Setting goals is always the way to progress in life. Setting financial goals should be one of the most important thing in your adult life (I would encourage you to also try it with your kids and teens). But why is important? Because goals help you track your progress and create a realistic plan.
Last year, we were very close to some of our goals and I felt like making progress. It was the first year we truly set an economy fund (and we kept adding to it, even if we used it for medical expenses), it was the first year with such a big exposure on the Stock Market (both intern and extern) and it was the first year when we invested in ETFs.
And no time to linger any longer, this are the Financial Goals I propose for the year 2021:
P2P Goal: With our current account of 1200EUR (1473USD) we expect a return of 120EUR at the end of 2021, so this is the goal we set as a profit target. But I would definitely want to contribute with some 500USD to another platform.
FOREX Goal: We will need at least 600USD (annual contribution) to be in the schedule but we should arrive at an end account of 5757USD. We are short with 4300USD (having just 1400USD at the moment). Maybe a realistic goal will be a deposit of 1200USD and the other in profit. I will settle with 60% of the sum (3450 USD).
State Bonds Goal: This year maybe we will also get exposure on them and Corporation Bonds. I am not sure about the sum, maybe 200USD.
STOCKS Goal: After we set up the Rebound PIE, I target a contribution of 600USD per annum. A real target will be to make an account between 2000-2500USD (we already have an account of 1300USD).
ETFs Goal: We have the ETF PIE that is contributing 600USD per annum and the already 150USD in BVB ETF. Our total account for ETFs is around 250USD at the moment. The target will be to reach an account of 1000USD with a return of 6% (60USD in profit).
Mortgage Goal: Contribute 1000USD to pay in advance the credit. That is simply to reach and we can use the Emergency Fund for that.
In the Economy Fund we should put at least 2000USD more (except the usual contributions), but for sure we will not reach this goal.
Will we reach our goals?
Not sure….I am being honest, it will be a hard year financially and I expect to have some setbacks in the first part of the year. With my wife changing her job, kid starting kindergarten and the industry still affected by the pandemic, we may need to rethink our budget.
But I think the important thing will be to be healthy, honest, hard-working and stick to the plan. And not forget the secret ingredients: love of your family and optimist.
If during the year I will find new opportunities for better gains, we will adapt a bit the plan to better fit our situation.
Thank you for reading our blog. Let’s start a new year together and, as this is a new year, I would like to hear from you what article is the most interesting for you. Just leave it in the comment section and I will respond to each one of you.
Thank you guys, you are awesome!
And as for me, I can’t wait to set in order (during next days or so) all my Excel files that help me organize my finances and my blog.
Disclaimer: I am not a financial consultant! All the information you find here are my decision, I have taken at that moment, on my own analysis. I am open to any type of discussion about money. If you want to replicate my portfolio take into consideration that it is your money and you can have losses.