I just read this article today and I found it very simple to understand and digest. So to those who want to do something for their financial situation, try read the article. This is mainly about how people in their 30s can improve their finances and how to start planning.
Let me share the key points of the article:
1. Get rid of existing debts, such as student loans, credit lines or credit card debts.
2. Start diversifying, maybe do some retirement planning or investing.
3. Find a financial adviser to help you plan and set up your portfolio.
4. Have at least 6 months of income as emergency funds.
5. Get an insurance, whether it's life, disability, mortgage, accident, critical illness or health. It's because when you just started off building your portfolio, any unexpected or unfortunate event can derail your plans.
I truly agree with all the points. We have to start somewhere and do something. We can't just let our money sit in the bank and earn tiny bit of interest while that value of money is also eroded by sky high inflation.
We need to diversify and try to invest somewhere so that we potentially can earn better return and beat inflation. At the same time, it is a must to buy insurance to protect the money that you are building up.
I'm quite amazed by my experienced that I saw a lot of people that do not have insurance while they try to save money. To me, that is foolishness. Why do you try to save so hard but risking it to be wipe out by just 1 single unfortunate event (e.g. You fall sick and have to be hospitalized) ?
I believe if you follow what the article said, you will have a good start.
Cheers! Have a great day.
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