Everyone has financial dreams, but not everyone set goals to achieve them. This raises an important question: what is keeping you from acting on this? Simple answer: absolutely nothing. Don’t just hope someday you will have enough money for retirement- that’s not going to happen. This passive approach will be your financial nightmare; better get proactive and start setting some goals. Consider the following needs:

• Steady source of income. This comes from your job, your business if you’re self-employed, or investments. Future income is the bedrock on which financial security is built.
• Financial reserves. Unexpected things happen all the time – fridge stops working, water heater starts leaking, car breaks down. Just the other day, my washer stopped working all together. Not to mention if you have kids to support and send to college. And someday the hope to retire. These are expenses you have to provide for with savings and investments.
• Life Insurance. Protect your family, your income, your health, and your possessions.

Even modest inflation will grind away at your financial reserves. To stay ahead of the cost of living, you have to be alert for opportunities to make your money grow. These things don’t come to you by accident. You have to go after them, and that means setting some goals.

The most important step toward financial security is to translate it into your own terms. What, exactly, are your personal financial goals? If you have trouble sorting them out, try classifying them as either wants or needs. Go a step further and add long-term or short-term to the description.