what are the most important financial goals for you

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fcf18
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what are the most important financial goals for you

Post by fcf18 » Sat Mar 02, 2019 4:35 pm

just wondering what are/were your financial goal that you wanted to achieve or already achieved. some examples like

being debt free, hitting a specific net worth goal, buying a house, paying off the house, etc

to me, the goal that were really important to me are
* paying off the house
* investment income (expected based on 6% return) > normal living expanse
* investment income > active income (still many years away from this)

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bengal22
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Re: what are the most important financial goals for you

Post by bengal22 » Sat Mar 02, 2019 5:21 pm

Don't think I really had any financial goals other than perhaps completing my Masters and getting good raises/promotions at work. I really did just try to earn all I could, give all I could, and save all I could. And it worked out pretty well.
"Earn All You Can; Give All You Can; Save All You Can." .... John Wesley

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GerryL
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Re: what are the most important financial goals for you

Post by GerryL » Sat Mar 02, 2019 5:35 pm

Can't say I had any specific goals; I just knew to save for the future. If I had something that could be called a "goal" may be it was LBYM - live below your means -- just in case. You never know what will happen tomorrow. (Example: Bought my house while resisting real estate agent's argument that I could really afford more. A year later I lost my job in a recession and was unemployed for 18 months with a 10% mortgage.)

It has worked out well for me because the tomorrows eventually kept getting better. Now 70 and happily retired.

Even though I didn't focus on goals, I think they can be very useful if they keep your financial life on track.

2015
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Re: what are the most important financial goals for you

Post by 2015 » Sat Mar 02, 2019 6:14 pm

I've reached the most important financial goal I've had, which is to be in a position to not have to read the hourly onslaught of marketing disguised as "financial information." The pathological need for ever more information plays directly into scarcity bias, from which there can be no relief if one is caught in its clutches.

MiddleOfTheRoad
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Re: what are the most important financial goals for you

Post by MiddleOfTheRoad » Sat Mar 02, 2019 6:17 pm

My most important financial goal: To no longer worry about financial goals.

Silverado
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Re: what are the most important financial goals for you

Post by Silverado » Sat Mar 02, 2019 6:24 pm

MiddleOfTheRoad wrote:
Sat Mar 02, 2019 6:17 pm
My most important financial goal: To no longer worry about financial goals.
Yeah, that's a good one.

One for me is having returns greater than contributions...regularly, on a yearly roll up. So we reach it, then miss it, then reach it. But I pay attention to it as something interesting to me.

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beyou
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Re: what are the most important financial goals for you

Post by beyou » Sat Mar 02, 2019 6:26 pm

MiddleOfTheRoad wrote:
Sat Mar 02, 2019 6:17 pm
My most important financial goal: To no longer worry about financial goals.
+1000

But on the way there for me it was :

1) Eliminate debt (don't want my house foreclosed nor car taken).
2) Save enough for college for my kids (don't want them to end up in debt either)
3) Save enough to have financial independence and not HAVE to work

When you have met your financial goals, you can focus all your dreaming about non-financial goals.
Hopefully some of that along the way in parallel.

gator15
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Re: what are the most important financial goals for you

Post by gator15 » Sat Mar 02, 2019 6:42 pm

My goal is 30x annual expenses. Once there, I can get the Jeep Rubicon I want.

pasadena
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Re: what are the most important financial goals for you

Post by pasadena » Sat Mar 02, 2019 6:50 pm

MiddleOfTheRoad wrote:
Sat Mar 02, 2019 6:17 pm
My most important financial goal: To no longer worry about financial goals.
This. Specifically for me, as a late starter:

- Have a paid-off home when I retire (either buy one soon with a mortgage, or buy one cash when I retire) so no one can take away the roof over my head
- Have enough to live on in retirement (in my home country or in the US)

On the way there:

- Have enough that I can weather most emergencies
- Have enough that I don't have to worry too much about the future / an eventual professional setback
- Have enough that I can take a good opportunity if it comes and have the freedom to choose
Last edited by pasadena on Sat Mar 02, 2019 8:05 pm, edited 1 time in total.

RadAudit
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Re: what are the most important financial goals for you

Post by RadAudit » Sat Mar 02, 2019 6:54 pm

fcf18 wrote:
Sat Mar 02, 2019 4:35 pm
what are/were your financial goal that you wanted to achieve or already achieved.
Enough money for -

Food on the table.
Clothes on the back.
Roof over the head.
Taking care of DW and me as long as necessary
Last edited by RadAudit on Sat Mar 02, 2019 7:04 pm, edited 1 time in total.
FI is the best revenge. LBYM. Invest the rest. Stay the course. - PS: The cavalry isn't coming, kids. You are on your own.

delamer
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Re: what are the most important financial goals for you

Post by delamer » Sat Mar 02, 2019 6:56 pm

Buy an affordable home in a good school district.

Fund our kids’ undergraduate education with no loans for us or them.

Retire in early 2020 with a large enough income to live comfortably (by our definition) and leave a good size inheritance for kids.

Almost there.

Broken Man 1999
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Re: what are the most important financial goals for you

Post by Broken Man 1999 » Sat Mar 02, 2019 7:50 pm

RadAudit wrote:
Sat Mar 02, 2019 6:54 pm
fcf18 wrote:
Sat Mar 02, 2019 4:35 pm
what are/were your financial goal that you wanted to achieve or already achieved.
Enough money for -

Food on the table.
Clothes on the back.
Roof over the head.
Taking care of DW and me as long as necessary
Nailed it!

I would like to leave inheritances, but that goal is below the four items above.

Broken Man 1999
“If I cannot drink Bourbon and smoke cigars in Heaven than I shall not go. " -Mark Twain

H-Town
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Re: what are the most important financial goals for you

Post by H-Town » Sat Mar 02, 2019 8:00 pm

fcf18 wrote:
Sat Mar 02, 2019 4:35 pm
just wondering what are/were your financial goal that you wanted to achieve or already achieved. some examples like

being debt free, hitting a specific net worth goal, buying a house, paying off the house, etc

to me, the goal that were really important to me are
* paying off the house
* investment income (expected based on 6% return) > normal living expanse
* investment income > active income (still many years away from this)
Become a billionaire.

If not, I’d settle for just being free from money.

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onthecusp
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Re: what are the most important financial goals for you

Post by onthecusp » Sat Mar 02, 2019 8:03 pm

I've had a series of goals through my life.
Graduate college in 4 years and start making money. check
Contribute to 401k. check
Make it through a period of unemployment, spending the 401k. check.
You get the idea.

The most important one checked off was to eliminate credit card and auto debt. And payoff the parent loans for our kids education.
Number 2 was maxing out 401k contributions and making large after tax investments.

Next up is to either pay off the mortgage or downsize enough to eliminate it. I'm pushing for the second option because it would allow us to retire soonest.

fourwheelcycle
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Re: what are the most important financial goals for you

Post by fourwheelcycle » Sat Mar 02, 2019 8:20 pm

The only financial goal I ever really planned for was to save every possible dollar up to the IRS' allowed limits in our employers' retirement savings programs. We did achieve that goal.

Hillview
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Re: what are the most important financial goals for you

Post by Hillview » Sat Mar 02, 2019 8:32 pm

Save for retirement while still enjoying life with the family

LiterallyIronic
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Re: what are the most important financial goals for you

Post by LiterallyIronic » Sat Mar 02, 2019 8:34 pm

My financial goals, in order of priority are:

1) Retire at 50 with $600,000
2) Pay off mortgage by 50
3) Buy a DeLorean

stoptothink
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Re: what are the most important financial goals for you

Post by stoptothink » Sat Mar 02, 2019 8:51 pm

1. Not be a financial burden on my parents (or on my children, as both my in-laws and own parents have been): accomplished at 16
2. Have zero debt of any (including mortgage paid off)and cross the 2-comma net worth barrier by 40: 3 years to go, but we're on pace
3. Have 30x expenses by 50: 13yrs to go, but we are on pace to hit this one a good 5yrs early

louiethelilac
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Re: what are the most important financial goals for you

Post by louiethelilac » Sat Mar 02, 2019 9:19 pm

To be able to help my children weather the storm of an economic depression

Dottie57
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Re: what are the most important financial goals for you

Post by Dottie57 » Sat Mar 02, 2019 10:01 pm

Be able to retire and maintain my lifestyle.
Buy and payoff my home.
Be at least somewhat charitable.
Enjoy what I have - keep jealousy for those who have more at bay.

All so far accomplished. Last 2 are ongoing.

bltn
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Re: what are the most important financial goals for you

Post by bltn » Sat Mar 02, 2019 10:42 pm

GerryL wrote:
Sat Mar 02, 2019 5:35 pm
Can't say I had any specific goals; I just knew to save for the future. If I had something that could be called a "goal" may be it was LBYM - live below your means -- just in case. You never know what will happen tomorrow. (Example: Bought my house while resisting real estate agent's argument that I could really afford more. A year later I lost my job in a recession and was unemployed for 18 months with a 10% mortgage.)

It has worked out well for me because the tomorrows eventually kept getting better. Now 70 and happily retired.

Even though I didn't focus on goals, I think they can be very useful if they keep your financial life on track.
Every once and a while I come across a post that knocks me out with its simple, profound wisdom.
Living below your means is a goal which will help you deal with a number of future financial events. Essential for what most people consider their goal of amassing a large nest egg. But just as important in helping one deal with hard times. And keeps its importance when one has achieved a large accumulation. Even if the defining characteristics of LBYM change a bit over time relative to the size of a growing accumulation. I guess I believe one should always live below his means, in an effort to be secure.

My financial goals are two.
Accumulating enough for financial security with a moderate level of comfort.
And second, leaving a nice legacy for my children to provide them with a degree of financial security.

Grt2bOutdoors
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Re: what are the most important financial goals for you

Post by Grt2bOutdoors » Sun Mar 03, 2019 12:27 am

Saving. To meet that goal, ones expense shovel needs to be smaller than the income shovel, the vast majority of the time. If you can’t live beneath your means, it will be impossible to save. Saving permits one to invest for the present and future.
"One should invest based on their need, ability and willingness to take risk - Larry Swedroe" Asking Portfolio Questions

Stick5vw
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Re: what are the most important financial goals for you

Post by Stick5vw » Sun Mar 03, 2019 1:43 am

I used to toss around a random figure of $5mn saved before I retire. It had no science behind it and just sounded like a nice number. In practice I probably need less as my wife and I tend to be pretty frugal/LBYM types, although a couple million will be fine with me.

Anyway I’m focused on the following

-paying for my child’s (children if we have another!) education and to ensure they have a good start in life.
-buying a house and paying it off
-being able to continue travelling - really the only thing I care about for spending $ on for myself
-having $ in retirement, being able to pay for health care etc

I figure I’ll have to hack it out another 15-20 years so hope to achieve these

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SevenBridgesRoad
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Re: what are the most important financial goals for you

Post by SevenBridgesRoad » Sun Mar 03, 2019 3:48 am

fcf18 wrote:
Sat Mar 02, 2019 4:35 pm
just wondering what are/were your financial goal that you wanted to achieve or already achieved....
Context: Retired physician/physician executive. Married 40 years. Our financial goals really occurred in phases.

For most of my life/our lives, thought only about career goals, not so much financial goals back then. My wife and I by our nature lived well below our means (but comfortably so, and by no means frugally), paid off student loans and mortgage very early (we hate hate debt) and saved a high percentage of our incomes. I had education and career goals and had a plan to achieve those goals. Then, midway into professional career, we read the book "Die Broke". This had a huge influence on my wife and I, and became the backbone of new and slowly emerging financial goals as we thought about our next phase in life. As we got more serious thinking about financial independence, I stumbled upon the Life Calendar at Wait But Why (Wow! Life is really short. This calendar kinda' freaked me out...) and MMM and Bogleheads Forum. The Life Calendar shocked me into picking a retirement age (60ish) and focusing like a laser on financial independence by that age. MMM and BH forum gave us the ideas how to complete our retirement financial plan, mostly DIY, mostly very simple. Lots of good info about the trade off between "enough" and "one more year"; very dependent on individuals. We moved everything that we could to Vanguard (except employment accounts until post retirement). Die Broke helped us think about and actually buy two simple Deferred Income Annuities (which is REALLY hard psychologically to pull the trigger) and commit to probably forgoing an inheritance (we will plan to spend any projected inheritance on experiences with our kids and grandkids while we are still alive. But we will never run out of money and never be a financial burden on our kids.) Didn't make 60 for retirement due to work related responsibilities...couldn't bail in good conscious...but did retire late 61 yo. We are better-than "set."

This leads now to our retirement goals (funded between the two DIAs, SS and investment portfolio) , of which there are five:
 Plenty of money for a nice lifestyle (consistent with our current lifestyle)
 Never run out of money (but might not leave an inheritance)
 Never have to return to work (might end up working some, but not because we have to for money)
 Sleep well at night (be conservative, nothing risky)
 Stay flexible (stuff happens)
Retired 2018 age 61 | "Not using an alarm is one of the great glories of my life." Robert Greene

carolinaman
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Re: what are the most important financial goals for you

Post by carolinaman » Sun Mar 03, 2019 8:14 am

I am age 74 and retired 8 years. When I was working, my biggest goal was to achieve full retirement in our pension system which I did at age 63. One of our family goals was to be able to live off one income so my wife could be home with the kids. That was not easy early in my career but we did it.

In retirement, our main goal is to live off of my pension and our SS. My pension is not COLA based, so at some point we will probably need to use some of our savings for retirement, but a related goal is to preserve most of our savings for inheritance for our children and grandchildren.

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