Super Save Your 30s
Right now I’m 32 and I find my thirties to be an outstanding time in my life. I’ve grown into myself as a person, know what I want, who I am, and what I’m interested in. I’m mature and self-assured enough to take anything head on. I’m making more money than I ever have in my career. I want to catapult my 30’s by becoming a super saver. How can I hack life to beat my cohort? I have five suggestions below.
Note: This post is part of a series.
- Stay Hungry at Work
You’ve been at a company for a few years, making decent pay, but there aren’t any advancement opportunities and you haven’t had a big raise in a few years. Don’t get complaisant in your job- you MUST actively manage your career in your 30’s to maximize your pay!
Remember, that people who switch companies get paid more, and right now, North American joblessness is at an all-time low, so there has never been a better time to make a move. Dust off that resume, apply to some jobs, and accept that your first one or two interviews will be a warm-up for you. When a recruiter asks why you want to leave your job? Say, “I’m happy where I am and don’t necessarily want to leave, but I’m looking to see what other opportunities are out there.”
2. Figure Out Child Care
Other than your living expenses, if you are 30 and have kids, child care is going to be one of your biggest expenses. You need to figure this out in order to be able to super-save in your 30’s. It’s time to actually figure this out instead of treading water until your children go to school full-time. Here are my suggestions:
- Enlist a grandparent. Ask your parents or inlaws if they can watch your kids one day a week. That’s once a week for your parents, and once for your inlaws. Your daycare costs just went down by 40%.
- Work 10 hour days. If you and your partner both decide to work 10 hour days, four days a week, there is now one free day each that you can stay at home and take care of junior. That’s another 40% in savings.
- Delay Birth in Favour of Early Retirement. If you don’t have kids yet but were planning to have them soon, calculate what effect waiting another year or two will have on your early retirement numbers. Can you quit your job after parental leave, and stay at home with your kids? Can your spouse support you during this time? Only you can determine that once you’ve ran your numbers. We are purposely delaying birth for this reason.
3. Enlist a Cost-Saving Tax Professional
At this point in your life, it’s time to eschew preparing your own taxes. If your money is complicated enough (and this point you will have enough investments and income streams to make it complicated enough,) to necessitate hiring an accountant, do it. The fees WILL more than pay for themselves. I have been preparing my own taxes for years even as they have gotten more complex. It’s time to see what an accountant can do, both in this year and to recommend how to save on taxes in advance of next year’s filing.
4. Roll Your Retirement Accounts into One
It’s time to adjust your retirement savings as well. If you have had multiple jobs, you likely have left behind a trail of open retirement accounts with different providers. Let’s clean things up and set your retirement goals. Roll all your accounts into one, do your research (or meet with a professional) to determine your preferred investments and asset allocations, and resolve to keep putting money into your one account and watch that balance grow.
This will clean up any high fees you may have with managers you didn’t choose, keep your allocation relevant to your age, and make sure you are properly balanced!
5. Tutor or Become a Teacher
At this stage in life, you are an expert in something. Is it coding, business, insurance, English, masonry? Whatever it is, if you can post it on University Tutor, do it and start making money off your expertise. If it’s physical labour, post it on Kijiji.
You are also of the age where you can start teaching a college or post-graduate class, because you have both the network and the professional experience students need. Reach out to your work association, or nearby educational institute, and ask about teaching night classes. Doesn’t it feel good to help those starting out in your field?
Your thirties offer a new time of unparalleled income, expertise, and confidence which will enable you to save and super charge your financial independence goals. Aim to try one tip a quarter, and in a year and a half your life will be markedly improved, and your finances in better shape than ever.
How are you super saving your thirties?