Write it down and it just might happen

“When you’ve got your whole life ahead of you, surely financial planning can wait, right?”

You know what you want out of life: a satisfying career, an active social life, travel, and eventually a home and family. The future looks bright and there’s no reason yours won’t unfold seamlessly.

Having a mental checklist is all very good but the secret to getting things done is to have concrete goals and a plan (“go to France and Italy next spring” instead of “travel abroad”). By writing down your goals and breaking them into specific “action” items, and then reviewing them periodically, you can ensure that you’re moving in the right direction.

It’s the same with a financial plan. Put simply, a financial plan sets out your goals and helps you to estimate how much money you’ll need to do all the things you want. Even a short-term goal like a trip abroad requires some financial planning. You need to estimate your trip budget (and still add on another 30%) and decide how and how much you can save.

The same goes for other goals. The more specific you can be, the better. If you are interested in owning a home some day, think about where you want to go and how you’re going to get there.

Just because you have a financial plan doesn’t mean you’re eternally bound to it. Your goals, income and obligations can – and will – change over time. If you’re not sure how to get started, speak with an independent financial advisor. Once you make that decision to make a plan, the rest gets easier.