Financial Planning in Your 30s

How you save, invest and spend your hard-earned money is naturally going to change as you move through your life. In your 30s, there’s less room for big financial missteps, but with a few simple wealth management strategies and by making consistent smart choices, you’ll feel better knowing you’re on your way to securing your financial future.

Get savvy with retirement

You may be starting to feel a little bit older, but you still have a very long time to take advantage of compounding interest. At this point you should be saving 15-20% of your income for retirement. Depending on your current and projected income, you might want to couple the future tax benefits of a Roth IRA with the retirement account you may have through work. While you can’t deduct your contributions, all future withdrawals will be tax free, you are never forced to take distributions like traditional IRAs, and if you choose to, a Roth will pass to your heirs’ tax free as well. This is a great option for those who are excellent savers and wish to save more for retirement than their 401k allows, or believe their tax rate at retirement will be higher than their current rate. However, be mindful of the limitations: Individuals making more than $122,000 or married couples making more than $193,000 cannot contribute to a Roth in 2019. If you are eligible, however, you can contribute up to $6,000 per individual.

Ramp up your savings

  • Emergency Fund: In a recent blog, investing advice for millennials, we talked about starting your own emergency fund. By the time you hit your 30s, it’s recommended that you have at least $17,000-$30,000 set aside for emergencies, whether its job loss, health issues or anything that takes away your income-earning ability.
  • Education for Your Kids: Only 57% of parents are actively saving for their children’s educational needs. If you have kids or are planning to have them, we recommend you start saving for their schooling as soon as possible. There are many avenues, including an Education Savings Account and a 529 plan that help make it easier for parents. Look into your options and ask an experienced investment advisor which plan makes the most sense for you and your family.

Pay off remaining debt

After you establish an emergency fund, evaluate any outstanding loans. The average American has nearly $40,000 in personal debt, not including home mortgages, so if you’re still paying off student loans, credit card debt, or a car loan – you’re not alone. Allocating money at this point is often a very personal decision. Some people who have loans with low interest rates prefer to invest their money because they believe the market returns will offset any losses from loan interest rates. Others opt to aggressively pay off loans because they simply want freedom from debt. Talk to your wealth manager to make a fully informed, smart decision.

Know what you have, or don’t have

While it’s easy to know exactly how much you’re taking home every year, what really matters is the amount you keep. Lifestyle creep can be a real problem and in the age of social media, it’s easy to compare yourself to others. Set goals for yourself, stick to a realistic budget and be mindful of your spending.

Find an investment advisor you trust

In a market saturated with choices, it’s important to take a thoughtful, informed approach when you pick an investment advisor to help you secure your future. Make sure the firm you select emphasizes regular, open communication with their clients and proactively shares accurate, timely information about investments. We also encourage you to look for a fee-only fiduciary financial partner, where advisors don’t receive commissions. Wealth managers should not only be transparent with their investment process, but also with their fee system. If they aren’t, they should find the door. Learn more about choosing a wealth manager here.

If you make wise financial decisions and choose the right investment advisor for you, you’ll be well on your way to growing your earnings and enjoying a financially secure future.  Give us a call for a free consultation today. 


The information being provided today is for educational purposes only and shall not be considered specific individual investment advice or recommendation.  The information being provided is believed to be accurate at the time of distribution. However, over time may become materially inaccurate or may not apply to your specific circumstances.   Please refer to our ADV for detailed information about our services and disclosures.  You may request a copy of our ADV by contacting 941-365-3435.  In addition, please refer to https://www.adviserinfo.sec.gov/IAPD for additional information on the firm and the Investment Adviser Representatives.