We have now almost finished the goal setting process of this system as we now only need to set up financial goals.
For most of us this is the exciting stage where the benefit of the whole system is seen in dollar values.
How to set financial goals? How to measure and review financial goals?
Financial goals can be set with three main targets.
How much income do you want to generate in a given time period (e.g. in one year over 5 years)
How much return or ROI do you want on your assets (forex, stocks, bonds, investments etc)
How to get to income / ROI targets (the real plan!)
You can generate income by getting a job, consultancy, self employment, starting a business and various other ways.
There are basically four stages that a person goes through before becoming financially independent:
- Employed (having single boss for one paycheck)
- Self employed (being a consultant, freelancer, contractor etc)
- Business owner (employing other people to do work – not directly working for the business yourself)
- Investor (investing in other businesses, flipping businesses is the most lucrative way to make a lot of money very quickly)
You can invest in real estate, venture capital, stocks, bonds, forex etc.
Why do we always look at financial goals first?
Our natural human nature might want us to place financial goals first – but this may result in us losing focus of the most important thing in life – happiness.
Let me explain – deciding on a high paying career might be exciting – but in the long run less rewarding as you will not want to continue with it – if it does not meet personal, family and social goals – which are in more critical to achieving the Life Vision Statement.
The system has been designed to first identify what your passionate about and then turn that passion into profit.
Next you need to set up a spreadsheet to continuously monitor if your meeting the financial goals that you have set out – typically you should review your financial position monthly to ensure that you are hitting the target at the end of the year.
Please comment below on your own financial goals and how you tracked your progress.