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Set Your Vision For The Future

Why Set a Financial Vision

The first task before undergoing any activity is to understand the why. A detailed plan is not required just yet, that will come later.

All that is required is a vision statement which itemises your goals at a high level. These can be broken down into a list, for example:

Clarity in Vision is Important

Having a simple statement like “Have a millions of dollars” is not clear enough. "Have one million dollars cash in the bank" is. A time frame is also necessary otherwise you cannot determine your regular activities to meet the goal, not to mention you losing interest as time goes on and on, which will discourage you and take the wind out of your sails. For example, if your goal is "Have one million dollars cash in the bank within 5 years", you will need to accrue $200,000 a year. Can you do that on salary alone, or will you need to invest? What investments will you need and how will they be configured? As it turns out you may not be able to do it in 5 years, but you can comfortably do it in 7 years.

Your Vision May Affect Others

Your desires will vary from those around you and close to you. Before making a list I suggest you consider those whom your decisions will affect, consult and come to an agreement without pressuring them. Those who are pressured will usually work against you.

The Vision May Change Over Time

Don’t worry too much about the finality of these vision statements as they will change over time as you do. Each statement should be a positive statement, “Spend freely” instead of the negative statement “Not worry about expenses”. Your subconscious ignores the word “not” and you will "worry about expenses".

Display Your Vision

Write your vision statement down and pin it up somewhere where you can see it often. This is an extremely important step as it has a powerful reinforcement effect. Things left in your head become less clear with time. By writing it down you fix it thus preventing it from change. Putting it on display constantly reminds you clearly what you are doing allowing you to remain focused.