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Reflection Paper
AB 104 Personal Financial Management
Dana Gitzlaff
October 7, 2014

Reflection Paper The first key element we learned about was setting specific goals about what we want to do with our life and our money. In both our professional lives as well as our personal lives, finances have a profound effect on achieving those goals. Setting a goal to travel in retirement years affects how we will plan our finances. Setting a goal for early retirement depends on how well we handle our finances in the present time. Home ownership, providing for the grandchildren’s college education, moving or changing careers will all be affected by how our finances are managed. Goals should then be prioritized in the order you want to achieve them with the exception of long-term goals like retirement which should be constantly maintained while working on the others. Setting goals will do little good unless a plan is formulated. Controlling your budget should be the first part of your plan and the second part should be how to get out of debt. After these two things are accomplished, decide what you want to do with your money to reach your goals. Creating a budget allows you to create a spending plan so you can direct your money in a way that will help you to reach your goals. Once you have formulated your plans and have paid off debt, you are ready to begin investing and should speak to a financial planner to help you make your investment decisions. Preparing in advance for end of life decisions is also a responsible item to include in your financial planning. As a self-employed person, personal financial management very closely mirrors business financial management. Therefore, with a little tweaking, this class has better prepared me to successfully manage both environments. It has reopened my eyes to the options available to me and reminded me that any successful plan starts at the beginning. Waiting to plan until the time is right sends you down a path where the time may never be right. It is alright to start planning for the future when you have only a few dollars to work with. Watching those few dollars grow is exciting and encourages continued development, both personally and financially.

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