You have officially reached middle age - welcome. At this time, you are likely entering peak earning years and probably earning more than ever before. Congratulations! Hopefully, your net worth is growing and you debts are lowering. However, you may find yourself with other financial concerns that need your attention. Let’s take an inventory of what you may be facing financially.

Credits

In your 40’s, you should have five years worth of annual income saved. This is important, because you just don’t know what could happen health wise or with your job. Having this much of a cushion can help you over the rough spots.

At this time, you may be faced with inheritance. By using the skills of a financial planner, you can invest it probably. It is also wise to look at your own will. Make sure that it is up to date to meet your needs.

According to the Federal Reserve’s latest survey of consumer finances, the median income for persons in their forties is $58,000. Approximately 59 percent of people in this age range are taking advantage of workplace retirement plans or IRAs.

Debits

At this stage of life, you could be faced with helping to pay for your children’s college education. Perhaps you had been able to save some money towards this. As a parent, you would like to give your children a good start in life, but do not take away too much of your own future to achieve this. Don’t shortchange your retirement savings to pay for a college education. Seek out low cost financing alternatives to help in this situation.

The Federal Reserve has determined that people in their 40’s general carry a credit card balance of $2,900 and one in ten people have more than $10,000

You probably have mortgage payments and car loans to be paid off. Because you are making more money, remember to live below your means. Now is not the time to skimp on your savings. By working with a financial planner, you can still be on track to meet all you financial goals and commitments.