Building Your Own Personal Financial Plan For Your Future

Building your own personal financial plan will be crucial in your success in managing your money and investments. It also helps you visualize your path to a brighter financial future.

Personal Financial Plan Definition

A financial plan is used to organize how you handle your money and finances so you have less stress and are on a path to long-term success.

A Personal Financial Plan Doesn’t Need to Be Complicated

An easy way to get started on a financial plan, is begin tracking your net worth. This is a simple habit that keeps you on top of your finances and financial growth. I recommend Personal Capital, which is free and easy to use. It does all the heavy lifting for you.

Your Financial Plan Should Really Do Three Things

Am I saving money? Is my spending out of control? What does my retirement look like? Do I have a will? Am I paying off any debt? No matter how bad it might be, these numbers and information need to be known.

Analyze your current state of finances

Your Financial Plan Should Really Do Three Things

What do I want to accomplish in a year, five years, ten years, and beyond? Many times, your future goals may shift, but it’s good to get this on paper and know what you want to work towards.

Write down your specific goals

Your Financial Plan Should Really Do Three Things

Under each main goal, you can add some simple actionable steps to how you are going to get to that goal.

Actionable steps to get towards those specific goals

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