Suggestions for Financial Goals at Various Life Stages
While there is no “one size fits all” plan for focusing on key financial areas, general guidelines may be helpful. In this article, and in coming months, we’ll suggest some areas that you may want to concentrate on, based on your life stage.
This is a time when you probably finish your formal education and begin your first “real” job. Now is the time to start developing sound financial habits for a lifetime.
- Establish credit and maintain a good payment record. Do not charge more than you can pay off in three months.
- Set up an emergency savings fund, typically three to six months of living expenses.
- Start learning about investing and establish an automatic savings program to reach your financial goals.
- If you can, buy a home, or start saving for the down payment.
- Take full advantage of a 401(k).
- Make sure you have adequate insurance (life, home or renter’s, auto, health, disability, liability).