3 Money Milestones Everyone Should Reach by 40
Age 40 might be the new 30, but that doesn't let you off the hook from meeting some important financial goals. Here are three key milestones you should aim to hit by the time your 40th birthday rolls around.
Unplanned expenses can pop up at any point in life, but the older you are, the more likely you are to own items, like a home or a car, that cost you a bundle out of the blue. Furthermore, you never know when you might get sick and rack up a host of medical bills or lose your job and struggle to find a new one for months. That's why you need an emergency fund -- money in savings to cover you for such events.
Ideally, your emergency fund should contain enough cash to pay for three to six months of essential living expenses. If you're a homeowner and have children or other dependents, it generally pays to aim for the higher end of that range for added protection.
Source Fool.com
