2020 Vision

Have you thought about where you’d like to be in ten years’ time?

2030 may seem a long way off right now, but it will come around soon enough. If you’re in your thirties or forties, maybe your goals involve family, property or career advancement. If you’re in your fifties or sixties, you might picture yourself semi or fully retired by 2030.

Whatever your goals are, thinking about what you want to achieve, then setting some clear objectives is the first step to actually achieving them. Because once you set your goals, you can then make a practical plan to bring them to life. Having a long-term plan also helps you raise your gaze, so you can see the bigger picture. And that makes it easier to make informed decisions and stay on track to meet your goals.

Five tips to help you plan your financial future

Here are five helpful hints to keep you on track when you are setting goals and making your plan to achieve them.¹

1. Begin with the end in mind – If your goal is to be financially independent in retirement, think about what that would look like. What sort of life-style do you envisage? Maybe set some shorter-term goals that you can tick off along the way, like buying a new car, or becoming debt free.

2. Make your goals SMART – For each goal that you choose, think about how you can make them specific, measurable, achievable, realistic, and trackable. Think about how much each will cost, and how much you’ll need to save each month to achieve them.

3. Create a budget – Instead of looking at a budget as deprivation, think of it as making sure your spending reflects your priorities. Budgeting allows you to take back control over your money and make sure that your needs (both short and long term) are being fulfilled before your wants.

4. Stick to the plan – Once your budget is in place, you’ll probably have less to spend, so it's important that you stick to your spending targets or you could end up accumulating debt. One approach is to give yourself a fixed weekly or monthly allowance in a separate account to be used for discretionary expenses like shopping and entertainment. The key is that when the money is gone, it's gone until the next week or month.

5. Seek sound advice – If you want help with making a long-term plan, we can refer you to one of our ESSSuper financial advisers. An ESSSuper Adviser2 can take a look at your overall financial position and help you plan the best way to achieve your financial goals taking into account all your circumstances. Whether you’re starting your career or you’re close to retirement, spending some time now to develop a 2020 vision of your financial future will serve you well in the long-run.

Whether you’re starting your career or you’re close to retirement, spending some time now to develop a 2020 vision of your financial future will serve you well in the long-run.