Accelerate your money in your 40s

Small money changes in your 40s can bring big benefits later on. Our 6 easy tips can help.

6. Power up your savings

Having some money in an emergency fund for any unexpected expenses can reduce stress. Aim to build up a few months’ worth of expenses, but start with a goal of $500. Store it somewhere where you won’t be tempted to spend it.

5. Sort your mortgage

If you have a home, think about how you can pay off the mortgage faster. Maybe it’s paying off more each month, restructuring your mortgage, or shopping around for a better interest rate. Seea mortgage broker or your lender who can offer suggestions on how to do this. If you’re renting, it’s not too late to make plans to buy.

4. See the experts

Seeing a financial adviser in your 40s (and regularly after that) can put you in a great position to meet your money goals for the retirement you’d like, and help you with investment decisions.

3. Check your KiwiSaver fees

Fees eat into your hard-earned KiwiSaver money and reduce your balance. Check how much you’re paying in fees using the Sorted KiwiSaver Fund Finder and make sure you’re happy with what you’re paying.

2. Get your protection in place

With hopefully a healthy pot of money building for retirement, you want to try your best to not lose it. Diversify your investments, check your insurance cover, and stay on top of the latest scams. Divorce is most common in New Zealand during your 40s, and can be extremely costly. A financial adviser can help you set up your money fairly, in case the worst happens.

1. Check your KiwiSaver provider and fund

Research your KiwiSaver provider and fund type and check they are both right for you. If you’re not sure who your KiwiSaver money is with, you can call IRD. Helpful tools to compare include the Sorted KiwiSaver Fund Finder and Smart Investor websites. Make sure you’re getting good value for your fees, and find out if you prefer an active or passive investment style. It’s easy to switch KiwiSaver providers and funds. 

Story by Claire Connell, JUNO

Published 24 June 2020

Pie Funds Management Limited is the issuer of the JUNO KiwiSaver Scheme. You can read our Product Disclosure Statement. This article is general in nature only and has not taken into account any particular person’s objectives or circumstances. We recommend you speak with an independent financial adviser. All content is correct at time of publication date.