My friends and I are all now in the stage that’s known as ‘mid-life’ and it can be a tricky time.
It’s a time when we wear many hats – some of my friends are still raising young kids or teens, while others are grandparents.
One has even had a new baby herself.
Some care for ageing parents, some are embarking on second marriages, others are going it alone.
And while some have invested a lot into their careers, there are a few who are making a fresh start.
Sadly, a couple of my mates are facing some pretty serious health concerns.
What’s consistent among us all is feeling like the balance of our savings accounts doesn’t reflect our years of hard work.
And all of us wonder how we will ever afford to retire.
I’m thrilled to say, it’s not too late for me or my friends, and it’s not too late for you.
In fact, it’s never too late to start saving money and find your money mojo!
Learn and listen
It can feel overwhelming keeping the wheels turning on our lives, but it’s important to find the time to understand how superannuation works and the ways you can tweak where your money is invested to optimise your return.
And while you’re at it, learn about investing. I’m a big fan of Scott Pape’s book The Barefoot Investor because it’s written for everyday people like you and me.
Grab a copy of Scott’s Barefoot Kids book too, so your children and grandchildren can learn to find their money mojo well before they hit mid-life!
Budget is best
We’ve put in the time to raise our families and work hard at our jobs, so we deserve nice things, right?
Right! But going into debt to achieve them isn’t a great idea.
According to Compare the Market, paying for a $5000 holiday on a credit card can end up costing $20,000 in interest alone, if you only make the minimum repayments.
Increasing your debt at this time of life can mean more financial stress later. Instead, focus on budgeting to reduce your existing debt.
Plan ahead
By the time you reach your 40s and 50s you know life can throw the unexpected at you, whether it’s a health glitch, relationship break down or even a pandemic.
It’s important to have an emergency fund, ideally enough to support you for six months.
This may sound like a pipe dream, but even if you can only squirrel away a few dollars each week, you’re heading in the right direction.
TIP: Save those cents!
I recently read a comment on Facebook that really made me stop and think.
Someone was talking about ways to save money and another person commented that they’d paid off their $3000 credit card using loose change.
I’ll never look at a 20 cent coin the same way again! It may not sound like much, but 20 cents here and 20 cents there is how I got myself out of debt, she wrote.
It made me think – what if every time I bought something on sale during my grocery shop, even if it’s only discounted by a few cents, I transferred that savings into my credit card or mortgage or into my savings account?
Every single cent makes a difference. It’s worth thinking about what your loose change could achieve.
Ms MoneySaver’s tips are prepared in good faith. That’s Life cannot assure readers that they will be effective in all cases and is not responsible for any loss or damage resulting from following them.
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