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©Career & Financial Pathways LLC 2019, All Rights Reserved
“I don’t have time,”
“I don’t know where to start,”
“I don’t have any money so why even try?”
“I can’t trust anyone,”
“I don’t need the sales pitch,” or
“I just want to learn from someone that has an experienced, objective viewpoint.”
Any of this sound familiar to you? There may be other reasons why you delay getting your “money life” in order. Just recognize that the longer you delay, the more of a hole you dig for yourself! It’s time to map out your plan to financial freedom!
Your Pathway to Financial Freedom has five “sites” for you to visit. Each requires some exploring, learning, and ultimately a commitment to productive change. You don’t “sprint” down the pathway. Rather it is meant as a “marathon,” requiring you to stay the course to realize the benefits. The five sites are also meant to be followed in order – no shortcuts! Here are the places you need to visit:
1. Discover your money psychology and money-related habits to create and declare your personal financial goals
You need to examine your time and align it with your values and goals. Where are you currently spending your time? Does it match with your “Why?”. Your “Why?” is your ultimate reason you devote time to any activity. Understanding your priorities puts you in the best position to create meaningful personal financial goals.
You then “declare” your goals to yourself and others that are important to you. It lets them know that you are committed to productive change. If working as a couple, you decide together, and be ready to compromise!
2. Create a plan for your cash flow
Once you decide what your goals are you then must assess your current money habits and realign your spending to match the goals. You are now the CEO of a company called “You.” You must make sure every dollar you earn is doing the job that you need and want it to do for you.
There is a period of transition here, so allow yourself time (60-90 days) to assess where you currently spend money. Then decide what productive changes you need to make going forward. Use of a budget app makes the task easier. Once you have some data to work with, you create your financial statements and calculate your ratios. This information helps you keep track of your progress along the pathway.
3. Save and invest to achieve your personal financial goals
From what you discovered and declared during your first stop on the pathway, you will have a variety of purposes for your money, some near-term, some intermediate term, and some long-term. The short-term goals will require you to gather some of your reassigned dollars to build an emergency fund of 6 to 12 months of necessary expenses.
Your intermediate term goals will need you to assess the risks associated with investing. Will your timeframe enable you to earn potentially higher returns without posing an undue threat to your principal?
Finally, are you emotionally and behaviorally prepared to achieve your long-term goals through the use of riskier investments such as stocks and real estate? It is critical to understand your tolerance for risk, the return you need to reach your goals, and the timeframe you have to attain them. You want to “sleep well at night” while still realizing your goals.
4. Identify risks that may get in the way and take steps to protect yourself
Your journey is now in earnest, but you have yet to arrive at your final destination of financial freedom! Many potential risks stand in your pathway. You need to identify them and take actions to protect yourself lest you fall off your path and never reach your final destination.
Protecting your earning power is essential. If something stops you from earning a living, then you and your surviving family members will be okay. There are also numerous daily risks you face. Some you can assume, some you can avoid, some you can lessen, and some you can transfer to an insurance company. Each of these risk management strategies helps ensure that you stay on the path and ultimately reach your destination.
5. Engage professionals you need for your “team” and stay committed to the long-term
You are the owner of a company called “You”. However, it sometimes pays to hire top talent to help you run your company and achieve success. You will need several “team members” for your operation. These include an estate planning attorney, accountant, real estate agent, banker, investment advisor, insurance agent, and potentially others.
If you have significant assets and less time to devote to managing your affairs on your own, you may even decide to hire a “General Manager”. The GM oversees everything and makes sure everything gets done. The GM, in the form of a Certified Financial Planner ProfessionalTM, helps you identify and evaluate critical team members. They also track your overall progress and hold you accountable for your role and responsibilities.
Finally, you must have faith in your plan. Whether by yourself or with the GM, you monitor your progress along your path and allow for necessary changes. But you must also let the program do its job.
How will you feel when you finish your marathon? The truth is that you should take the time to enjoy the journey! Don’t look too far down the path and don’t be so anxious with your progress that you miss the many other sites along the way!
That’s what takes you back to your “Why?” – Why are you doing this in the first place? Be sure you understand your real priorities, create your goals to match those priorities, and be prepared to make the necessary tradeoffs during your journey.
A “GPS” to Help You Navigate Your Pathway
I have designed a “GPS” to guide you and improve your chances of attaining financial freedom. I have created an online, on-demand course called the Pathway to Financial Freedom Program.
The course consists of 5 modules containing 12 sessions – each 15 to 30 minutes in length. You take them at your own pace and time – even in the middle of the night if that’s when you have time to spare!
The program guides you through the process of creating a foundation for your personal finance. It also includes thought activities and additional resources to put your plan into action to make sure that it happens.
It will educate and empower you to take control of your money. You will be able to address any financial challenge you may face in life. It will prepare you to create and implement the plan on your own or to effectively deal with professionals that can help you.
You can register for the program by clicking on this link:
If you prefer to “try it before you buy it,” you can take the first session for free by using this link:
There is a 30-day money back guarantee so start your journey now!
Questions? Contact me at firstname.lastname@example.org
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