Conquering Your Goals

After you’ve tackled the project of landing on a SMART stated goal that fits you, your life and aspirations, the real work begins. Conquering your goals doesn’t need to be overwhelming though and those really big goals don’t have to be intimidating… It’s as easy as 1, 2, 3…

COURAGE

It takes a considerable amount of courage to say it’s time for you to tackle your goals. Having the courage to say you’re ready and initating action is the first step to conquering your goals. You need courage to acknowledge that you are capable, that the time is right and that you are ready to make room in your life for success. When starting the path to accomplishing a goal you need to have courage because you cannot know where the path will take you. Many of us fear the failure and setbacks that are often found on the road to success, having the courage to start trying regardless of the outcome is half the battle- the rest is hard work.

CHALLENGE

Once you have the courage to conquer your goals, you need to challenge yourself to pursue them. The challenge is modifying your daily schedule to make room for your goals and pushing yourself to depart from what you once knew. You need to challenge yourself to take acttion on the micro steps you’ve laid out for yourself on the path to your goal and accept that you’ll face challenges along the way in the form of everyday life events and limited time in your schedule. Challenge yourself to make the room and stay consistent in your efforts.

CHANGE

The third C to conquering your goals is change… specifically accepting and embracing change in your life as you get closer to your goals. Change can be uncomfortable and at times as outside distractions push their way in it can be easier to revert to previous habits. You need to embrace change to conquer your goals. Sticking to the changes you’ve made is easier with a support group or a person who can hold you accountable to the new standards you’ve set for yourself.

Have the courage to challenge yourself to change!

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Life By Design Investment Advisory Services is a registered investment adviser. Information presented is for educational purposes only and does not intend to make an offer or solicitation for the sale or purchase of any specific securities, investments, or investment strategies. Investments involve risk and, unless otherwise stated, are not guaranteed. Be sure to first consult with a qualified financial adviser and/or tax professional before implementing any strategy discussed herein.

 

Being Mindful with Money

Our helpful mindful money checklist is a great reminder that a little mindfulness can go a long way.

 

  •  Take stock of where your money may be leaking Specifically monthly expenses you have set to automatic payment. Review your phone, cable and internet plans to see what you are actually using. Are you using all your music, storage, gym and/or movie services? The latest bundling packages can swindle you into unlimited, data, or channel plans you don’t actually use or that change in price after a promotional period. Average new year savings found is $100 per month SAVINGS of $1200 per year

 

  •  Schedule a weekly review of your finances Take time each week for a financial date with yourself (or with your partner) to check in on payment deadlines, upcoming expenses and a review of recent spending. Taking a weekly approach removes the sense of an overwhelming task as it’s something you address regularly (i.e. no surprises, less stress) SAVINGS on interest, late payments, etc.

 

  •  Set long-term goals Let your aspirations in life guide your finances and your approach towards money. Consider where you’d like to be in five years (new home, cars paid off, etc.) and let that be a driving force behind how you spend your money and where you dedicate your time. Take the $6 morning latte for example, would preparing your coffee at home a few days a week instead of buying launch you toward your long-term financial goals? Saving $25 a week if you stop just 3 or 4 visits SAVINGS of $1200 a year

 

  •  Meet with Your Homeowners & Auto Insurance Agency to Review your Policies I often times see clients not reviewing this on average for 5 years, then we discover the policies can be shopped around with strong competitors and with bundling an average savings of $50 dollars a month (plus many times an increase in coverage!) can be found SAVINGS of $600 per year

 

  •  TollRoad Avoidance Yes, this is convenient in our OC, however considering a new route and little more time allocated, in many cases leads to a $50 per month reduction and that stacks up to another SAVINGS of $600 per year

 

  •  Be patient, but know when to walk away When it comes to your money be mindful of the fact that radical changes typically don’t happen overnight. Investments often take time to yield the profits you hope for and changing the state of your debt requires endurance. That being said, take note of whether you are invested in something that’s losing you money or no longer has the same value to you that it once did. Learn when to call it quits and consider talking exit strategies or big changes with your financial advisor. SAVINGS should be of value to your Life By Design

 

  •  Remember to account for inevitable expenses Car maintenance and broken appliances are rarely planned events, but some events are foreseeable based on age, like retirement or changing health. Other inevitable expenses to keep in mind as you spend? Money spent on prescriptions, contact lenses, membership fees, classes, etc. Many of these items may not be on auto-pay, but you’d do well to keep them in mind as fixed expenses. SAVINGS not depleted by the occasional additional expense

 

TOTAL SAVINGS: $3600+/year

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Life By Design Investment Advisory Services is a registered investment adviser. Information presented is for educational purposes only and does not intend to make an offer or solicitation for the sale or purchase of any specific securities, investments, or investment strategies. Investments involve risk and, unless otherwise stated, are not guaranteed. Be sure to first consult with a qualified financial adviser and/or tax professional before implementing any strategy discussed herein.

 

Your Guide to Financial Goal Setting

Achieving your financial goals isn’t always easy. American’s with a plan in place are more likely to make positive progress towards achieving their financial goals. A recent survey found, 56 percent of people with a plan in place reported making good or excellent progress towards their savings needs, compared to only 24 percent of those who didn’t.* We’ve got five steps to assist you in the setting of your financial goals.

Step 1: Give your goals a “why”

Numbers do not often translate to an emotional response. That’s why it’s important to give your financial goals a “why”. Placing a highly personal purpose behind the numbers can be a big motivator in achieving your financial goals. After all, financial goals and life goals go hand-in-hand, often supporting one another.

Step 2: Make your goals measurable

Ambiguity won’t be your friend as you workto set goals. Focus on being as specific as possible instead, your goals should have a measurable and definitive finish line. This will help you track your progress and feel a sense of accomplishment once you achieve your goals. This is exactly the concept behind our planner ‘MyGoals’ which walks you through the entire goal setting process from discovery to accomplishment. For example, if you have a goal to save money for a down payment on a new car, choose a number. While you may not know exactly what car you wan or how much it’ll cost yet, put an estimate to your goal. Instead of saying “I want to save some money and buy a new car next year,” try “I will put $250 in a separate savings account for the next 12 months that will be used as a down payment for a new car.” This provides a clear, definitive goal that you can track month after month.

Step 3: Be reasonable

As you look to set a goal, you must evaluate your current financial standings in comparison with your desired financial picture. If you’d like to accumulate a certain amount of wealth prior to your retirement, you need to figure out how it can be done. If your current saving and spending habits support this goal, then you’re likely on the right track. But if you’re often spending more than you’re saving, then you may need to either adjust your goal or adjust your current spending habits.

Step 4: Set a budget

While mentioned in step three, evaluating your spending habits is a tip worth repeating. If your spending habits don’t support your goals, you’re likely fighting a losing battle. Create a monthly budget that supports your future financial goals and current needs. A popular budget breakdown is 50/30/20:

50 percent on needs (groceries, rent/mortgage, utilities)
30 percent on wants (shopping, eating out)
20 percent on health and wellness (medications, lifestyle choice)

For example, if your income after tax each month is $4,000, you’d spend $2,000 on necessities like your car payment, electric bill and rent or mortgage, $1,200 on entertainment, shopping and weekend trips and $800 would go toward medications, health and wellness lifestyle choices. While everyone’s financial circumstances and current needs differ, this ratio can be a great place to start as you look to draft a budget.

Step 5: Balance short-term needs and long-term goals

Money is nothing more than a tool. The reason you set financial goals in the first place isn’t to simply accumulate more money, it’s to accomplish something that’s pertinent to you and your happiness. It’s crucial to strike a balance that allows for more continuity in lifestyle prior to and during retirement.

If you have a financial milestone you’d like to start preparing for, it’s important to begin with a plan. Work with your financial advisor to evaluate your current needs and spending habits to develop a realistic goal and plan of action based on your unique financial picture.

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Life By Design Investment Advisory Services is a registered investment adviser. Information presented is for educational purposes only and does not intend to make an offer or solicitation for the sale or purchase of any specific securities, investments, or investment strategies. Investments involve risk and, unless otherwise stated, are not guaranteed. Be sure to first consult with a qualified financial adviser and/or tax professional before implementing any strategy discussed herein.

 

Retiring Abroad

If you dream of living abroad, retirement may be the best time. Over half a million Americans living outside the US receive some Social Security, and that number is expected to grow. Many retirees cite cost of living as their reason for moving, while others say health care costs contribute to their move away from the U.S.

Try Renting First (or Forever)

It’s a good idea to spend some time in the area you’d like to live in to see if it suits you. Renting for a few months will expose you to the good and the bad the country has to offer and gives you the flexibility to move locations if the first one doesn’t feel right.

Don’t be too attached to the idea of eventually owning, either. While homeownership is part of the American dream for many, chances are you may not be able to purchase property in your new country. Depending on where you move to, there may not be a distinct benefit to owning over renting, and you may find that you enjoy the freedom of traveling at your leisure.

Do Your Research

It’s important to understand the residency requirements for the country of your choice. Take some time to research these requirements, like minimum income requirements, to ensure that you qualify before retirement and moving.

Once you’ve committed, be sure to brush up on current international banking regulations. You may want to consider holding on to your current state-side bank, but note that some banks frown on maintaining an account if you don’t have a U.S. address. If you choose to open a bank account in your new country of residence, you’ll likely have to file an annual report with the U.S. Treasury Department.

Be Realistic

Your move may mean forgoing some of the conveniences you’ve grown accustomed to in the U.S. Think cheap gasoline, convenience stores on every corner, a large house and yard, and central air conditioning. If you’re moving to an area where these luxuries are a rare commodity, be sure you can and want to live without them before taking the plunge.

While not for everyone, retiring outside the U.S. can be exciting and rewarding. If you’d like to build a retirement abroad into your current retirement savings plan, give us a call.

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Life By Design Investment Advisory Services is a registered investment adviser. Information presented is for educational purposes only and does not intend to make an offer or solicitation for the sale or purchase of any specific securities, investments, or investment strategies. Investments involve risk and, unless otherwise stated, are not guaranteed. Be sure to first consult with a qualified financial adviser and/or tax professional before implementing any strategy discussed herein.