Shooting Par Financially

It's a well-worn phrase. If you know where you're going, you're more likely to get there.

I think this is so true about most of life -- the career, the home-remodeling project, the spring-break road trip. It's also true with your personal finances.

Now, the beat-to-death wisdom heard from financial professionals is to set goals -- goals for wealth, college, home, retirement. If realistic, the goals give something to check your progress against.

OK, fine. But here's what's missing: Just how the heck do you set those goals?

I'm not a "keep up with the Jones'" kind of person.

But I do like to know how I'm doing. And I do think it's important to look at what others like me have achieved.

In golf terms, that's how I would set my par.

But I like the idea of doing better than the rest -- achieve more, do better, have a nicer home, retire more comfortably. So that's my financial birdie.

But before I can try for birdie, I need to know what par is.

That brings me back to the basic question: What is my par for this year? For next year? Five, 10 years from now?

Click here for the video version of this story from Jennifer Openshaw.