A critical element in maximising an individual's financial position is the ability to recognise the moment in their life when they can give their wealth accumulation activities a significant boost, according to HLB Mann Judd wealth management partner Jonathan Philpot.
There were three criteria people should be aware of that would help them identify the appropriate life stage when their wealth building could be enhanced, Philpot said.
"On the income side of things it's when you've probably had most of your big pay rises and you're at the top end of your earnings in your career," he said.
"A second indicator is when the house mortgage is less than 50 per cent of the home value. When the mortgage is more than 50 per cent of the home value the focus should still well and truly be on getting that mortgage down, but once it's at the 50 per cent level or lower you need to start making some other financial decisions.
"Most importantly is really having that desire to want to start putting money away for sometime in the future. A want to build wealth."
In regard to demographics, the time to improve an individual's wealth creation usually coincided with their 40s, he said.
Missing that opportunity to boost wealth could be costly and could make a noticeable difference to a person's retirement savings, he said.
"Missing out on a couple of years of savings and its compounding effects over 10 to 20 years can make a huge difference to the money they have saved," he said.
