Goal #3 – Financial Planning for Upcoming Expenses
March 17, 2019
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Many of us have financial goals; paying down debt, saving for retirement, creating a budget, etc. I have several, but financial goals take time. This is why I believe it’s important that we be good stewards of the money that God blesses us with. Proverbs 27:23 makes this principle easy to understand when it says, “Be sure you know the condition of your flocks, give careful attention to your herds…(NIV)” Being a good financial steward is a simple act of worship and gives a testimony to God’s power in our lives.
My family was once a one-income family. Our budget was tight, but because we budgeted and were financially responsible, we always had everything we needed. Now that my husband and I both work and are empty-nesters, we have more financial flexibility to save for things that we would have struggled to save for back then. With this flexibility, however, comes a greater weight of responsible stewardship.
I want to share with you 5 of my financial goals and how I plan to reach them. Here they are:
Financial Goal #1
Finish saving for a new car. My current car has been giving me problems for a while now, and I’m tired of pouring money into it when no mechanic can seem to figure out what’s wrong with it. I began saving for my dream vehicle (a Kia Soul) almost two years ago and I am over 90% to my target amount.
To get to this 90%, I started off saving $115 from my paycheck each week – adding more as it could be spared. As I got closer to my target amount, I began putting back $300 each paycheck. This did require some lifestyle adjustments, however. Things such as not eating out as much, and taking my breakfasts, lunches, and sodas to work. Every little bit I could save helped.
Financial Goal #2
Finish saving for my husband’s car. We were planning on getting two Kia Souls, but he’s been eyeing some nice used cars. Once my car is completely funded, we can begin putting more money toward his.
We have always put back for what we deemed a “work car” – one my husband drives to work since his job is the primary financial provider for our family. We’ve saved about 25% of the cost of a good used one simply by putting just $20 aside each week for the past 3 years solely for this purpose.
Once we both have our vehicles, my plan is to put $30 back each week into a car fund for both of us. This will ensure our cars are as fully funded as possible when it’s time to buy again.
There are a couple of additional funds I want to set up once we get our cars taken care of.
Financial Goal #3
Establish a home repair fund. Major household repairs always come along at the worst times financially. For this reason, I want to make sure we have some money put aside when they happen. I’m talking about those repairs which will cost more than a couple thousand dollars. For us, our back deck needs replacing, our heat pump is fairly old, and we’re eventually going to need new siding and windows and maybe even a roof. All of these will require quite a bit of savings.
Financial Goal #4
Start a “Pay Off the Mortgage” fund. The only thing my husband and I are in debt for is our home. We would like to have a “Pay Off the Mortgage” fund set up so that we can work toward becoming completely debt free. Paying off the house early will also save lots of money on interest.
Financial Goal #5 – My One Frivolous Fund
Start a “Save for a New iPhone” fund (this goal would have never been considered when we were living on one income). The storage on my iPhone leaves me having to transfer files, delete apps, and continuously download apps from the cloud when I need to use them. I want a new iPhone (not sure of the model, yet) with plenty of storage. I wish I had foreseen the storage issue when I bought my current phone, but live and learn, right?
4 Things to Remember About Financial Goals
Everyone has different views on what is important to save for
Don’t sacrifice the “needs” of your family for something you “want”
Having a budget is important – It helps you to see where your money is going and provides a roadmap for paying for things
Financial goals generally take months or years to reach. Don’t be discouraged; if you keep saving, you’ll start seeing it add up
Though most of my financial goals are long-term ones, I hope that by sharing them with you, I have given you some encouragement and some ideas on setting your own. I know we will not pay off our house in 2019 unless my husband wins some kind of sweepstakes prize (that’s one of his hobbies). We have been saving for cars ever since we were married (over 23 years, so we’re old pros at it), and it will take time to save up for our home repair fund. The point is to get started. If you have a plan and a budget – and if you stick to it (this is key) – the funds will start to increase and before you know it, you will have reached your monetary goals.
Do you have any financial goals this year? I would love to hear about them if you are comfortable sharing. Please comment below.