15 Money Moves People Wish to Make Before 30

Before turning 30, many people reflect on financial decisions they wish they had made earlier. Recognizing these missed opportunities often highlights the importance of financial literacy and proactive planning in achieving long-term stability and security.

1. Build an Emergency Fund

Start by saving money for emergencies. This fund acts like a safety net for unexpected expenses like car repairs or medical bills. It keeps you from falling into debt when surprises come your way.

2. Start Saving for Retirement

Even if retirement seems far off, begin putting money away now. Thanks to compound interest, small amounts saved in your 20s can grow significantly over time. Many employers offer retirement plans like a 401(k), some with matching contributions, which can boost your savings even more.

3. Pay Down High-Interest Debt

Get rid of high-interest debts, especially from credit cards. These debts can grow quickly and hold back your finances. Paying them off frees up more of your money for saving and investing.

4. Learn to Budget

Creating and sticking to a budget is crucial. It helps you track where your money goes each month, ensuring you can cover your needs, save, and enjoy life without overspending. It’s all about finding a balance that works for you.

5. Invest in Yourself

Investing isn’t just about stocks and bonds. Spending money on your education or skills can boost your career and increase your earning potential. Look for courses, certifications, or other training that can open new opportunities or lead to a higher salary.

6. Get Insured

Having the right insurance (health, renters, auto) protects you from unexpected financial hits. It’s like wearing a helmet when biking. The small cost now can save you from a huge bill or debt later if something goes wrong.

7. Create Multiple Income Streams

Don’t rely solely on your 9-to-5 job. Look into side gigs, freelance work, or passive income opportunities. Like having multiple safety nets, this ensures if one income source falls through, you’re not left in free fall.

8. Master the Art of Negotiation

Whether it’s a higher salary, lower rent, or better rates on loans and credit cards, learning to negotiate can significantly boost your financial health. It’s like haggling at a market; the first offer isn’t always the best deal you can get.

9. Keep Your Credit Score High

A good credit score opens doors to better loan rates and financial opportunities. It’s like having a VIP pass; lenders see you as a lower risk and offer you better deals. Pay bills on time and keep your debt low to maintain a strong score.

10. Plan for Big Purchases

Dreaming of a new car or home? Start saving specifically for these goals now. Treat big-purchase savings like a monthly expense, setting aside a little each month. This approach makes the dream achievable without derailing your other financial plans.

11. Understand Your Taxes

Getting a handle on your taxes can save you a lot of money. Knowing what deductions and credits you qualify for can lower your tax bill or increase your refund. It’s like finding extra cash you didn’t know you had.

12. Start an Investment Portfolio

Beyond saving, start investing. It’s not just for the wealthy. There are plenty of options, from stocks and bonds to mutual funds, that can help your money grow over time. Think of it as planting a garden where each plant grows at its rate, diversifying your growth potential.

13. Automate Your Savings

Set up your bank accounts so a portion of your paycheck automatically goes into savings or investment accounts. It’s like making your future wealth a bill that must be paid, ensuring it’s always taken care of without having to think about it.

14. Regularly Review Your Financial Plan

As life changes, so should your financial plan. Maybe you got a raise, moved to a more expensive city, or started a family. Checking in on your finances regularly helps you adjust your savings and spending to fit your current situation.

15. Learn About Estate Planning

It might seem early to think about estate planning, but understanding the basics can save your family a lot of trouble and expense in the future. It’s about making sure what you’ve worked hard for goes exactly where you want it to when you’re not around.