A helpful financial checklist for in your 40s

July 20, 2016

Congratulations. By 40, you’re definitely considered a grown-up. Even if you do eat Haribo and wear Superman underpants. If you haven’t already, it’s time to get serious about your finances. You don’t need the ‘Man of steel’ – you need our handy check-list to keep you on the financial straight and narrow.

  1. Plan to pay off your mortgage

If you took a mortgage out fairly young, you could be coming up to that magical day when you become *fanfare* mortgage free. Consider making extra payments to get you there faster. Even if you took your mortgage out later, work hard towards becoming debt-free by 50 and buy yourself some breathing room.

  1. Review your retirement planning

You’re still in the prime of your working life. Retirement is still a distant dream*/nightmare* (*delete accordingly). But don’t take your eye off the ball. Confirm that your investment and asset allocation strategy is aligned with your retirement goals or that cruise in Barbados will become a weekend in Bognor. If you’re lucky. Make sure you’re putting enough into your pension to allow you to retire when you want to.

  1. Put yourself first financially

This may seem like strange advice. We certainly don’t advocate leaving the kids with holes in their shoes while you show off your Manolo Blahnik’s, but it’s worth thinking about your financially strategy here. You’re part of what’s been called the ‘sandwich’ generation. There may be a time in your life where you need to financially help both your children and your parents to some extent. Make sure that you’ll be able to support yourself first. It will undoubtedly be easier for you or your children to borrow for their education than it would be to borrow for your retirement.

  1. Strengthen your emergency fund

As your family grows, there’s more chance of unexpected expenses. Once you have 6 month’s income saved, keep it topped up. Don’t be tempted to eat into it. Even if you really, really want those Laura Ashley curtains.

  1. Think about insurance

Urgh. We know you’d rather think about anything else. But it’s important. Life insurance helps your family to replace your income should you die. If you initially took this out when your income was much lower, chances are you need more insurance now to replace your higher income. You may also want to consider other insurance options such as disability cover or health insurance.

  1. Keep yourself in demand

Make sure your skills are up to date – if your industry is changing, invest some time in training and keeping yourself at the cutting edge. It will make you infinitely more employable. If you’re confident that you’re at the top of your game, think about whether you’re maximising your career potential or whether it might be time for a move.

  1. Schedule a catch up with your Independent Financial Advisor. If you need advice on any aspect of your financial planning, speak to a professional (*hello!*). Good financial advice can pay for itself many times over.


This article is for general use only and is not intended to address your particular requirements. It should not be relied upon in its entirety and shall not be deemed to be or constitute advice. The value of your investments can go down as well as up, so you could get back less than you invested.  

 GreenSky Wealth Limited is authorised and regulated by the Financial Conduct Authority. FCA No. 629624. Registered Office as above. Registered in England and Wales, Company No. 07103441. Wills and estate planning are not regulated by the Financial Conduct Authority.