Each year, I establish my financial and blogging goals at the beginning of the year. It is a way to focus on very specific things throughout the year instead of trying to reach all kinds of goals at the same time. So my 3 financial goals for 2011 were :
#1 Paying off all my credit cards (22K!)
Good news or bad news, I know that as of the end of January 2012, I won’t have any credit card debt. I say good news because I will reach my goal albeit only 1 month late. But I say bad news as it didn’t happen the way I thought it would. To be honest, my goal was to systematically pay back my debts throughout the year. If you have been following my net worth statement, you know that it didn’t happen at all. In fact, I kept increasing my debt level (up to 28K back this summer!). This is how I finished in the top 3 and made $176K this year.
So the way I found to reach my goal was to get the most amazing bonus I’ve ever earned (which will be paid in January 2012). This is the only reason why I will be able to:
a) Clear 22K in credit card debts
b) Pay off my 10K RRSP loan
While I’m pretty proud of my bonus, I’m not that proud of my spending habits! This is why I’ve started to see things differently and applied a few changes to my habits. Starting January 20th, I will be leaving my job downtown to either work 5 minutes from my house or 50 feet away from my bedroom (I don’t know if I’ll stick to the rat race or not yet). In both cases, I’ll be saving roughly $10,000 in transportation cost (this includes, metro pass, gas, parking and car maintenance). Since I live in a highly taxed province, this will equal almost $20,000 of gross income 😉
#2 Increase my net worth past 200K (from 152K)
Here again, I say mission accomplished but not the right way! As of November, my net worth was sitting at $177K. I will see a big jump in January with the arrival of my bonus (which will be roughly 30K after taxes. So in a single year, I was able to increase my net worth by 50K while the 30K will serve to pay down my debts.
I don’t expect to reassess my company shares until our annual meeting that usually happens in April or May. Until then, my net worth will be pretty stable. My other big asset, my house, has been reassessed after I’ve installed a central AC this summer. Also, I won’t increase the value of my house again at the end of the year to consider inflation. However, my neighbor just sold for $340K and I have over 400 square feet more (and a central AC ;-D ).
#3 Get into the Top 3 Financial Planners in Montreal and Make 150K
I still don’t know if I’ll win the Planner of the Year in Montreal (the announcement is being made in late January) but I know already that I’ll be in the top 3. This year was a tremendous one and I’ve achieved 272% of my numbers. This is how I finished in the top 3 and made $176,000 this year.
I know I might never repeat this great year, but at least, I will use the money earned for a good purpose. Instead of building a garage (man, I really miss my garage!), I will pay down my debt and start fresh for 2012… with more goals! Those will be announced at the beginning of 2012 ;-).
Stay tuned as I’ll also update you on my 2011 blogging goals next week!
|How I Suck at Not Paying Debts||Hitting 6 Figures Income at 28|
|How I Get a Huge Income Raise Each Year||Making $125K Online in 12 months|
|How I Buy Blogs||Most Debated Articles: The Primerica Saga|
|How I Have Survived My MBA||What is So Wrong With Making Money?|
|How I run multiples blogs and makes money without burning out|