1

Financial Goals

Consumer Math 2012-2013

2

Overview

• What Does A Financial Goal Look Like• Examples Of Financial Goals• How To Meet Financial Goals• Evaluating Outcomes

3

What Does A Financial Goal Look Like?

• What you plan to accomplish• What resources you’ll need to make it happen• How much time you’ll need to make it happen• How you plan to make your goal fit into your

overall budget and life

4

Examples of Financial goals

1. Insure against risk (insurance)2. Put 10% of Pretax income away for retirement

(IRA)3. Amass equity in real estate (insurance, taxes and

maintenance)4. Build an emergency fund (3-6 months)5. Pay off your consumer debt6. Create monthly budget7. Career Goals

7

SMART Goals

SMART

8

How to create financial goals

1. List them2. Estimate Cost3. Set a target date (or series of dates)4. Determine the cost to meet goals5. Budget for goals6. Re-evaluatehttp://money.cnn.com/magazines/moneymag/ontrack/index.html

9

Goals By Age

• http://www.wellspringfg.com/new/wellspringfg/content.asp?contentid=2017034997

10

Example

How would you achieve the goal of buying a new, $25,000 car?

11

Tips

1. Be realistic2. Stay motivated3. Deal with setbacks4. Don’t get overwhelmed – consolidate goals

12