Step 2 of “The Life Plan”

The Life PlanIn Step 1 of The Life Plan, we defined your mandatory costs or expenses versus any disposable income available. In Step 2 of The Life Plan, it’s time to prioritize that disposable income. So often, our priorities in life are not aligned with how we deploy our resources. For example, a man once told me the only thing he cared about was protecting his family. Yet, upon review, he only had a very small life insurance policy of $50,000. He was spending money on cigarettes, cable TV, eating out, and plenty of other things with his disposable income. After the review, he determined it was more important for him to spend $150/mo. on life insurance to get a $1,000,000 policy than some of those other things. (insert big sigh of relief) Get a Free Copy of The Life Plan here.

During Step 2 of The Life Plan, we create an entire Financial Plan. San Diego Financial Planner, Dan Osgood, is your contact for one-on-one help. 1.888.710.4911 Dan will walk you through the math involved in calculating monthly savings needed to retire the way you want. Most people save money in the exact wrong way. If you wait until the end of the month to see if any money is left for your retirement account, it’s time to fix that mistake NOW. Is your retirement the least important aspect of your financial life? Then why is it the last thing you fund???

We call this part “paying yourself first”. Aren’t YOU the most important bill you have to pay? You better be! It’s far more important to fund your retirement strategy than any other bill you pay on a regular basis. Step 2 of The Life Plan will help you organize how your disposable income is deployed to make sure it’s aligned with what’s really important to you.

Most people are amazed how easy this step is and how little they need to put away to retire the way they want. Of course, the sooner you create this plan, the better! Time value of money works in a compounding fashion, so this is something you should do immediately to maximize it’s effectiveness.

Questions about Step 2 of The Life Plan? Use the contact form below.



Categories: Financial Planning, The Life Plan

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