Identifying Goals And Objectives To Improve Your Personal Financial Situation

The upcoming new year offers a new beginning and for many, this is as good a time as any to look at your own financial goals. Take this time to reset, perhaps put the past behind you and set yourself some goals and objectives and a plan to achieve them.

Many people seek advice to improve their financial situation and turning to a financial planner can be a good step towards simplifying your finances and setting achievable goals. This in turn will give you greater confidence to plan for your future.

Your goals and objectives will change over time so you should be thinking from the next 2 years to the next 20 years. At each stage of your life, you will need a different plan to suit your circumstances. Some of the common goals and objectives are:

Ages 20-35

You are likely to be establishing a career and probably starting a family. Your goals may include:

• Buying a new home
• Paying off your student loan
• Travel
• Start an investment portfolio – investing for growth
• Planning a business
• Contemplating marriage/kids
• Insurance to protect your income and loved ones
• Thinking about retirement – it’s never too early and a little goes a long way with super contributions
• Paying for school fees
• Start an emergency fund

Ages 35-50

This is a time to consolidate, accummulate and plan for the future. Perhaps thinking about achieving a more comfortable lifestyle, and seriously considering what retirement will look like: Common goals at this stage include:

• Investing for the future – whether this is for retirement or for the kids
• Managing debt – consolidating personal debt in a more effective manner
• Insurance – protection of lifestyle and dependents
• Retirement goals – think about how much you need for retirement
• Caring for your aging parents – how best to organise this
• Renovations / upgrades to the home

Ages 50-65

This is a time to start thinking about what your retirement will look like. Your priorities may change during this time as your family is growing up. Your goals may include:

• Eliminating debt
• Estate planning – getting your wills done professionally
• Succession planning – if you run a business, you should be thinking about an exit strategy
• Consolidate your investments – perhaps adjusting your investment risk appetite
• Helping your children – involving them in decision making
• Retirement goals – adjusting your investment strategy

Ages 65+

You have worked hard to get here so this is a time to indulge and enjoy your family, travelling etc. Your goals could be:

• Asset protection
• Aged care planning
• Holidays – think about how much you want to spend each year
• Investments – preserving capital
• Estate planning – think about gifting

Your financial planner can help at each stage to ensure you have the tools and information you need. Financial advice is always evolving so your financial plan has to evolve with your situation. The important part for a financial planner is to marry up your finances with your goals, and ensure that financially you are able to achieve what you want to achieve.     

These goals don’t have to be big, they just have to be important to you so you can celebrate when you tick them off your list.   If you would like to take some time out and require some help to set your goals, we would be more than happy to help.