Managing your own financial planning may sound a bit intimidating, but I promise to support you with the information and tools necessary to pull it off. It’s not that complicated if you are organized and understand all investment options and accounts available to use.

If you are looking for a step-by-step guide, you have come to the right place. I will take you through the framework used by most financial advisors, discuss proper investment allocations, and review tax-optimized savings accounts.

Step #1: Your Net Worth Today

Do you know your net worth? If not, your first step is to calculate this number. Everyone has a net worth (even if it’s negative), and it’s critical to understand where you currently stand.

The more detailed you can be, the more productive your plan will be. Don’t worry if you are unsure or change your mind in the future. You can (and should) reflect and update your plans at least annually as life and goals inevitably evolve.

Step #2: Where Are You In Life?

– What are your plans and vision for the next few years? – Do you currently have or envision getting married? – Do you have or want children, and if so, how many?

Personal Plans

– Where are you in your career, or what are your future work aspirations? – Are you considering going back to school or considering shifting careers?

Professional Plans

– How much do you currently make per year? How do you see your income changing over the next 3, 5, or 7 years on your current path? – You should know your marginal tax rate, and how much you take home net of taxes. – Do you have a budget?

Financial Plans

TOP Dollar Investor

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