Welfin

Other Goals Planning

Life is all about ticking off your bucket list and fulfilling all your desires that you would not have been able to do otherwise. Especially one without a plan. Apart for wealth building and retirement, these are other goals that are ancillary, yet important.

1. Have a Well-Stocked Emergency Fund

    • It can take away a lot of the money worries that you have since you know that you will always have a reserve should you get into a tight spot
    • Take care of a sudden emergency, such as a job loss or a large medical expense beyond what get covers by your medical insurance
    • Make you more emotionally tolerable in case of your investments, knowing that your survival isn’t at stake due to fluctuations in market

2. Get Out of Debt – Completely

For the moment, let’s ignore the good-debt-versus-bad-debt debate. At some point in your life, all debt is bad debt and needs to be paid off. That includes the mortgage on your home. Although the purpose of that debt may be noble at the beginning, it’s no less a drag on your income than any other debt as time goes on. Getting out of debt means a full control over your income, more money for savings and investing, frees yourself of student loan, etc.

3. Plan for Early Retirement

A recent survey revealed that most millennial are concerned about their retirement and doubt they will have enough to live on. Poor health could make early retirement a necessity. Family circumstances often require more of your time, and early retirement will help you to have it. It’s better to be able to retire early and not need to than to need to retire early and not be able to.

4. Create Multiple Income Streams

Even if you love your job, creating multiple income streams is a form of income insurance. For that reason alone, it needs to be on your list of good financial goals. You may want to start your own business – but don’t want to quit your job – starting a side business could be the way to do it. Several income streams could provide you with an income portfolio that means that you’re not dependent on a single source of income – ever!

5. Plan to Do Work That You Love

Ultimately, the purpose of improving your finances should be to provide you with independence in your life. That means that it should afford you the ability to do what you want when you want