WayPoints Financial Freedom Journey
Navigate Your Financial JourneySAIL FORWARD
WayPoint 7 - Homeward Bound
Save 20% Down Payment to Purchase House | Acquire 20% Equity in current House | Refinance Mortgage to 15 Year Term or Less
(Create ownership, minimize market value risks and eliminate PMI)
WayPoint 8
– Forging Ahead
Invest 15% of household income towards Retirement
(Move ahead steadily and make progress
– NavEd
Fund Children’s Education (ESA | 529 | State Funded Plans)
(Invest in education and eliminate student loan debt risk)
– Home Free
Pay off Primary Residence and Other Mortgage Debt (Refinance to 15 Year Term or Less)
(Eliminate the last risk and ensure a successful journey to Financial Freedom)
WayPoint 9 - Flying Colours and Paying Out
Build Wealth and Give
(Celebrate your successful Journey and sail into Financial Freedom; Fly your flags and pennants up high and continue to succeed, give generously and leave a legacy)
ELIMINATE MAYDAY
WayPoint 6 - Safe Zone
Save 3 – 6 Months of Living Expenses
(Complete your Safe Zone and self-insure to protect yourself from major assaults or emergencies)
WayPoint 5 - DebtWave
Payoff All Secured and Unsecured Debts from Lowest to Highest Balances (Not including Primary Residence)
(Create progress with powerful wave energy, starting with small waves then moving to larger waves)
WayPoint 4 - Buffer Zone
Save a Budget Cushion and Initial Emergency Fund ($1000 – $2500)
(Protect your Safe Zone from minor assaults)
ZERO IN
WayPoint 1 - FOCUS
FOP Method
Focus: Target your financial and life goals
– this is where hope happens
– create clear vision of what you want to accomplish
– set attainable goals based on that vision
– 90 Day Goals
– 6 Month Goals
– 1 Year Goals
– 5 Year Goals
– Lifetime Goals
WayPoint 2 - Organize
FOP Method
Organize: Create a simple written and detailed CashFlow Plan
– this is where we start to create a plan
– Income
– Expenses
– Fixed <- mortgage, rent, etc
– Variable <- activities, eating out, gift giving
– Future <- house, car maintenance, vacation etc (saving for future expenses)
– Taxes & Employee Benefits
– Retirement Planning
– Emergency Funding
WayPoint 3 - Prioritize
FOP Method
Prioritize: design your journey towards financial freedom
– this is where you execute your plan
– Essential expenses (needs)
– Food
– Housing
– Utilities
– Transportation
– Clothing
– Non-Essential expenses (wants)
– Life Shield <-Protect yourself and family against unforeseen circumstances
– Insurance Plans <- What are the critical insurances you need in your life? (Life, Health, Auto, Disability, Home Owners/Renters, Identity Theft, Long Term Care)
– Will & Testaments <- Importance of having these created.
– Power of Attorneys <- Who is going to make your Financial & Health decisions if you can’t?
– Legacy/Estate Planning <- What happens with your money and estate when you die?