Budgeting Your Dreams

Whether it’s to retire early, start a new business, or leave your current job for something you love, everyone has a dream. Unfortunately, many people talk about these dreams instead of doing something about them, while others jump the gun to achieve them. The end result usually has everyone returning to the places they started from. Good thing it doesn’t have to be this way. With some simple budgeting tools you can achieve your dream faster than you ever expected.

Make a Plan

Sure, you want to push down the cubical walls, rip off your tie, and start your surf shop the very next day, but it won’t work if you aren’t financially prepared in order to protect yourself and your family. To avoid disaster due to spontaneity, write out a plan of how you want to achieve your dream, allowing you to physically see what you intend to do. Make sure to include a detailed budget if your dream involves upfront costs. With this plan in hand, the path to reach your goal may not be as hard as you once thought.

Pay off Debt

You don’t want the sword of unpaid debt over your head while you pursue your dreams. Not only is it distracting, but it can lead to potential financial disaster once the plan of action is implemented. Though you may feel you have the finances to weather the situation, pay off all the debt first before you take the giant leap toward your life’s next objective.

Achieve in Parallel

There’s no established rule that says you can’t achieve your dreams while in your current position. Fact is, many people start on their life-long goals at the same time they work at their other job. This parallel environment can keep the budget stable while experience and funds accumulate in your dream position. Before you know it, the dream can overtake the current situation, allowing you to leave your job without fear of what’s out there for you.

Realize Your Dream is a Reality

Once you are ensconced in your goal, you need to remember it is now the main means of payment for you and your family. If you didn’t do so while working in parallel, make sure to establish a budget for standard expenses like food, living, utilities, clothing, and transportation. In other words, pay yourself while you invest in your dream at the same time.

Don’t Panic

This simple two-word phrase needs to be printed on all surfaces when you decide to leave your current position to live out your dream. Things may not go as planned at the beginning. As long as you plan ahead and make sure you and your family are financially secure, you can ride out the uncertainties until you reach the calm waters of success.