Editor's note: This is a special excerpt from
You're on a Mission -- Yours!Have you ever read the mission statement of a company or organization you admire? Over and over again, you'll notice certain qualities, but there are always the same few that keep topping the list. We call them the three "Ds":
- a dream
Your Personal Financial Mission StatementMission statements keep organizations focused so they achieve their goals. People, including you, need mission statements, too. Why? They help identify what's important and what you value most. That way, you'll focus on what matters most to you so that you can accomplish the things you really want. This is especially true for financial goals. After all, if you don't know where you want to go, it's unlikely that you'll ever get there. To create your mission statement, spend some time thinking about your current situation. Now, imagine where you would like to be -- financially -- next year, in five years, and in twenty (or more) years. Be specific and realistic!
- I would like to retire in ___ years.
- I would like to retire by the age of ___.
- I would like to retire within ___ years with a portfolio valued at $_______.
- I would like to save for a child's college education, which will cost $_______ and will be needed by _______.
- I would like to have money to enhance my education, whether that's graduate school, law school or another specialized field of study. I will need $_______ within ___ months/years to pursue this dream.
- My dream is to open
my own business, so I will need $_______ in capitalby _______.
- Are there other opportunities that you would like to plan for?
- At what cost?
- I would like to save for a new/larger house. I would like to have a $_________ down payment saved by ______.
- I would like to save for a second home located in ___________ and have a $________ down payment by ______.
- I would like to buy a new car within ____ months, which will cost $___________.
- My dream vacation to ___________________ in ____ months/years will cost $______.
- My family enjoys the water, so I would like to upgrade our boat within _____ months/years to a ___________________, costing $______.
- What other special interests or activities do you want to include in your plan? What is the cost?
- I would like to pay down my mortgage ___ years sooner than it matures.
- I would like to reduce personal or credit card debt of $_______ within _____ months/years.