Setting and Achieving Financial Goals in 2020
2020 is quickly approaching and that means so are the new year's resolutions. Many times I have set new years resolutions and they have usually been spiritual, relationships, financial, or personal development. I don’t set them anymore and for a good reason. I’m going to talk about what I do instead. Now, this can be applied to anything, but I am going to apply it to the topic of finances because that is where I can help you the most and that is what I do!
All right, so as I am wrapping up 2019 I am taking a look at where am I financially. Only I’m not doing simply because 2019 is ending. I’m doing it because I do it daily, weekly, monthly, and every quarter I take a big step above the picture to focus on strategy and make corrections.
So I’m looking at how much income I’ve earned, how much I have in assets, what I have liquid, what I will owe in taxes (you better bet I’m looking at ways to reduce that), and lastly how I will improve these areas.
Now I’m reviewing all of these things in relation to my goals. I have a focal point in my life. Call it my north star if you will. But it is the general purpose of my life. What I am set out to accomplish while I’m here. For me it has to do with helping millions of families become financially educated and wealth so they can navigate their economic futures with more certainty and create a generational legacy of prosperity in the communities around them. That is my goal. It is very broad. It is specific, yes, but it encompasses a lot.
Second, I’m reminding myself of why that is my goal. For me, that is my goal because I want to be free and I want others to be free. On this planet, as far as matter is concerned, money is the #1 thing that restricts most people. If we remove that restriction, I become freer and so does everyone else.
Third, I’m reaffirming the route that I’ve chosen to achieve those goals and purposes. And again for me, that route is the expansion of my company, Wealth DynamX, until it is a national and even international powerhouse of financial freedom for millions of families. If you have ever wondered why I am working so hard, this is why. My goals, purposes, and vision are so big that it requires more of my time and attention and I don’t feel as though I am working. It is my calling. If you can lock these in, the rest of what I’m going to share here becomes really easy.
All right so now that the big picture is handled, I review my income. What did I make in 2019? Where did most of it come from? It’s important for me to know where it came from because, in the past, I didn’t look at that. And I’d make changes to my business that jeopardized my main sources of income. Usually, it was because I was bored with them and looking for more excitement. But the result was my top producing income sources suffered. I want to strengthen them, not reduce them. And I actually want to get rid of any income sources or ideas for income that will reduce my strongest ones. Income sources are like a pack of wild animals. If I introduce two alpha’s, it's going to divide my pack. I want them all working together. So I make cuts to anything that is causing that. And if I do add anything it is going to have to completely complement and supplement my alpha income sources.
This is important because income is exchange. I used to stop producing so that I could go into organizing and plan mode and I would always come out of it smaller or more broke. Focus on your income first before you jump into planning, budgeting, and organizing so that you can keep your earning power high.
Once that has been accomplished, I can organize. Even here though, my first question is “how much will I earn� I need funding for my goals this year. I’m not going to borrow money. I’m not going to raise money from investors when I could do it myself and enjoy what I’ve created. So that means I need an income goal that allows me to accomplish everything I want to accomplish. The way I set this actually starts with how much money I want to keep after taxes in order to invest. Then I ask myself how much I want to live on and how much I want to give away? I also factor in fun and personal development costs. This is all before I’ve factored in taxes. Once I have this number, I look at my estimated tax rate and I add that in on top (again, I personally believe taxation is theft so I am trying to legally reduce this number as much as possible). This is my AGI (adjusted gross income), which is essentially how much money I make before I pay taxes. With this number, I can then determine how much I need to sell and deliver with my companies.
Now it is time to execute! I’ve had years where I had the neatest plan in the world and none of it happened. Why? Because I didn’t execute. The first step of executing is investing in myself. I have always invested more than 10% of my income into myself. Right now I spend most of my time on personal development that teaches me how my mind works, how to communicate, how to be more ethical, and how to build a healthy organization. This gives me the knowledge to create and is vital. So the first step is to go hit the books.
Then I increase my Sacred Account contributions. The Sacred Account is a life insurance policy that I save money into so that I can increase the growth of my investments by an additional 20-30%. If you want to learn more about this reach out to me. It isn’t just any old life insurance it has to be designed by someone who knows exactly what they’re doing.
As I am growing, producing, and saving I am also aware of taxation. As I stated, I think it is theft. So I am very conscious of repurposing all of my expenses and investments to limit the amount of money I will owe in taxes. This means I keep more ultimately.
The last leg of my execution step is to look at assets I can acquire that will help me buy my time back so that I am freed up to do more of what matters. For me, this is the purpose of assets. To incrementally buy my time back so that I am no longer transacting time for money and I can do what needs to be done without worrying about money.
And this is basically what I do. In the end, I have a very good idea of where I am, what’s working, what’s not, and what I need to do in order to get where I’m going.
I call it “The Wealth DynamX Blueprintâ€. It is like a financial plan that incorporates my life goals, my financial stats, keeps me organized, and focuses me on what I need to execute on to get to my goals.
If you’d like to learn more about the Blueprint and even see about having my team and I build one for you click here! You can learn more about it and if you like it, I’m happy to help you!
Own Your Potential,
Jerry Fetta
Jerry Fetta helps create financially educated and wealthy families who navigate their economic futures with certainty and help build prosperous communities around them. If you’d like to experience this for yourself and your family, then get more information about Jerry Fetta and Wealth DynamX by going to Membership.JerryFetta.com
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