With 2007 fast approaching, it is soon time to discuss and plan out my goals for the new year. I’ve never been one to set goals at a beginning of the year but maybe I will start now.

Here are my goals for 2007:

Goal #1:

Increase our passive income to at least $500/month. Right now, our only passive income is from the rental unit which gives us about $250/month cashflow. Perhaps i’ll purchase another rental property? Perhaps increase my internet income? I hope that AGLOCO comes through as I have started to build a network. My ultimate goal is to have my passive income exceed my monthly expenses.

Goal #2:

Become better at my job. I always seem to be distracted at work thinking that things are better somewhere else. I think it’s time to focus on my daytime work a little more, perhaps it can become more rewarding.

Goal #3:

With our combined income increasing to around $110 000 in the new year, I hope that we maintain our 15-20% savings rate on our gross income. So, if we are to save 20% ($22000), we will have to save $1834/month. As I mentioned before, paying yourself first using automatic withdrawals should do the trick. Can’t spend what you don’t have in your spending account right? We are currently saving per year:

Pension: $4000
RRSP: $6000
Emergency/Vacation/Misc: $9360
Non Registered: $2600
Total / year: $21960 ($1830/month) ~ 21% of our gross income.

Goal #4:

As I wrote on an earlier post, I want to increase our charitable giving. This year, I believe we donated around $500 and i’m hoping to donate closer to $1000 – $1200 this year. Perhaps i’ll increase our monthly pre-authorized donations.

Goal #5:

Regardless of how the market does in 2007 (indicators show a US market correction), I want a 12%-15% return on my investments. I plan to do this through continuing to invest in dividend paying stocks in my RRSP and through stock trading in my non-registered account. Perhaps i’ll start a portfolio category here to keep track of my investments.

There you have it, 5 financial goals for 2007. None of the goals are too aggressive except for Goal #5 where i’m aiming for a 12-15% annual return for the year.

Happy Holidays everyone! Be safe and take care.

Subscribe
Notify of

This site uses Akismet to reduce spam. Learn how your comment data is processed.

14 Comments
Oldest
Newest
Inline Feedbacks
View all comments

Shouldn’t you move only interest bearing investments inside your RRSP and then keep your capital gains and dividends outside for the best tax advantages?

FT

Have a very, Merry Xmas and a Happy New Year.

Just started reading some of the guys you have linked to and I am enjoying Canadian Dream. I haven’t read through all the others just yet.

Regarding dividend tax credits, Derek Foster uses this as the basis for his whole program. With the dividend tax credit, someone who has no other income can almost gain $30,000 tax free (or something like that, I would have to read it all through again). I don’t know how it breaks down when you have other employment income.

Q

I like your goal #4 – increase your contribution on charities. I think I should add another goal on charities in my 2007 to do list.

[…] Million Dollar Journey: Goals for the New Year (2007) […]

I’m also a fan of increasing passive income in 2007. It is something we really need to get a handle on and start producing. The closest thing we have right now is ebay selling, which isn’t passive, but is something done in the free moments of the evening.

[…] 2006 has been quite an adventure and has set the stage for 2007 to follow suite with many personal, social, and financial quests. It is now time to consider the choices available for charting a course through 2007. I’ve set up general and specific goals that are attainable with dilligence and a little stretchingwhere needed. […]

Ebay is actually the partner’s domain. He has a system and it all seems overly complicated and time consuming, to me, but he’ll maintain at least 10 auctions at all times — when life doesn’t get in the way. Seeing as how the man has warehouse volumes of stuff and the stuff moving out the door is more like pebbles on the beach (versus furniture from the beach house), it’ll be a very long, slow, never ending process. He sales mostly metal working and various obscure technical items that I would look at and throw out without realizing that it might be worth $500. I’ll prolly start assisting him soon just to move the process along (and to help build up monthly income).

Great blog you have here and those are some great goals. One thing that could probably use a bit more definition is how you plan on achieving 12-15% return if the market goes south. It’s not predicted to, but it may be worth thinking through some defensive strategies and risk mitigations to ensure you hit your goal, should the market drop.

BTW, I also really like your goal of becoming better at your job. “Be in the here and now” sort of thing. Nice!

RetiringEarly.blogspot.com

[…] Moving into 2007, I hope to achieve the goals that I had set out.  One of my main goals is to improve my stock trading strategies and techniques so that my results are more consistant.  I hope to refine my trading skills by reading more stock trading books, i’m currently reading the book “Come into my Trading Room” by Alexander Elder and it has taught me quite a few things I didn’t think about before.  I will comment more on this book later when I finish it and start to implement some of the techniques written. […]

[…] January FrugalTrader08:00 amAdd comment As stated in my financial goals for 2007 post, one of my goals is to increase my passive income. Thus far, our only solid passive income has been from our rental property ($250/month cashflow). My goal for the year is to increase our monthly passive income to at least $500/month hopefully by increasing our online income. […]

[…] January FrugalTrader05:17 am2 Comments I know, I keep harping on passive income. Why? It’s because I believe that when my passive income exceeds my living expenses, I’ll consider myself financially free. Yes, that is a definition ripped straight from Robert Kiyosaki of Rich Dad/Poor Dad, but it makes sense to me. As stated as one of my goals for 2007, I would like to achieve passive income of at least $500/month this year. Here are my sources thus far: […]

FT,

Regarding Goal #3, does that 20% savings include RRSP contributions?

[…] In my goals for 2007, I stated that I would like to increase my charitable giving. I’m a bit late in starting my charitable giving plan, but better late than never right? I have a plan to leverage MillionDollarJourney.com to increase charitable giving. How? By selling links and donating the proceeds to charity! […]

[…] March FrugalTrader05:00 am2 Comments I’m a big fan of donating or tithing to charity. As I mentioned in my “financial goals for 2007” I’m trying to increase my donations this year to about $1200 ($100/month) from the $500 donated in 2006. Our ultimate goal though is to donate 10% of our gross salary to charity which today would be about $11,000/year or around $920/month. […]

[…] June FrugalTrader05:00 am10 Comments As I was reviewing my financial goals for 2007 the other day, it dawned on me that it’s half way through 2007! I figure now is a good time to discuss my progress thus far. I have listed my goals and progress below: […]

[…] goals and commitment.  I have already written about my million dollar net worth goal and my financial goals for the year along with updates, what more should I write […]

[…] Increase our charitable giving to $2000 for the year.  Increasing our donation goal to $2000 doubles the 2007 goal. […]