Smart Money Moves: Build a Strong Financial Future In Your 30s

by Kristy Como Armand

Your 30s are a pivotal time for financial growth. By now, you are likely established and advancing in your career, earning a larger salary and making significant life decisions, such as buying a home, starting a family, or investing for the future.

“If you haven’t already, your 30s are the time when you need to make sure you’ve established smart financial habits that will provide a foundation for long-term success,” says Dorene Gothreaux, senior vice president with Lakeside Bank. “Set firm goals for your money so you can get where you want to be over the next few decades. That may include raising a family and planning for retirement.”

To help navigate this important stage of adulthood, Gothreaux shares some key money moves to make in your 30s to help you achieve your future goals:

Build a solid emergency fund. If you haven’t already started an emergency fund, now is the time. Even if you can only save a small amount each month, consistency is key. Unexpected expenses—like medical bills, car repairs, or job loss—can derail financial stability if you’re not prepared. “Aim to have at least three to six months’ worth of expenses in an easily accessible savings account,” recommends Gothreaux. “This ensures you have a financial cushion to cover emergencies without resorting to high-interest debt.”

Set financial goals and a budget. Your 30s are a great time to establish financial goals. “Whether it’s saving for a home, traveling, or starting a business, setting clear financial objectives help keep spending in check,” says Gothreaux. She suggests using the 50/30/20 rule (50% needs, 30% wants, 20% savings) to help manage expenses while still allowing room for fun.

Improve your credit score. A good credit score is crucial for securing low-interest rates on loans and credit cards. “If your credit score is not where you need it to be, paying bills on time, keeping credit utilization low, and avoiding unnecessary credit inquiries can significantly improve your credit score,” advises Gothreaux.
Pay off high-interest debt. Carrying high-interest debt, such as credit card balances, can significantly hinder financial growth. “The interest on credit cards often outweighs the returns on any investments you make,” Gothreaux warns. “Prioritize paying off these debts as quickly as possible.”

Make smart home and car purchases. Buying a home, or a bigger home, can be a good investment, but it’s essential to purchase within your means. “Make sure your mortgage payment fits comfortably within your budget, typically no more than 28% of your monthly income,” advises Gothreaux, “and be sure to consider other related costs, including insurance, taxes and maintenance. The same goes for cars. Buying a reliable, affordable vehicle instead of overspending on a new, luxury model can help you achieve your overall financial goals more quickly.”

Invest for retirement. Retirement might seem far away, but your 30s are the ideal time to take advantage of compound interest. “The earlier you start investing, the more time your money has to grow. Even small contributions can make a big difference over time,” says Gothreaux. “If your employer has a 401k plan, this is a great way to invest for the future. Talk with a trusted advisor about other investment options to grow your wealth that fit your budget and goals.”
Continue financial education. Financial literacy is a lifelong journey. “Stay informed by reading personal finance books, listening to podcasts, or meeting with a trusted banker or financial advisor,” suggests Gothreaux. “The more you know, the better decisions you’ll make.”

Gothreaux says it’s all about being proactive. “The choices you make today will shape your financial future. Make the right money moves so your future self will thank you!”

Learn more at mylksb.bank.