{"id":271,"date":"2022-03-22T14:50:39","date_gmt":"2022-03-22T14:50:39","guid":{"rendered":"https:\/\/compoundingstacks.com\/?p=271"},"modified":"2022-04-04T15:10:55","modified_gmt":"2022-04-04T15:10:55","slug":"how-much-should-a-30-year-old-have-in-savings","status":"publish","type":"post","link":"https:\/\/compoundingstacks.com\/how-much-should-a-30-year-old-have-in-savings\/","title":{"rendered":"How Much Should A 30 Year Old Have In Savings?"},"content":{"rendered":"\n

Here\u2019s the thing – we are all different. And, we can\u2019t give you an exact amount that you should have saved by the time you are 30. <\/p>\n\n\n\n

\"How<\/figure><\/div>\n\n\n\n

We all have different life circumstances, and we have all done different things in our lives, meaning that we have different financial situations. <\/p>\n\n\n\n

However, we can give you our recommendations on just how much you should have saved up. And, we have some tips on how to really get into the savings game, too.<\/p>\n\n\n\n

Savings By Age: How Much To Save In Your 20s, 30s, 40s, And Beyond?<\/strong><\/h2>\n\n\n\n

Saving money is important for everyone. You can start saving early in life by setting up an automatic deposit into a bank account. You can also set up a separate account for each child or grandchild. <\/p>\n\n\n\n

When you reach retirement age, you’ll want to make sure you have enough money to pay for your health care needs. You may also want to consider opening a college fund for your children.<\/p>\n\n\n\n

The amount of money you save depends on several factors. Some of the most important include your current income level, your future goals, and your personal preferences.<\/p>\n\n\n\n

So, How Much Money Should You<\/strong> Have Saved?<\/strong><\/h2>\n\n\n\n

Fast answer: Your savings goal depends on your lifestyle. You can save money by cutting back on spending and finding a side job. You can find your magic number if you create specific savings goals. <\/p>\n\n\n\n

Saving money is easy if you know what you’re saving for. Save for a treadmill that costs over $1000. Set up a bucket system to help you manage your money. Saving consistently is the key to saving for long term goals. <\/p>\n\n\n\n

A windfall of cash, such as a tax return, can be helpful, but it shouldn’t be used as an excuse to slack off on your regular savings plan.<\/p>\n\n\n\n

Let\u2019s Talk Savings For Emergencies <\/strong><\/h2>\n\n\n\n

You shouldn’t use your age as a guideline for how much money you need to save for emergencies. Instead, you should start saving 3 to 6 months of your monthly budget<\/a> in an easy-to-access savings account.<\/p>\n\n\n\n

An emergency fund is money set aside in a savings bank account only for unexpected expenses, such as emergencies, i.e. your dog swallowed a chew toy and needed a trip to the vet. <\/p>\n\n\n\n

You need an emergency fund because if you didn’t have any money saved up, you’d be stuck paying out of pocket for your pet’s medical bills.<\/p>\n\n\n\n

Emergency Funds And Your Monthly Spending<\/strong><\/h2>\n\n\n\n

The ideal size of your emergency funds<\/a> will vary depending on your monthly expenses. You should aim to have at least 3-6 months of expenses saved up. <\/p>\n\n\n\n

What are you waiting for? Start saving today!<\/p>\n\n\n\n

It is true that you should save enough money every month to cover three or six months’ worth of expenses. This means saving $3,000 per year or $6,000 per year. <\/p>\n\n\n\n

In addition to this, you should try to spend less than 30% of your income on non-essential items.<\/p>\n\n\n\n

Why Is 30 The Benchmark?<\/strong><\/h2>\n\n\n\n

Most people will tend to panic when they hit 30 – because this is REAL adult territory. Who knows, you might be thinking about all the things you are yet to tick off your bucket list. <\/p>\n\n\n\n

Or, you might even be thinking about how you plan on spending your retirement.<\/p>\n\n\n\n

Most people think they’ll need $1 million when they retire. But the truth is, it’s hard to know exactly what you’ll need until you actually retire – and it is pointless to stress and worry about this. <\/p>\n\n\n\n

Living in a \u2018what if\u2019 mindset will ultimately taint how you live your day-to-day life, and that\u2019s not fun.<\/p>\n\n\n\n

How Can You Save More Money?<\/strong><\/h2>\n\n\n\n
\"How<\/figure><\/div>\n\n\n\n

You really should not allow your age to discourage you from saving money. You still have time to save before retirement. <\/p>\n\n\n\n

And, you will be pleased to know that there are a lot of different ways that you can save money during your thirties.<\/p>\n\n\n\n

If you are new to the savings world, then you really need to start with small amounts. It takes longer to build a habit of saving money than it does to lose one. <\/p>\n\n\n\n

So, you can start small and build up to saving more of your income. If you can only afford $10 a week, start there. Then work your way up. <\/p>\n\n\n\n

Don’t try to save too much all at once, because if you are new to saving up your cash, then you won’t stick with it.<\/p>\n\n\n\n

In addition to this, you should make a budget. The first step to saving money is to figure out where your money goes. Look at your expenses and find places where you can cut back. <\/p>\n\n\n\n

For example, maybe you spend too much on eating out – or maybe you spend too much money on cable TV. Cut back on these things, so you don’t have to worry about cutting back on other areas of your spending.<\/p>\n\n\n\n

You can also use rewards programs as a means of saving cash. Many companies offer incentives like cash back and discounts for using their services. <\/p>\n\n\n\n

These are great ways to earn extra money without making any changes to your lifestyle.<\/p>\n\n\n\n

Paying off debt can also allow you to feel at ease and therefore feel much more confident when saving up money. <\/p>\n\n\n\n

And paying off debts means less money going towards interest payments. Plus, you’ll be able to focus on building up your savings instead of paying down your debts.<\/p>\n\n\n\n

In Conclusion<\/strong><\/h2>\n\n\n\n

People who save money early in life indeed end up having more money later in life. <\/p>\n\n\n\n

This is a topic of conversation that can actually cause a lot of stress because we will all be at different stages in our lives and have different sums of money saved due to this. <\/p>\n\n\n\n

We all follow different paths in life and for this reason, some people will have a lot of money saved up by the time they are 30, and others won\u2019t have so much. <\/p>\n\n\n\n

This is especially true if you have spent an extended period of time in academia. <\/p>\n\n\n\n

However, there are lots of ways that you can get into the savings game, and this will allow you to build up a nice pot of money by the time you are 30. <\/p>\n\n\n\n

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https:\/\/youtu.be\/kmPmm2BTNuw<\/a>