Money Mistakes People Make in Their 30sBy Toby Tunwase
A fool at 40 was already on the path of foolishness at 30.
The 30s age bracket is one of the most significant parts of our lives. Relationships at this point become marriages and families, jobs and side hustles become careers, dreams now become a reality.
This is not the stage in life where you begin to indulge in unhealthy financial habits. These can become a full-blown lifestyle and affect those around us also. Financial mistakes made at this stage of your life tend to have a lasting effect on your financial future.
You have to do your best to avoid the following mistakes as they can have negative impacts on your finances:
- Comparison and Competition
At 30, most people begin to feel pressured by the success of others. This is where they get it wrong: trying to prove what they don’t have by spending lavishly. At 30, most people are affected by social comparison prejudice. Whoever it is, comparing yourself with them will only make you stretch-thin for what they have even when you cannot afford them.
You are on a personal journey, enjoy it!
- Having no budget
This mistake is not restricted to any age bracket as it cuts across all ages. However, it is more important for people in their 30s. You need to have a budget to make important life decisions.
- No Emergency Fund
This mistake hurts harder during the rainy days. These days will surely come as they are part of life—more reason you need to avoid making such a mistake.
- Spending Too Much on A Home
A lot of people in their 30s splash out the big cash on a home. Understand that the higher the asset is, the higher it will cost to maintain it.
- Incurring Too Many High-Interest Debts
Credit cards are mostly responsible for mistakes like this one. Pay off your credit card every month and adjust your spending habits.
Avoid these pitfalls if you want to come out of your 30s with fewer worries.