2019 Financial Goals
I figure if you never have an end in mind you’ll never get to where you want to be.
No doubt I’m a bit late to the goal-setting party by most 2019 blogging standards but you know what – who cares – better late than never!
Typical financial goals
Many bloggers will likely write about this sort of list for 2019:
- Establish an emergency fund
- Save for retirement
- Get out of debt.
I find the problem with some of those generic statements is often they lead oneself to generic outcomes. The devil is in the details.
On the subject of our emergency fund, we already have one – this is how much we keep. There are no plans to keep more because we’re saving for retirement AND getting out of debt at the same time.
On the subject of saving for retirement, we focus on investing in two accounts: maxing out contributions to our Tax Free Savings Accounts (TFSAs) (first) and then establishing monthly contributions throughout the year for our Registered Retirement Savings Plans (RRSPs).
Without further ado, here are our goals for this year and why:
- Save for our 2020 TFSAs. This implies we’re going to try and save $12,000 this year to max out contributions for next year. That’s the plan anyhow. Why 2020? Because our TFSAs for 2019 are already maxed out with some of these five favourite stocks of mine.
- Completing the My Own Advisor $5 daily money challenge. Yup, brand new for 2019, I just made this up! Throughout 2019, I’m going to find $5 in every day savings (by avoiding buying crap I don’t need); make automatic bill payments to the Me Inc. savings account every week in the amount of $35 per week. All told, we should be able to save close to $1,820 ($35/week x 52 weeks) by the end of 2019 if we stick to this savings plan. (This money will be used for flights for a future vacation!) Gotta live too! (Just for the record, we’ve saved $70 already at the time of this post.)
- Reduce our mortgage by $20,000 by the end of 2019. Why? Because debt is an anchor for us. Using our existing bi-weekly payments and/or any lump sum mortgage payments, we hope to make a sizable dent on our mortgage by year’s end.
- Max out my wife’s RRSP. Why? My RRSP is pretty much out of contribution room. We also believe in maxing out any available tax-deferred investment accounts before taxable investing – although we do have a non-registered account with Canadian dividend paying stocks. Over the coming year we think it would be outstanding to have all our registered accounts (x2 TFSA and also x2 RRSP) full of contribution room – this would be a major financial milestone for us. We need to save a bundle to make this happen, more than $15,000 at the time of this post. While a great goal, to be honest though, I doubt this goal will happen completely. We have priorities #1-3 above for 2019. We can’t do it all. But it is nice to have stretch assignments.
Beyond saving for any financial future it’s important to enjoy today. So, we hope to take an international trip in the next 12-14 months. We have our eyes on Chile for beach, sun, hiking, and wine tours for a couple of weeks in early 2020. It’s always been on my list and I would love to go.
This is where our money challenge goal comes in. I suspect flights will be close to $2000 to get to and from Santiago. There might also be flights to Patagonia while there; maybe go to Easter Island? Anyhow, we gotta figure that out…
I’ve already started to daydream a bit about what our ~ two week vacation in Chile might look like. If you’ve been there or know of folks that have been there, feel free to comment below or use my Contact page. I would be happy to learn from you all that I can, including brushing up on my Spanish 🙂
What financial goals did you set for yourself in 2019? What do you make of our approach to save, kill debt and have some fun? Let me know in a comment – I read every one. Mark