“Plans are nothing; planning is everything.” Dwight D. Eisenhower.
Many people have a financial to do list they would like to achieve at any time. These can include travel, starting a business, saving or giving back. However, a step many people forget is to actually write down what they plan to do. Taking time to list your plans fosters a higher level of mental commitment and gives you a momentum to achieve your goals which you wouldn`t otherwise have.
A simple financial to do list could include:-
- Pay off all your debt
Paying off debt means peace of mind and less stress. Debt-induced stress can reduce your productivity in many other areas of your day to day life. In addition, it can reduce your retirement spending abilities, and ruin your current budget. Paying off debt can be done. One just needs to have a plan, and stick to it.
- Own your home
This ties in closely with point number one, and it can also be seen as achieving the ultimate financial freedom. Owning a home is seen as an expression of personal freedom, and it marks a milestone in one’s life, giving homeowners a sense of pride and accomplishment. It also means you will eliminate one regular expense from your monthly expenditure; rent. Who doesn’t want that?
- Save for your child’s academic future
Education can be expensive. Especially private education. There is no doubt that saving for your child’s future should be on your financial bucket list. Make sure to start as early as possible, and use simple tools like unit trusts to safeguard your children’s education.
- Emergency fund
Having an emergency fund is crucial to having a sense of safety. Many experts state you should have between three and six months of living expenses in your emergency fund so that you can combat unexpected medical expenses or home repairs without putting financial pressure on your finances.
- Give to charity
Being able to give back is something worth considering, and not just during this season of Christmas. Consider small acts of charity like giving out old clothes, donating to children’s homes regularly or even sponsoring an orphan’s education. The reward you get is knowing that you made a difference no matter the size of your bank account.
The bottom line
As expected, achieving all these goals on your bucket list requires some financial discipline. Sticking to the seemingly simple plan of earning more and saving more requires serious discipline and sacrifice. It means living below your means, regardless of the level of your means, and making savings a priority. It requires having a plan, saving and maximizing the amount you invest for yours and your children’s future before spending on the extras.
Whether it is giving back to the community or saving for your children’s education, there are many things that can be on your financial bucket list. The idea is to create a list that secures your future time and leaves a legacy of what you believe in after you pass on.
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