How to Define your Lifetime financial Goals
Attention! This is an article dedicated to generation x, millennials, baby boomers, generation z, etc. Everyone is welcome because I am convinced that age is just a number, that it’s never too late and that this is the perfect time to achieve that goal that you’ve wanted so much to achieve.
For that we list 8 goals that you can choose and fulfill at your own pace, taking into account your personal finances and your current economic situation.
We got all these ideas from The Adventure of my Life, an initiative of our friends at CONSAR, where different financial goals come (short, medium and long term) depending on your age range (18 to 27, 28 to 36 and 37 to 45 years).
It’s time to take action and meet your life goals
Becoming financially independent
Choose a life plan according to your projects and aspirations.
Establish an income and expense plan and set a savings goal, give it a specific objective and meet it.
Why is it convenient for you?
1- You realize how your progress levels are going.
2- If you have clear goals, it will cost you less work to make decisions.
3- Having a goal is synonymous with drive and motivation.
4- You know where you want to go.
5- A goal changes the chip and improves you.
6- You move out of your comfort zone.
It’s important to have financial goals.
The perfect time to save for your retirement is today
Don’t forget to have a Personal Retirement Plan because 7 out of 10 millennials consider it insufficient to obtain a pension equivalent to a third of their current salary (which is what we are all going to receive thanks to the new pension system in Mexico) and they know that the savings accumulated in your Retirement Funds Manager account will be insufficient to stay in the retirement stage. According to study data: What do Mexican millennials think about saving for retirement? made by CONSAR.
Buy a car
Choose a car that fits your needs and current economic possibilities to decide if your ability to pay allows you to buy your car in cash or apply for a bank or car loan.
Remember to take into account the costs that will come after the purchase of your car such as: ownership, insurance, plates, vehicle verification, driver’s license, circulation card, etc.
Get the job you want
Do you know how much your work is worth? Not everyone knows. Suppose you have just been approached to sell your services (nutrition consultations, graphic design, article writing, etc.) but you don’t know how much to charge for those jobs.
Solution: Find your ex-boss, friends in the industry, or your college professors and set up a price table. Ask yourself how much you want to earn and in how long. Set real goals, so you’ll have more arguments to negotiate a raise or find that job you want so much.
Have an emergency fund
The emergency fund is the first savings you owe to start your financial life on the right foot.
The idea is to collect 6 full months of your current salary to survive against unforeseen expenses. Remember that accidents happen, we all get sick and many of us have had moments of unemployment. Nobody is exempt
Do a master’s degree
Find study plans and programs, admission requirements, costs and financing plans.
Project the impact of your studies on your personal or family budget and if you still don’t know where to start, ask yourself this: Am I financially ready for a master’s degree?
Buy a house/apartment
Check out what’s up with the alternatives of credits or loans to which you can have access. If you are going to request a mortgage loan, take into account the payment of the down payment, terms and amounts to be paid according to your economic possibilities and do not forget the collateral expenses such as the deed, remodeling and moving, among others.
When buying a property you know that you are standing on an asset that will be worth much more in a couple of years
Live as a couple (if you wish)
When you start living with another person (in this case, your partner) some expenses tend to be reduced, mainly those related to household services, such as water, gas, electricity, rent, transportation, etc.
But, the costs related to entertainment could increase. Watch out for that. Be balanced.
What does our expert say?
Obviously, we couldn’t finish this article without first asking Pol (our dear friend and advisor) about what he recommends we do in order not to lose sight of our financial goals. This is what he told us:
1- If you have several goals, define the term to know how long that goal should be fulfilled. There will be some that you want to fulfill in a month, a year or ten years, etc.
Put your goals in order and don’t despair.
2- Remember that everything is possible. It’s not about meeting all your financial goals at the same time or leaving them in oblivion, it’s about prioritizing the order of your goals to know which one goes first and which one comes after. Once you have that planning, fulfilling your purposes will be much easier. You can do it.
Everything is possible, just do it little by little