When it comes to planning for a financial goal, such as retirement, there are several variables that play a role in your ability to meet the goal. Because of this, it can be tempting to feel overwhelmed. Which is why we find it helpful to categorize some of these major variables into what you can and what you cannot control. I really like the above picture as I feel it does a nice job giving visual representation to this concept.

As you can see, there are only two variables over which you as investors have full control: how you manage your money and how you manage your investments. It is vital, when planning to accomplish a goal, to determine how much money you should be saving in order to give yourself the best chance of meeting the goal. Additionally, it is important to choose how and where you invest the money you are saving.

Then there are the many variables that you have limited or no control over. For example, no one can predict what the future market returns will be and what future tax policy will look like. Additionally, while we do have some say in where we work and how long we stay in the work force, sometimes these things can be affected by outside factors beyond our control, too.

So, when making plans to accomplish a future goal, focus your efforts on those variables over which you have control. And we believe you should work with a qualified financial advisor that will keep your best interest at the center when developing, implementing, and maintaining your financial plan to meet that goal. Here at Master’s, we are so grateful to be able to play this role for our clients and look forward to continuing to do so.

What habits have you developed that have helped you accomplish goals in the past?