When you graduate from college, you start anew, fulfilling dreams and ambitions. The basics of your life are probably laid out for you already: a job, college, marriage, children, a house, vacations, education, and retirement. You might want to pursue a different path. What you choose is your own decision. The most important thing is how you plan to achieve your dreams? What are your plans? What about the financial aspects of your life?  How will you finance your dreams?

If you haven’t written this down, start now. If you don’t have clear goals, you may feel lost. Thus, it is imperative to plan S.M.A.R.T. and to begin as soon as you earn. Prepare for rerouting with a complete plan and clear objectives.

Here are some ways you can achieve your financial and personal goals.

Short Term Financial Goals –

Achieving your long-term financial goals requires baby steps along the way.

• Start a budget –

Do you need a budget? Tracking and analyzing your costs and income is easier if you have a budget. This will help you remain on track and plan for future. Reducing unnecessary expenditures to a minimum will help you increase your savings.

• Pay off loans –

It is risky to borrow money long-term via credit cards and personal loans. Since they have high interest rates for a long time, it is best to avoid them, especially for luxury goods. Inevitably, you may need to take out student loans or home loans. Pay them off as soon as you can, and work toward becoming debt-free.

• Build an emergency fund –

Next, make an emergency fund which can be easily liquidated. An account should be set up to hold six months’ salary of a person. Adding extra money to the account, whether from a bonus, salary adjustment, or by selling unwanted items, can help you build it faster. This account can be used to cover unexpected expenses, like the current pandemic and job losses.

• Mid Term Financial Goals –

In the context of your financial journey, these are intermediate steps. They fall between your short- and long-term goals. As a result of the plan, you will have more control over your finances so that you can still maintain your current lifestyle.

• Life Insurance and disability insurance –

Having a dependent family requires that you obtain life insurance. Insurance policies are available to meet every need, and you can choose the one that suits your needs best. Inform your family about these policies so they won’t be in distress if they need to look for them during a tough time.

Disability insurance

You can use it to supplement some of the income you earned before you became disabled. Due to a disability, you may be able to return to work or need to look for an entirely different type of employment, but this insurance will help you during those months while you are recovering and figuring out what to do next.

• Build passive Income –

Every family has a few dreams and desires that make life meaningful and happy. Getting them right is key as it loses its significance as time goes on. Dreams could be anything, such as a house, car, or vacation. How do you make sure you can fulfill them? By generating passive income. You can invest your money to make it work for you.

• Plan for children’s education and wedding –

Every parent has a planner containing these goals. As soon as your children are born, don’t just save, with the help of an expert invest wisely for these as the cost of education and a wedding will only increase in the future.

• Long Term Financial Goals –

Both the first step in your financial planning journey and the last step in your quest for financial freedom. A long-term financial vision is necessary for you to live a financially stable and worry-free retirement.

• Retirement Planning –

It is best to begin saving for retirement as soon as you start working. You might wonder why I’m starting so early, or what’s the hurry? Start saving now because there is never an ideal time to do so. Inflation will increase the cost of living, so what you need upon retirement will be more than what you earn now. When you start early, you will be able to achieve your financial goals sooner and enjoy an early retirement.

These easy steps will allow you to achieve your dreams quickly, if you have a good head start. The key is to be prepared for any obstacles you may face along your path. Plan ahead, seek a well trusted financial advisor’s assistance to lead a meaningful and well-planned  financial journey.