areas. You truly exceeded visitors' expectations. Thanks for displaying such insightful, dependable, explanatory and in addition unique thoughts on that topic to Lizeth.
cheap curry 8 http://www.curry8.org
Reply off white outlet
1:36 PM on August 12, 2022 
I am also writing to make you be aware of of the terrific discovery our girl went through visiting the blog. She realized a lot of things, which included what it is like to possess a wonderful coaching mindset to let other individuals effortlessly thoroughly grasp some specialized subject matter. You undoubtedly did more than people's expected results. Thank you for offering those valuable, safe, explanatory and in addition fun tips about the topic to Sandra.
off white outlet http://www.off--whiteoutlet.com
Reply air jordans
1:36 PM on August 12, 2022 
I have to express my affection for your kindness in support of folks who should have help on this important matter. Your real commitment to getting the message up and down had become amazingly powerful and has specifically enabled workers just like me to attain their goals. Your new important key points means so much a person like me and a whole lot more to my office colleagues. Warm regards; from everyone of us.
air jordans http://www.cheap-airjordans.us.com
Reply cheap paul george shoes
1:35 PM on August 12, 2022 
I as well as my pals have already been going through the best pointers found on your web page and immediately I got a terrible suspicion I had not thanked the blog owner for them. The ladies became stimulated to study all of them and have clearly been tapping into those things. Appreciation for being really kind and for going for these kinds of helpful ideas most people are really needing to understand about. My very own honest apologies for not expressing gratitude to you earlier.
cheap paul george shoes http://www.paulgeorgeshoes.us.com
Reply WrcjWaymn
1:35 PM on August 12, 2022 
viagra mexico online generic viagra australia paypal buy generic viagra online no prescription https://zenviagrok.com/
Reply curry shoes
1:35 PM on August 12, 2022 
I intended to send you that little bit of observation just to say thanks the moment again for these spectacular basics you've contributed in this article. This has been so surprisingly open-handed with you to give freely what exactly a few people might have advertised as an electronic book to earn some dough for themselves, especially considering that you could possibly have done it in case you decided. The pointers as well acted to be a fantastic way to comprehend most people have the identical zeal just as my own to understand more and more with reference to this issue. I'm sure there are many more pleasant occasions in the future for people who view your blog post.
curry shoes http://www.curry-shoes.net
Reply yeezy 350
1:34 PM on August 12, 2022 
Thank you for all of your work on this blog. Debby take interest in getting into research and it is obvious why. Most of us know all relating to the lively way you create great guidelines through the website and even welcome response from others on that theme and our favorite girl is starting to learn a lot of things. Enjoy the remaining portion of the year. You're conducting a fabulous job.
yeezy 350 http://www.yeezyboost350.org
Reply cheap kyrie 5
1:34 PM on August 12, 2022 
My spouse and i have been absolutely happy when Emmanuel could conclude his inquiry while using the precious recommendations he got out of the weblog. It's not at all simplistic just to possibly be giving out solutions which often some other people have been selling. We consider we have you to be grateful to for that. Those explanations you made, the easy blog menu, the friendships your site aid to foster - it's many impressive, and it's really aiding our son in addition to us consider that that matter is interesting, and that is truly serious. Thanks for the whole lot!
cheap kyrie 5 http://www.kyrie5spongebob.us
Reply cheap kd 12
1:32 PM on August 12, 2022 
I in addition to my buddies were actually analyzing the best guidelines located on your web site and immediately I had a terrible suspicion I never expressed respect to the website owner for those strategies. My people became totally thrilled to see them and already have clearly been tapping into those things. I appreciate you for simply being well considerate and also for having this sort of brilliant ideas millions of individuals are really eager to be informed on. My very own honest regret for not expressing gratitude to earlier.
cheap kd 12 http://www.kd12.us.com
Reply cheap kd shoes
11:37 AM on August 12, 2022 
I want to show my gratitude for your generosity for persons that actually need guidance on the idea. Your personal dedication to passing the solution all through was exceptionally useful and has in every case encouraged regular people just like me to reach their objectives. Your own useful guidelines means a great deal a person like me and additionally to my fellow workers. Thank you; from everyone of us.
cheap kd shoes http://www.kevindurantshoes.us.com
Reply cheap kyrie shoes
11:30 AM on August 12, 2022 
I together with my friends have been following the nice points from the website and unexpectedly got an awful feeling I never thanked the web site owner for those strategies. Most of the people are already for this reason stimulated to study them and have in effect absolutely been loving those things. Many thanks for genuinely so helpful as well as for choosing this sort of ideal useful guides most people are really eager to be informed on. Our honest apologies for not expressing gratitude to earlier.
cheap kyrie shoes http://www.kyrieirvingshoes.us.com
Reply supreme outlet
5:59 AM on August 12, 2022 
I precisely had to thank you very much again. I am not sure what I could possibly have handled without the creative ideas provided by you about such a industry. It actually was the frightful setting for me personally, nevertheless being able to view the very specialized fashion you treated the issue made me to jump for happiness. I'm grateful for your information and even have high hopes you know what a powerful job your are providing training others through a web site. I'm certain you have never got to know any of us.
supreme outlet http://www.supremesoutlet.us.com
Reply supreme hoodie
3:45 AM on August 12, 2022 
I would like to show appreciation to the writer for rescuing me from such a problem. After searching through the internet and coming across principles that were not productive, I thought my entire life was well over. Existing devoid of the approaches to the difficulties you have resolved by way of the guideline is a critical case, and ones that could have in a wrong way damaged my career if I hadn't noticed your web blog. Your own understanding and kindness in touching the whole thing was helpful. I am not sure what I would've done if I had not encountered such a stuff like this. I can also now look ahead to my future. Thanks for your time very much for this reliable and results-oriented guide. I will not think twice to recommend the blog to any individual who wants and needs guidance about this topic.
supreme hoodie http://www.supreme-clothings.us.com
Reply supreme hoodie
3:44 AM on August 12, 2022 
My husband and i have been so fortunate when Emmanuel could deal with his research from your ideas he was given through your blog. It is now and again perplexing just to find yourself offering secrets which men and women could have been making money from. We understand we've got you to give thanks to because of that. The specific illustrations you've made, the straightforward blog menu, the friendships you can make it easier to foster - it is many exceptional, and it's really assisting our son and the family feel that the issue is awesome, which is certainly rather mandatory. Thank you for the whole thing!
supreme hoodie http://www.supremes-clothing.com
Reply bape clothing
3:44 AM on August 12, 2022 
I and also my friends were found to be viewing the excellent items on the website then unexpectedly came up with a horrible suspicion I never thanked you for those techniques. Most of the men are actually happy to read them and have in effect absolutely been taking advantage of those things. We appreciate you getting quite kind and then for utilizing certain impressive subjects most people are really needing to be aware of. Our own sincere regret for not expressing gratitude to sooner.
bape clothing http://www.bape-clothing.us
Reply supreme new york
3:44 AM on August 12, 2022 
I simply desired to say thanks again. I am not sure what I would have used without those tips and hints provided by you directly on my industry. This has been a very fearsome concern in my circumstances, however , taking note of a specialized form you handled the issue took me to weep with gladness. I am thankful for the support and then believe you realize what a powerful job you are getting into teaching others through your blog. I am sure you've never got to know any of us.
supreme new york http://www.supremenewyork.us.com
Reply cheap kyrie shoes
3:44 AM on August 12, 2022 
I simply had to appreciate you once more. I do not know what I would have undertaken without the entire solutions provided by you directly on my concern. This has been an absolute frightening case in my circumstances, but finding out the very professional form you managed it forced me to jump for fulfillment. Extremely happy for your help and thus have high hopes you recognize what a great job you have been putting in teaching the others through your websites. Probably you haven't come across any of us.
cheap kyrie shoes http://www.kyrieirvingshoes.us.com
Reply cheap curry 6
3:43 AM on August 12, 2022 
My wife and i felt absolutely ecstatic when Albert managed to carry out his basic research out of the ideas he acquired using your blog. It is now and again perplexing to simply happen to be giving away secrets which usually other folks could have been trying to sell. Therefore we realize we now have the website owner to appreciate for this. Those illustrations you made, the straightforward site navigation, the relationships you help foster - it's got most incredible, and it's really leading our son and our family know that this content is amusing, which is very fundamental. Thanks for everything!
cheap curry 6 http://www.curry-6.us
Reply supreme clothing
3:43 AM on August 12, 2022 
My wife and i ended up being quite thrilled when Albert managed to round up his preliminary research out of the precious recommendations he received from your own web page. It's not at all simplistic just to continually be giving out concepts which usually some people have been trying to sell. Therefore we grasp we have the blog owner to be grateful to for this. All of the illustrations you made, the straightforward website navigation, the relationships your site help instill - it is most wonderful, and it is letting our son and us do think this subject is brilliant, which is especially essential. Many thanks for all the pieces!
supreme clothing http://www.supremes.us.org
Reply cheap jordans
3:42 AM on August 12, 2022 
I just wanted to type a comment to be able to say thanks to you for some of the amazing advice you are posting at this website. My extended internet research has finally been recognized with reliable suggestions to write about with my contacts. I would mention that many of us visitors are quite blessed to exist in a fine network with very many special people with very beneficial tips and hints. I feel very lucky to have encountered your entire weblog and look forward to some more entertaining minutes reading here. Thank you once more for a lot of things.
cheap jordans http://www.jordansforcheap.us.com