Second Step in Personal Financial Planning
The first step in personal financial planning is controlling your
day-to-day financial affairs to enable you to do the things that bring
you satisfaction and enjoyment. This is achieved by planning and
following a budget, as discussed in the first article in this series.
The second step in personal financial planning, and the topic of
this article, is choosing and following a course toward long-term
financial goals. As with anything else in life, without financial
goals and specific plans for meeting them, we drift along and leave
our future to chance. A wise man once said: "most people don't plan to
fail; they just fail to plan." The end result is the same: failure to
reach financial independence.