The SMART planning model is a universal outline of actionable steps used to set up goals that create a forward direction that can be applied to any and all plans or goals that are important to ones present and future ambitions. The SMART acronym, when considering goals, begins with being specific in ones overall objectives or what you wish to accomplish as a goal. In the case of Alice, her specific goal is to immediately start working, so that she can start paying off her student loan, along with paying for her living expenses incurred, because she has to support herself with the income she now earns though her employment. Another specific goal while earning an income is to budget to purchase a home. Along with paying for her …show more content…
Setting a budget to save for the purchase of her home, and sticking to that plan, no matter what comes her way will position her to have saved enough money for a down payment. Again, this is measurable and attainable over time if she follows her plan. This is also realistic and can be achieved over time or is timely. Using the SMART analysis for each of her goals, we can easily see how staying disciplined and consistent will help her achieve her goals. Pay off student loan- So with her earned income of $35,720 a year, her student loan payments are $7700 a year leaving $28020 remaining. Since this is an obligation with her continual payments, she will be able to pay this off over time that will coincide with SMART, specific (paying off), measurable (payoff over time), attainable, realistic, timely ( all possible over time, within budget to achieve). Buy a house- Since she has only $28020 remaining of her budget, her rent of $10,800 and living expenses of $14400, leaves her with a remaining amount of $2820 she has to save for the purchase of a home. Using the same principles of SMART, this is attainable over time in terms of specifics (saving for a home),
be doing what she is now for the rest of her life, unless she would
whatever he does not want her to do. Throughout her twenty years of life with
foresight to begin saving money so she does not have to live paycheck to paycheck for the rest of
a new car, which reduces the cost of financing, but these families are also likely to have poor credit
I was able to understand the definition of each word in the acronym. In other words, specific stands for the who, what, where, why, and when of the goal. Measurables are explained by asking how much, how often, and how many. Attainable asks if the goal is achievable. Relevant is defined as how it applies to your ultimate vision.
While creating my hypothetical family I did not want to have the average American family that consist of a mother, father and multiple children. Instead, I decided to have a single mother, 33 years of age and her daughter 15 years of age. The main income source for the family comes from the mother who makes an average of one thousand four hundred and fifty dollars a month. The last source of income is from child support of the daughter which is one hundred and fifty three dollars. The two bedroom apartment the family lives in is five hundred and forty dollars, the utilities bill is one hundred and nineteen dollar and the monthly car payment and insurance is three hundred and seventy dollars. The grand total of expenses is one thousand one hundred and twenty nine dollars which only leaves four hundred and seventy four dollars for emergencies or situations that may arise.
People of all ages should begin planning for retirement and managing their money well so they are ensured enough income when they do retire. Retirees estimate that people will need 71% of their pre-retirement income to maintain their current lifestyles. Stocks and 401(k) plans are recommended.FactsNonretired Americans with household incomes that average more than $50,000 assumes they won't be able to retire until age 59.More than a third of affluent retirees with children and grandchildren are helping to support them financially, as are 29% of all retirees. Also, nearly a quarter of all retirees whose parents are alive are helping them financially.Fully 48% of the affluent who aren't retired as well as of all people surveyed who aren't retired believe they have to work part time in retirement.
SMART goals are a wonderful tool for following through with an important goal. SMART stands for specific, measurable, attainable, realistic, timeline. The goal I picked for Jane Doe is smoking.
business and personal goals. Keeping this aspect in mind I am keen on applying the “Four steps to
Showing her options: Showing her resources, to help her provide for her family, finding her a safe place live, obtaining a job and going to back to school
Over the last few decades, college tuitions and fees have increased by over one thousand percent, surpassing every category associated with the cost of living including food and medical. This unprecedented rise in cost has resulted in an avalanche of issues for young and middle-age adults. As, a result of steep student loan amounts, graduates are being forced to move back with their parents, fewer young people are becoming homeowners, they are delaying retirement saving, and are dropping out of college at an alarming rate of nearly fifty percent. With all the controversy surrounding the topic of increasing college cost, the revised income-driven repayment program has been created to help borrowers pay back student loans according to their income.
is an only child; she is rich and would be a good catch for any man of
work and is about to get married. The only work she has done is when
two jobs to support her family and is therefore not there to spend much time
son. She is a very quiet person who hasn't got alot of money. I know