Tuesday, November 22, 2011

Goal Setting

Regardless of where you are today financially, it is important to set goals. Without a destination in mind, it is hard to go anywhere. A blueprint helps focus our energy in getting us where we want to be. Financial goals are specific things you would like to accomplish and are unique to your own families needs and wants. While keeping in mind to be flexible as your goals may change as time or circumstances call for, having nothing written down at all is one of the worst things you could ever do if you truly are desiring change. You should have goals for short term ( 0-1 year) Medium Term (1-5 years) Long term (5-10 years) and maybe even Longest terms ( 10 plus years)

To give you an example I will share my families short, medium and long  term goals.

Short Term ( 0-1 Year)

Increase Income
1 year of stocked food
Re-start automatic investing ( it has been on hold for this month and next)
Contingency fun ( 6 months expenses saved)
Get Medical and Dental Insurance
Workable Budget in place
Self Sufficiency
Start Business
Change of Employment
Get Life Insurance
Buy House

Medium Term Goals ( 1-5 years)

Increase Income
Eldest Daughter's Wedding Fund
Study abroad expenses (for son)
Trip across America on horseback
Early Retirement ( hubby's goal to retire from 9-5 world on 45th birthday October of 2015)
Adequate Retirement income
Rental Unit (multi-family units) purchased
Buy eco-friendly car
Dream Vacation ( New Zealand)
Educational Expenses Fund
Income tax minimization
Provide for survivor in event of death

Long Term ( 5-10 years)

Study abroad expenses fund ( youngest daughter)
Educational expense fund ( youngest daughter)
Financial Independence
Youngest Daughters wedding fund

While these perhaps may seem ambitious, even impossible to some for sure, these are the goals we have set for ourselves. The next step is creating an action plan for how to accomplish these goals that will go into another post!

What are some of your goals? feel free to share in the comments I love hearing from others! WE CAN DO THIS!