Financial goals for 2008

I’ve been thinking about making a list of my financial goals for 2008 – it seemed like a pretty boring list that any regular reader could probably recite verbatim (yeah I know, I need to vary my themes a little).

1)      Save for a home deposit

2)      Pay off my car

Well, to do both of these in the coming year is a pretty big goal. We still owe nearly $12,000 on the car and we’ll need at least $15,000 for the home deposit. I usually make less than $15,000 a year (in a good year) so this is looking like a BIG challenge.

Added to that, we have a couple of other goals. I’m going to list these here, so that I’ve committed to them.

 

WHAT: Fund a joint party

 

COST: $2000

 

WHY: We both have significant birthdays this year and plan to celebrate.  We were initially planning to hire a hall and make a big event of this, but instead we have decided to do something at home. Since we have a huge garden (and we know a lot of smokers who would be outside all night anyway!) this is probably a better idea for us and will save a lot of the expense. I think this budget is way over what we will spend, but if I start high I can always reduce it down.

 

HOW: This is going to take about $100 a week in savings to achieve, starting from the New Year until almost mid-year. In a future post, I’ll explain my costs breakdown and ways I can save.

WHAT: Travel interstate to visit a friend and her baby in August/September

COST: At least $2000

WHY: I just found out a good friend of mine is pregnant and there is no way I will be able to avoid (or would want to avoid!) being there to see that baby in the months afterward. If we start planning now, we should be able to get there. She lives in a city I have never seen, so we would probably take some opportunities to see some of the sites. But they will be the iconic landmarks, not the expensive eateries or shops. And I think we’ll spend a good amount of time at her home visiting and helping with the new bub, so we should be able to put the brakes on our spending.

 

HOW: To do this in late September, we will need to save $100/week starting straight after the joint party is over.

 Basically, I have listed $31,000 worth of goals here (not even counting the accruing interest on the car loan), and this represents a HUGE chunk of our income. But planning is a big factor in this, and I think we can do almost all of it if we try. And if we don’t make it all the way, we will certainly go close (or closer than if we didn’t try at all).  One thing I’ve learnt since starting this blog is: if there’s one occasion I can rise to, it’s a big financial challenge!  Another thing is that I have promised to focus on how we can cut some of our expenses some more, as I think we have let this area down a bit. Just because I budget $200 for groceries doesn’t mean we have to spend it. I am going to look at my options in this regard too. Come to think of it, notice I keep saying that but never seem to actually do it! Must be a bit of a mental block for me, huh!

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2 Comments »

  1. It’s great to hear others who live debt free. I’ve been living debt free for 3 years and there is no better way!
    “The rich ruleth over the poor, and the borrower is servant to the lender. “

  2. I agree with your thought that trying is important as is planning ahead. When I don’t have a plan I tend to overspend because I am not watching the money.

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