Your 30s are a decade of important decisions, brand-new challenges and opportunities. So now can be a golden time to create both short and long-term financial plans.

Here are seven key goals to consider, according to our SHARE financial advisers.

Budget for the present – and the future

Your 30s can be a decade of big life moments and career achievements – all of which may prompt a budget review.

Think about your financial goals. Are you looking to buy a house, or (if you already have one) would you like to repay your mortgage faster? Are you planning to grow your family? What about setting some money aside for retirement? Having a household budget can help you develop good savings habits, and get closer to your short and long-term goals.

Maximise your earnings

Are your career goals on track? Depending on your industry, think about the steps you could take to maximise your earning potential – be that changing job, climbing the career ladder, or creating extra income with a ‘side gig’.

For example, you may consider upskilling with an online course, or making connections in your industry to open up new avenues of opportunity.

Focus on repaying debt

When not paid in full each month, high-interest debt (like credit cards) can easily become a drag on your finances, as the carry-over balance accumulates interest. That’s why it’s important to repay short term and/or high-interest rate debt as fast as possible: to free up useful cash and keep your credit score in good health.

Here are a few strategies to approach this:

• Highest to lowest-interest: Start by focusing on the highest-interest debt first and then work on the lower interest debt.
• Smallest to biggest: Tackle debt by paying off the smallest loans first and working to the larger ones (the ‘quick wins’ should give you the motivation you need to move on to bigger challenges).
• Consolidate: Depending on your circumstances, consolidating all your existing debts into one may also be an option. There would be only one loan to manage, with one interest rate. It’s important to be aware of any extra fees and charges, and choose a loan term that suits your budget in the long run.

Do you have a surplus?

If you find that you have some money left over at the end of the month, think about how you could make those extra funds work harder for you. Here are a couple of ideas:

• Invest – There are many different investment vehicles to choose from, including property, stocks, KiwiSaver and more. And you don’t need a big amount to get started. Thanks to the power of compounding interest, even a small amount (invested regularly) can snowball into a significant portfolio over time. Our SHARE investment advisers can talk you through your options.
• Pay down the mortgage – If you have a mortgage, you can consider increasing your regular repayments or making extra lump-sum payments. Keep in mind that fixed-rate mortgages often have limits on how much you can increase regular repayments or make in lump sums  without incurring fees. Get in touch with our SHARE advisers to learn more.

Make KiwiSaver work for you

There are many important factors to consider when selecting a KiwiSaver fund, and what was right for you years ago, may no longer suit your needs.

The choice largely depends on your attitude to risk (conservative, aggressive or something in between) and your investment horizon (how long until retirement). Would you like to use it for a deposit on your first home, to fund your retirement lifestyle – or both? Is your KiwiSaver fund aligned with your risk profile – or are you still invested in a ‘default fund’?

Get in touch with our SHARE advisers – we can help you understand your risk profile and implement an action plan to boost your nest egg.

Set investment goals

Your 30s can be an ideal time to set investment goals. With time on your side (and depending on your risk profile), you may be able to invest in higher-risk investment options, knowing that you can weather short-term fluctuations in the markets.

There’s a lot to think about when developing an investment plan, so having an expert in your corner can help you make better-informed decisions about your financial future – including diversifying your portfolio to minimise risk while maximising the potential for returns. Get in touch with a SHARE adviser to explore your options.

Protect the life you’re building

A new house, a growing family, your income – during your 30s, your assets are likely to increase. And these are worth protecting.

Here are some steps you can take:

• Get cover –Taking out insurance can help you protect the life you’re building, now and in the future. Depending on your circumstances, certain types of cover may be more appropriate than others. For example, if you have a mortgage to repay and/or dependants, life insurance and income protection may be worth considering. Health insurance is another powerful tool, providing you access to private medical treatments when needed. Our SHARE insurance advisers can help you explore your options.
• Build a rainy-day fund – It’s a good idea to have an emergency fund at the ready, to take care of unexpected expenses.
• Get a Will – A Will is an inexpensive way to ensure that, should something happen to you, your wealth should be distributed as you wish.

Get in touch

Our SHARE advisers are here to listen to your financial goals and help you put a plan in place to achieve them. Whether it’s mortgages, insurance, investments or KiwiSaver, we’re here to help.

Disclaimer: Please note that the content provided in this article is intended as an overview and as general information only. While care is taken to ensure accuracy and reliability, the information provided is subject to continuous change and may not reflect current development or address your situation. Before making any decisions based on the information provided in this article, please use your discretion and seek independent guidance.