Reaching My Financial Goals Analysis
Reaching my financial goals
Research suggests that the reason people do not stick to their budget is that they do not have spe-cific financial goals.
You probably already have a good idea about what you want to do, if you are able to improve your financial situation.
If you are single, it will be easy to set goals. If you have a partner, it might require some negotiations and it will be even more important to write down the goals you agree upon. Either way, a written plan will help you keep on track and make it easy to check up that you follow your road map to success.
The plan should not only state what you want to achieve but also how you are planning to get there. As you work your way through this book, you should be able to find many …show more content…
Examples of goals could be; get rid of dept, more freedom and less work, travelling, improve your pension, a new car, a house of your own, financial freedom, etc.
• How much you intend to save for these purposes and thus when you intend to reach your goals.
Prioritize your goals. Be ambitious but realistic and be sure that you can.
Analyzing your holdings should help you determine which measures is necessary, if you are to reach your goals
The next chapter “How much do I need to save” might give you an idea about what is needed e.g. if you want to get a pleasant retirement or want to reach financial independence.
How do I get there?
You should examine what you can and what you intend to do to reach your goals:
• How can I increase my income?
• How can I spend my money as smart as possible? You might find, that if your consumption is like in the average household, you might actually be able to saving up to 30% of these cost without missing out on much.
• How do I make sure that I actually reach my goals?
• How can I manage my money in a smart and easy way?
• How do I get my savings to …show more content…
Remember to include your decisions and ideas in your financial plan.
Implement my ideas
Do whatever you need to implement your ideas. Set up budget accounts and monthly transfers, start changing your consumption pattern, invest your money as smart as you can, or whatever plan you decide on.
We will get back to step 2-5 later. You should be able to get plenty of ideas on how you get closer to realizing your goals once we start analyzing your holdings as well as your expenses.
Here is how the financial plan that is the outcome of such a process could look like with some ex-amples:
2016.01.01 Savings & loans Income & costs
1. What are my goals? 1) Get rid of loans this year
2) Save x.xxx $ for a “new” car within a year
3) Save xx.xxx $ for a down payment on a new home within 3 years
4) Start saving for my pension • Increase savings to no less than 30% the coming year
• Avoid unnecessary costs
2. How do I get there? • Pay off dept.
• Sell my stocks.
• Start a savings account with xxx$ in monthly transfer.
• Build a financial buffer with x.xxx$ • Save at least 30% on food by avoiding waste and buying smarter.
• Cut interest payments by 100% by getting rid of credits and
Research suggests that the reason people do not stick to their budget is that they do not have spe-cific financial goals.
You probably already have a good idea about what you want to do, if you are able to improve your financial situation.
If you are single, it will be easy to set goals. If you have a partner, it might require some negotiations and it will be even more important to write down the goals you agree upon. Either way, a written plan will help you keep on track and make it easy to check up that you follow your road map to success.
The plan should not only state what you want to achieve but also how you are planning to get there. As you work your way through this book, you should be able to find many …show more content…
Examples of goals could be; get rid of dept, more freedom and less work, travelling, improve your pension, a new car, a house of your own, financial freedom, etc.
• How much you intend to save for these purposes and thus when you intend to reach your goals.
Prioritize your goals. Be ambitious but realistic and be sure that you can.
Analyzing your holdings should help you determine which measures is necessary, if you are to reach your goals
The next chapter “How much do I need to save” might give you an idea about what is needed e.g. if you want to get a pleasant retirement or want to reach financial independence.
How do I get there?
You should examine what you can and what you intend to do to reach your goals:
• How can I increase my income?
• How can I spend my money as smart as possible? You might find, that if your consumption is like in the average household, you might actually be able to saving up to 30% of these cost without missing out on much.
• How do I make sure that I actually reach my goals?
• How can I manage my money in a smart and easy way?
• How do I get my savings to …show more content…
Remember to include your decisions and ideas in your financial plan.
Implement my ideas
Do whatever you need to implement your ideas. Set up budget accounts and monthly transfers, start changing your consumption pattern, invest your money as smart as you can, or whatever plan you decide on.
We will get back to step 2-5 later. You should be able to get plenty of ideas on how you get closer to realizing your goals once we start analyzing your holdings as well as your expenses.
Here is how the financial plan that is the outcome of such a process could look like with some ex-amples:
2016.01.01 Savings & loans Income & costs
1. What are my goals? 1) Get rid of loans this year
2) Save x.xxx $ for a “new” car within a year
3) Save xx.xxx $ for a down payment on a new home within 3 years
4) Start saving for my pension • Increase savings to no less than 30% the coming year
• Avoid unnecessary costs
2. How do I get there? • Pay off dept.
• Sell my stocks.
• Start a savings account with xxx$ in monthly transfer.
• Build a financial buffer with x.xxx$ • Save at least 30% on food by avoiding waste and buying smarter.
• Cut interest payments by 100% by getting rid of credits and