Young adults face the task of learning how to manage spending and saving within the constraints of their income levels. Develop sound financial habits is critical. Learn how you are spending your money to identify ways to save. Prepare a household budget. Use a wise borrowing strategy. Borrow for things that provide long-term value. Control the us of credit cards. Establish a savings pattern. Consider using Direct Deposits / ETF’s / Unit Trusts / from your pay check and setting up a recurring automatic transfer so that some amount is deposited on a regular basis. Set some savings goals. Whether it is accumulating a down payment for a home, paying for a car or saving for a vacation, connecting a tangible goal with your savings can provide the motivation and discipline you need to save.

This is often a time when your income is rising as well as expenses. Nicer homes, nicer cars and raising children can easily consume your increasing income. This is also the time when the financial decisions you make have the greatest impact on the financial lifestyle you enjoy during retirement. By now you should accumulate some savings and developed the expertise to make sound choices.   1. Plan ahead for your children’s college expenses. 2. Take full advantage of employer offered retirement plans. 3. Invest wisely. Consider an asset allocation strategy that matches your time horizon (age) and risk tolerance. Don’t ignore the potential long term returns of equities. 4. Have a valid will.

These years can be the most enjoyable and fulfilling times of your life. If children and grandchildren are part of your life, having the financial ability to help them can be rewarding. A successful career, the freedom of live the retirement lifestyle of choice and a sense of satisfaction with what you have accomplished can make your golden years truly enjoyable. Be sure your medical insurance is adequate. We are all living longer, and the cost of medical care continue to rise. Be sure your estate plan is up to date. Change in your financial situation, moving to a different house or change in your family should be all triggers for reviewing your estate plan. Continue to manage your investments carefully. Always make sure you understand the recommendations before accepting them.