1. Goal Setting and Financial Planning
(for everyone)

2. This program is provided through a grant from the Financial Industry Regulatory Authority (FINRA) Investor Education Foundation and the American Library Association (ALA). The grant is distributed as part of the library® initiative, an ALA program. This project is in its sixth year of educational partnership with libraries across Colorado and the country.
Marsha Yelick CFA(retired)
Financial Programs Consultant
Ext 831

3. Earn more than you spend (and save the rest).
Live well with what you have.
It’s never too late.
Simplicity!
Major themes du Jour

4. Influences on your financial SELF!
(Financial Psychology 101)
The years in which you grew up
The family in which you were raised
The bumps in the road you have experienced
The age cycle in which you exist (20’s, 30’s, etc.)
The habits you have integrated
Financial Psychology 101

5. What is money? (growth is GOOD!?) (view of the city) MONEY is...
...a means of exchange (value)
(view from the street)
...an assignment of prestige
(view of the neighborhood)
What is money?
...measurement of growth
(growth is GOOD!?)
(view of the city)
...hours of life you choose to exchange
(view from a helicopter)

6. The 3 DREADED financial MUST-DOs
BALANCE SHEET
INCOME STATEMENT
GOAL SETTING
Three financial tasks

7. The Balance Sheet FIRST TASK, the NET WORTH STATEMENT… What you own?
What you owe?
_______________
= Your NET WORTH
The Balance Sheet

8. Plan for the future…(goals)
Create a safety net
Plan for the future…(goals)
New business or career change
Trip of a lifetime
College for children
New car or house
RETIREMENT (a MUST!)
3. Organize your stuff
Uses for NET WORTH

9. (Do you really need one?)
SECOND TASK, the BUDGET
NOW CALLED...
THE SPENDING PLAN
(Do you really need one?)
The Spending Plan

10. The Spending Plan (The Income Statement/Cash Flow/Budget)
What do make (income)?
Where does it go (spending)?
_________________
Your surplus
(Surplus? You’re kidding)
Budget

11. Record every $$$ 4. Adjust to your priorities
THE GOAL – DISCOVER where the money goes
SIMPLE STEPS
TO BUDGETING
1. Identify income
2. Track expenses
3.Compare budget to actual
4. Adjust to your priorities
Record every $$$

12. Computer Use If you are so inclined… Use a spreadsheet
Paper and PENCIL
Template from EXCEL - Family or Single Create your own spreadsheet
Use a computer program or app
QUICKEN $50 - $90
MINT– free
You Need a Budget 4 (YNAB) $60 (free trial)
Mvelopes – free to costly
Etc
Computer Use

13. Tracking expenses Not all things are easy to track…
Some suggestions for the hard stuff…
Save receipts
Categorize receipts
Record at least once a week
Give yourself some “walking around $”
People who pay with cash spend 30% less!
Tracking expenses

14. How many shoes do you need???
Enough?

15. What truly gives you pleasure?
MORE +++
--- LESS
Fulfillment?

16. Life energy spent? How much “LIFE” does something cost? Six hours
= $150
One ticket to the $150 (plus gas, parking, treats...)
Life energy spent?

17. Goal setting FINAL TASK – SET GOALS DECIDE WHAT YOU WANT
TODAY (short term – 1-2 years),
TOMORROW (mid-term – 3-10 years)
THE FUTURE (long term – 10+ years)
Goal setting

18. Bring out-there-in-tomorrow-land into towhat-do-I-need-to-do-today
You MUST save for RETIREMENT!
Bring out-there-in-tomorrow-land into towhat-do-I-need-to-do-today
Use online calculators
to compute
what you need to save
The biggest Goal
(It’s not rocket science)

19. Save for your goals AND START SAVING.
Find the money (in your budget)……
AND START SAVING.
Save for your goals

20. YOUR ASSIGNMENT... Financial tasks
Create your balance sheet (net worth)
Create a budget
3 Determine your goals
Find the money in your budget to fund the goals (and pay yourself first through savings)
Live simply, live well, rest well.
Financial tasks

21. (AND COME TO NEXT CLASS!)
Thanks for attending!
BE MONEY SMART
FOR LIFE
(AND COME TO NEXT CLASS!)