In all things financial, don’t let fear or lack of knowledge paralyze you—let it motivate you. There’s incredible power in taking charge of your finances. You can own your financial future by making smart money moves today.
- Step 1: Get a sense of where you stand financially.
Track your cash flow for a month or two. Get an idea of where and when you spend money. We make dozens of decisions about money every day, most of the time without thinking about them. We don’t typically think about how the small things day to day play into our larger goals for the future.
- Step 2: Define your money goals.
Once you gain a sense of your financial present, look ahead to the financial future. It’s important to take a long-term view and assess your major financial priorities.
What are your money goals? Are you focused on eliminating debt, building your emergency fund, or saving for the future? Are you ready to start investing (or do you want to find out what it takes to get there)? Do you want to make sure that your portfolio is set up to help your assets grow to their full potential?
- Step 3: Make a plan.
You’ve set your financial goals; now how will you get there?
Your goals may change over time – and they probably will, as your financial situation evolves. The most important thing is that you make a careful plan to map out how you’re going to get from point A to point B, and then update it as needed. Revisit your financial plan on a regular basis or whenever anything changes in your financial life.
Being proactive about your money today is essential if you want to own your financial future. By taking strategic steps with your finances now, you can change your reality.