The Personal Financial Plan

Used 80,000 as the yearly salary with 2,000 rent monthly with no family and regular living expenses. Aim to spend no more than 30% of your income on housing, 10% on transportation, 15% on food, and 5% on entertainment. Saving 20% of income. If your employer offers a 401(k) match, contribute at least enough to get the full match. While aiming to buy a home in 5 years worth at least 500K in New Jersey. investment Aim for a diversified portfolio that includes a mix of stocks, bonds, and other assets. With retirement at 65 years of age
1. What are your objectives?
— Family
— Career
— Financial
— Estate
2. Manage the cycle
— Save & invest during your working years.
— Drawdown investments in your retirement years.
3. What factors drive the success or failure of your objectives?
— Income – Expenses = Savings
— Trade-off between Time vs. Returns vs. Amount Saved
4. What risks are you willing to take?
— Start a business
— Financial risk