Setting financial goals is an important step in planning for a more stable and prosperous future. Many people get stuck in their daily financial routines without a clear direction, not realizing the importance of planning according to their age stage.
In fact, each phase of life has different financial needs and challenges. You will be able to strategize more appropriately to achieve your ideal financial condition by understanding your financial goals based on your age. From starting a career in your 20s to preparing for retirement in your 50s.
Treasury has summarized how to set appropriate financial goals based on your age. Careful financial planning will help you be more calm in facing the future. Let’s see the discussion below.
Financial Goals in Your 20s
Your 20s is the initial phase of your financial life. During this time, you have usually just finished your education and started to enter the workforce. Therefore, the main financial goal at this age is to build a strong financial foundation. One of the first steps that can be done is to make a budget plan.
In addition, in your 20s you are also advised to start saving regularly, no matter how small the amount is. Your 20s are crucial to start forming healthy financial habits. Start by creating an emergency fund that ideally covers 3 to 6 months of expenses.
Investing can also be part of your 20s financial goals. Even if you are a beginner, you can start with low-risk investment instruments such as gold. Currently, digital gold is very popular among young people. Digital gold offers easy transactions anywhere and anytime only through gadgets and can be started from a low nominal.
One of the digital gold investment platforms that you should consider is Treasury. This application has been licensed by BAPPEBTI, so its security is clear. You can monitor gold prices in real-time, buy and sell in one click, and start saving gold from as little as Rp5,000.
Learning the basics of investment will be very useful in the future, especially when income starts to increase. The earlier you start investing, the greater the potential returns you can get in the future. Choose an investment instrument that suits your abilities and needs.
- If summarized, financial goals in your 20s are as follows:
- Develop a budget and start saving regularly
- Establish an emergency fund of 3-6 months of expenses
- Pay off education or credit card debt
- Start investing in low-risk instruments
- Have personal health insurance
- Learn financial literacy and investment planning
Financial Goals in Your 30s
Entering your 30s, you are usually more stable in terms of income and may have started a family. Therefore, financial goals at this stage focus on building assets and protecting the family. One of the main priorities is to own your own home and start preparing for your children’s education if you have a family.
At this age, expenses tend to increase, so financial management becomes even more crucial. You need to balance your monthly expenses, savings, and investments. Investment diversification is important so that assets grow faster. Make sure you also continue to contribute to your emergency fund and retirement fund.
Insurance protection becomes more important at this age. It is advisable to have life insurance, especially if you are the backbone of the family. This insurance will help maintain the financial stability of the family in the event of an unexpected event.
Periodic evaluation and revision of the financial plan is also important. You should be able to adjust your financial goals according to the development of your personal life and economic conditions. A flexible and measurable financial plan will help you stay on track towards financial independence in the future.
Here are the financial goals in your 30s that you should consider:
- Buying or paying off your own house
- Establishing a child’s education fund early on
- Continue investing and start diversifying your portfolio
- Having family life and health insurance
- Maintaining a healthy debt ratio
- Developing a long-term retirement plan
Also Read: 6 Ways to Achieve Financial Freedom with Digital Gold Investment – Treasury
Financial Goals in Your 40s
Your 40s is a productive period that determines your financial future. At this age, you may be at the peak of your career, but you also face many responsibilities such as children’s education costs and parental care. Therefore, financial goals at this age emphasize more on asset consolidation and retirement preparation.
One of the main steps is to ensure that your investments are strong enough to sustain your future needs. Portfolio diversification is highly recommended to minimize risk. You also need to evaluate your assets and adjust them to your long-term financial goals.
Children’s education that is getting closer to the college level requires a large amount of funds. So, planning for education costs must be more mature. If you have not started the education fund early, you need to allocate a larger portion of your income into investment instruments that are suitable for the period of need.
Gold is an investment instrument that is suitable for long-term use. Apart from the fact that its price rises every year, gold has also been proven effective in protecting assets from inflation and various economic crises. For this reason, gold is highly recommended as an asset diversification as well as a safe haven that can protect the value of your assets in the future.
Some of these financial goals in your 40s can determine your financial condition in the future:
- Increase retirement fund significantly
- Continue long-term investment with measurable risk
- Settle big debts such as mortgages
- Prepare for children’s college fees
- Arrange assets to be more productive
- Have comprehensive health insurance
Financial Goals in Your 50s
Entering your 50s, your financial goals should be more focused on asset protection and retirement planning. This phase is the time to solidify everything that has been built up over the decades, and ensure that you can retire peacefully without financial problems.
You need to reduce risk in your investment portfolio and prefer stable instruments, such as gold. Debt management must be completed or at least a little left. If you still have debt, make sure there is a repayment plan before retirement arrives so that the burden is not carried over to old age.
In addition, you should start preparing an inheritance distribution plan or estate planning. Making a will and learning tax planning can be an important part of financial goals in your 50s. This will help keep your family safe and avoid conflicts over assets in the future.
Carefully calculate the needs of life after retirement, including routine expenses and health costs. You can start simulating your expenses after retirement and adjust your investments and savings accordingly. All of this will strengthen the financial goals that you have built since you were young.
Approaching retirement, financial goals in your 50s are different and should further strengthen your assets in the following ways:
- Ensure retirement readiness and calculate monthly needs
- Reduce investment risk and maintain asset stability
- Settle all debts before retirement
- Develop legacy and estate distribution plans
- Prepare for long-term health protection
- Develop a realistic and measurable retirement budget
Setting financial goals based on age will help you make wiser and more strategic decisions at every phase of life. From your 20s that are full of building spirit, to your 50s that demand stability and protection, every step needs to be carefully designed.
Don’t wait to be ready to start. Every small step you take today will have a big impact in the future. The most important thing about achieving financial goals is consistency and realizing that financial strategies must be adapted to changes in life and economic conditions.
Treasury as a digital gold investment platform is ready to accompany you in various phases of life to start investing early, develop assets when you are in your prime, and protect and maintain asset value when you are approaching retirement.
