Week Two Review
When I started my financial journey at the beginning of this year, my first actions were to get a birds eye view of my assets and liabilities. This approach allowed me to lay the foundation for my financial goals. After determining my liabilities, my first SMART goal materialized: to eliminate my credit card and student…
When I started my financial journey at the beginning of this year, my first actions were to get a birds eye view of my assets and liabilities. This approach allowed me to lay the foundation for my financial goals. After determining my liabilities, my first SMART goal materialized: to eliminate my credit card and student loan debt by year-end. So how much credit card and student debt do I have? A whooping $20,860. This not only gives me a clear target but also provides me with a sense of accomplishment if and when I achieved it ahead or on schedule.
Furthermore, my second SMART goal is to save $15,000 for the purpose of acquiring a new home. Aspiring to be a homeowner while residing in California may seem challenging, but through meticulous planning and leveraging savings from previous years has positioned my partner and me with confidence to achieve this significant milestone in the coming year. This goal not only reflects our commitment to long-term financial stability but also serves as a testament to the power of strategic planning and disciplined savings.
In addition to debt elimination and home acquisition, I recognized the importance of securing my financial safety net. Although maintaining a one-month emergency fund is a commendable start, I am dedicated to elevating my financial resilience further. Hence, my third SMART goal is to increase my emergency fund by $10,000 by the end of the year, ensuring that I have a robust two-month cushion to weather unforeseen financial challenges.
The journey towards financial success is complex, requiring a blend of commitment, strategic planning, and discipline. By setting and diligently working towards SMART goals, I am not only reshaping my financial landscape but also cultivating habits that will pave the way for a secure and prosperous future. Each milestone achieved brings not only financial satisfaction but also a sense of empowerment, reaffirming that with focus and determination, any financial goal is within reach. As the year progresses, I remain steadfast in my pursuit of these goals, confident that the journey towards financial well-being is both transformative and rewarding.