Late Bloomers: Is It Too Late To Take Control Of Your Finances?

If you believe the expression that it’s “never too late,” then you’ll like what financial experts and gurus around the globe will tell you about money as it relates to being, in this instance, for the above 40-year-old crowd.

Let’s call it late bloomers or just finally, at 40, getting to the point where you have the salary, stability, and knowledge to start saving or planning for the future (at least the way you would have wanted to). If you weren’t able to make that happen in your 30s, whether that was due to your job situation or just being bad with money, you have plenty of time to turn things around for good and become more consistent with your cash.

First, you have to come to terms with retirement and that it is about 20 to 25 years away. You may not have been saving for retirement as long as others, but you’re hardly behind the proverbial eight ball. You might want to consider bumping up your contribution number so you can play catch up, but also looking for ways to save money a little faster and at a better pace, without sacrificing the essentials or completely shutting off the idea of doing anything other than pay bills and save.

Your house and car, the two most significant staples of responsibility, from an expense standpoint, are key areas. The vehicle you have (or perhaps own) should be one that should be kept even if it’s paid off. In fact, having a car that no longer has a car payment attached to it would be ideal for someone who’s a little older and wants to maximize their savings plan.

As far as the house goes, that’s always a good investment no matter what age you’re reached, and if you’re looking for places to invest into, why not start where you rest your head every night? Putting money back into your house only means that when you are about to retire, it will be paid off and just have more value and equity built into it.

Refinancing to save money also is an option, notably if you’re lowering your interest rate and thus shortening your term. You can have the opportunity at 40 years of age, for example, to have a lower rate, 15-year plan and have the house paid off at 55.

Taking hold of your financial future can happen at 20 just as easily as 40. If you choose the latter, all hope isn’t lost. It means working smarter, diligently and having little room for error financially.