HOW ARE YOU GOING TO MEET YOUR FINANCIAL GOALS?

When I look at my goals for the three and six year time frames it seems a little daunting to me. I ask myself "Is this really possible?" I went back over the numbers and decided that I really could meet these goals without cutting myself short in my everyday life.

I actually think that if I follow my plan, and we don't have another complete meltdown in the stock markets. So, what am I going to do?

1. Maxing out my Roth IRA: This in by far biggest monthly investment. The maximum amount that can be invested for 2010 is $5,000. I started in February so i take $5K and divide it by 11. Each monthly payment is $454. To me, maxing out the Roth is my goal that has the biggest priority. 
2. Non-Retirement Investments:  My plan is to dedicate $50 per paycheck. That with my current balance will come out to $8,100 over 6 years without any appreciation. Since this is a hobby for me, I'm positive I will be making random deposits as I save money. I don't think 10K will be a problem
3. Reduce my credit card debt to $2,000 in 6 years. I currently make a set payments of $325 a month regardless of the minimum payment. Given this plan, I will be debt free (assuming I don't use the cards) in 6 years and 7 month. 
4. Workplace Retirement to $66,000: My current balance is about $9,000. I contribute 5% of my income and my work matches 5%. Assuming a small appreciation, I should be able to meet this.

Like I said, these goals are ambitions, but they are not out of reach for me. Each one of you will need to take your situation into account. Your goal might be to pay $20 more than the minimum on your credit card and put 1% into retirement. The point of this exercise is to figure out what is possible for you.

Two days ago, we looked at your expenses. Is there somewhere you can find a little to trim in order to help you work towards something better. 

This is the last post that focuses on preparation. Since almost everything financial happens during the week, I will not be posting until Monday. That is when I will begin focusing on topics that might help you find that little extra money that will help you out. Or, I might give you alternative ways of thinking about your goals and processes. 

Give this a try and see what you come up with. See you on Monday with some more information. Hopefully I'll get a couple more readers by then!

Cheers,

Jasper