As Northwood’s series of blog posts on financial milestones continues, we’d like to focus on one very important one – turning 35.
As we mature and work hard to achieve the success we deserve in life, be it personal, financial, or career-wise, we tend to focus on birthdays that end in zeros like our 30th, 40th, and 50th when we reflect on the progress we’ve made. However, a 35th birthday may be even more important than the others because it marks an important milestone in most peoples’ careers: the beginning of excellent earnings and major promotions.
Does Life Begin at 35?
The old expression “life begins at 40” describes something quite important: Most people spend their 20s studying and starting their careers, while the 30s are spent establishing themselves professionally, paving the way for the 40s and 50s when most people achieve their greatest success. A 35th birthday marks the beginning of your prime earning period, and there are several financial planning steps you need to take one you pass this milestone.
Balancing Your Finances After 35
As a time when studies, parties, and the beginning of your career dominate your life, your twenties may have literally flown by. Many people meet their life partner and get married in their mid-to-late twenties, while deciding on their exact career path and choice of lifestyle.
At 35, you should have a clear idea of who you are, what you want to do, and what your financial priorities are. In order to balance your finances from this crucial point onward, ask yourself the following questions:
- Am I in the right job or on the right career path?
Changing careers is tricky at 35, but it will only get more difficult as your 40s and 50s come along. If you’d like to make a change, this is the time to do it. Otherwise, focus on building your career as you enter the prime of your earning power.
- Have I developed good budgeting skills?
Your thirties are the time when you may decide to have children, buy property, and settle down. In order to balance your finances, you should assess your spending and saving habits, making sure that you are managing your monthly budget and saving toward retirement and your children’s education.
- Am I planning for my retirement?
At 35, retirement is probably the last thing on your mind. However, you should be saving and investing so that your quality of life continues even after you stop working.