A couple of months ago, we continued this series with bucket #4: Financial Independence (if you need review, please click here). Bucket #6 is the Absolute Financial Freedom Bucket. If you didn’t complete Bucket #5, go back and complete each exercise as it will build on the previous month. Bucket Six: Absolute Financial Freedom I want you to turn off the lights, put on some music, grab a pen and pad in hand and start dreaming. Absolute Financial Freedom is achieved when your investments produce an income enough for you to do whatever you want, whenever you want, wherever you want, with … [Read more...]
How are Your Buckets Doing? Next Bucket: Financial Freedom
We are now getting into the big numbers that many aspire to, but few arrive at. Financial Freedom is achieved when your investments produce an income enough for you to live the lifestyle you want for the rest of your life, without ever having to work again. What is the income that will support this? You have already calculated your needs, your expenses, and the simple pleasures in previous months. Now add the big things that you might want - the boat, the fancy car, the trips, etc. It is easy to figure out what this might cost you per month. Add this figure to the other buckets. (Having … [Read more...]
How are Your Buckets Doing? Next Bucket: Financial Independence
Last month we continued this series with bucket #3: Financial Vitality. Bucket #4 is the Financial Independence Bucket. If you didn’t complete Bucket #3, go back and complete each exercise as it will build on the previous month. Bucket Four: Financial Independence We are now getting into the big numbers that many aspire to, but few arrive at. Financial Independence is achieved when your investments produce an income equal to “work” income. Now I hope your work income is higher than your expenses. If this is not the case, you need to make changes right away. Please reach out to me and … [Read more...]
How are Your Buckets Doing? Next Bucket: Financial Vitality
Last month we continued this series with Bucket #2: Financial Security. Bucket #3 is the Financial Vitality Bucket. If you didn’t complete Bucket #2, go back and complete each exercise as it will build on the previous month. The process will require you to figure out and calculate some monthly expenses, then goals and then dreams later. We will start simple and get deeper as we proceed. Bucket Three: Financial Vitality This bucket requires you to have all expenses covered in the first two buckets and now add three other expenses: entertainment (movies, dinners, vacations, etc.), … [Read more...]
How are Your Buckets Doing?
Last month we started this series with bucket #1: Financial Protection. Bucket #2 is the Financial Security Bucket. If you didn’t complete Bucket #1, go back and complete each exercise as it will build on the previous month. The process will require you to figure out and calculate some monthly expenses, then goals and then dreams later. We will start simple and get deeper as we proceed. Bucket Two: Financial Security This bucket requires you to have liquid assets to “protect” your monthly critical obligations. Basically, it means you must have enough cash somewhere so that you can … [Read more...]