Financial plan into action

Making the plan and getting the overview over your current financial situation is not enough. You need to put the plan into action and follow it up and evaluate it as you go along.

Many things can influence the plan after it has been put into action. Maybe your job situation changes, maybe the overall economic situation changes in your country, like higher interest rates. Maybe the oil and gas price keeps changing. Maybe you divorce or marry. Maybe your investments suddenly loose all their value!

You can not plan for all of these things, and if you could your life probably would be extremely boring. It is a bit of the beauty that life changes. You need to be able to change your plan accordingly, so you can still achieve your goals.

Remember that all your efforts in the direction of financial freedom are going to benefit you. Unless you invest all your savings in some crazy pyramid scheme instead of in mutual funds.

You need to learn to be smart, and that means sticking with your plan. If you see that the plan is no longer practical you adjust it. Do not drop the plan. You might be tempted to drop it if it does not work out as you planned straight away, but all your passion and persistence involved in implementing your plan, and it will be easier.

Monitor and evaluate your plan regularly. Keep a record of all the small short term goals that you have set and reached. That is a great motivator.

Action Steps

1 Taking financial inventory

2 Deciding what are your financial goals

3 Making a detailed financial plan of how to get there

4 Putting the financial plan into action and monitoring it

5 Become a member of the Financial IQ Club!

Ways of saving money

Practical budgeting tips

Here are some free tools:

Debt free calculator

When will you be a millionaire calculator

Money 101 Course