To keep me honest and focused I post my financial goals on My Own Advisor. One thing I’ve learned over the years is I have a much better chance at realizing my goals if I keep tabs on them, and often.
In case you missed earlier posts on this subject, here’s a recap of our 2014 financial goals:
- Continue putting $300 lump sum payments on our mortgage every month ($3,600).
- Maximize both Tax Free Savings Accounts (TFSAs) ($11,000).
- Increase Registered Retirement Savings Plan (RRSP) contributions by $200 per month ($2,400).
Here’s where we stand this month:
Continue putting $300 lump sum payments on our mortgage every month ($3,600) – on target
Since January 2014 we’ve been meeting this goal. By making mortgage prepayments automatic, we never see this money. If we keep up mortgage prepayments our mortgage debt will be under $200k soon. Being mortgage free years from now will provide us with some significant financial flexibility. If things go well for us we should be able to slay this dragon in 8 years.
Maximize both Tax Free Savings Accounts (TFSAs) ($11,000) – done!
I have some stocks that pay dividends in a non-registered account so I moved some holdings into my TFSA earlier this year. I use these updates to show how compounding is working for me, growing my passive income retirement fund across a couple of accounts. My TFSA along with my wife’s TFSA are out of contribution room. I’m looking forward to adding more contributions to these accounts in early 2015 – making more investments that should spin off more tax-free income for retirement.
Increase Registered Retirement Savings Plan (RRSP) contributions by $200 per month ($2,400) – on target
With this goal in mind, we now contribute a few hundred bucks each (per month) to our RRSP accounts and there is no intention of changing that. We’ve been meeting this goal since January and I fully expect we’ll hit this target by December this year. I figure by 2016, my RRSP will be out of contribution room. Depending upon how much we can save over the next few years my wife’s account will be out of contribution room as well.
*NEW* Save for home improvements – $4,000
September through December, four full months left in 2014. This new goal is to save for some home improvements we plan to do in 2015. Those updates will likely cost more than $4,000 but I figure we better start saving now. *This is a major stretch goal for us given our other priorities.
A total of four goals now for the rest of the year, it’s aggressive for sure but we’ll see where we get. Stay tuned for more updates later this year.
Got any comments for our saving and investing goals for 2014? Do you have any stretch goals?