7 Empowering Financial Questions for Women in their 30s

This decade has its fair share of opportunities, milestones, and challenges. It can help to sit yourself down once every day or at least once a week, to not busy yourself with doing things, just breathe, and let your thoughts settle. What is also beneficial is taking a day each year to review your financial situation. Here are seven questions you can ask to get started: Customise them to suit your needs.

#1: Are there opportunities to increase my income from my day job?

Now that you have more experience and skillsets under your belt, you could negotiate for pay raises, or seek out higher-paying job opportunities.

Some friendly reminders: Be conscious of how higher taxes might offset any pay increases. Also, ask for an accountability buddy’s help to keep lifestyle creep at arm’s length.

#2: Does my existing coverage match the risks I hope to be insured for?

Familiarise yourself with your insurance plans’ coverage. Work out if your existing coverage is sufficient in light of the events or risks you wish to be insured for (e.g. critical illness).

It is also key that you consider how other factors may affect your insurance needs. Such factors include having dependents, existing savings or investments, and/or debts and other commitments.

#3: Do I need more emergency savings?

Here’s why you might need to top up your emergency fund: Your living expenses are likely to look different in your 30s compared to your 20s.

Ensure you still have three to six months’ worth of living expenses for unforeseen outlays, such as illness or loss of income from your day job.

Seeing a shortfall? Increase the amount you allocate each month to your emergency savings.

#4: How close am I to reaching my retirement goal?

It is likely you have drafted a retirement blueprint and started saving and investing to get closer to your dream retirement. Missing key milestones in your retirement plan? Determine the cause. If your investments are not delivering the returns you were hoping for, consult your financial advisor on your portfolio. Take care not to make rash decisions.

No retirement plan yet? The latest Singapore life expectancy data from 2021 indicates that women will outlive men. This means saving for retirement is even more important for women. Reach out to me and my team—we would be happy to guide you in creating your roadmap.

#5: Do I need to further diversify my investments?

Emergency fund down pat and retirement plan on track? Perhaps it is time to diversify your investment portfolio more, to strengthen your financial position. Re-evaluate your risk exposure before weighing the different options. Real estate – through owning your first home and/or purchasing investment properties – could be a possibility. My team and I help you review your portfolio according to your needs and risk profile.

#6: How can I reduce my debts?

The goal is not just to pay off existing debt.

Staying on top of high-interest debt, like credit card debts, is also vital. Be sure to pay your credit card bills in full at the end of the month.

For a structured approach toward paying off your debts, check out the debt avalanche or debt snowball method.

#7: Do I have a sound estate plan in place?

End-of-life planning may not be to your fancy. But now that you have wealth and assets, it is essential. If you have dependent family members, estate planning is even more critical.

Find out which estate planning tools are right for you by consulting a professional. Draft up minimally, a Will and an Advanced Care Plan (ACP).

Everyone's 30s can look different – so don’t fret over a friend who might seem to have it all figured out. Reflecting on one's own retirement goals and progress, and leaving others’ finances to them, is much more empowering. Maintain a regular review of your finances—future you will reap the rewards!

Disclaimer:

This post is not a substitute for professional financial advice or independent research and verification. Financial outcomes are subject to individual financial situations, as well as known and unknown risks and uncertainties.

Sources:

1. https://www.fscb.com/blog/6-financial-strategies-you-need-for-your-30s

2. https://www.takechargeamerica.org/5-smart-money-moves-to-make-in-your-30s/

3. https://theeverygirl.com/10-money-rules-women-30s/

4. https://www.kiplinger.com/personal-finance/604478/3-start-small-financial-goals-for-every-woman

5. https://au.finance.yahoo.com/news/women-money-life-stage-015634769.html

6. https://www.forbes.com/sites/avivahwittenbergcox/2020/05/10/4-phases-of-womens-careers--coping-with-the-crisis--the-30s/?sh=1316fd2e4fc8

7. https://www.kiplinger.com/retirement/601281/the-5-times-when-you-should-review-your-financial-plan

8. https://www.investopedia.com/articles/younginvestors/08/eight-tips.asp

9. https://www.moneysense.gov.sg/articles/2018/10/getting-married-planning-your-finances-together?sc_lang=en

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11. https://www.truist.com/resources/wealth/articles/10-steps-to-financial-freedom-in-your-twenties-and-thirties

12. https://www.sbcp.bank/blog/banknotes-blog/a-common-sense-path-to-financial-freedom

13. https://www.experian.com/blogs/ask-experian/what-is-the-avalanche-method/