Since Alice has outline her goals and defined what she wants to achieve then the first part of the planning process is already defined. Her goals include paying off her student loan, buying a house and saving for the education of her children, accumulating various assets and retiring. Finally, she would like to travel around the world in a sailboat(Siegel, & Yacht, 2009). Therefore, her first goal includes paying of her student loan, which is will reduce her debts and allowing her to have more disposable income to achieve the rest of her goals. Based on her income Alice …show more content…
From the information given, for Alice to buy a house and save for the education of her children she will need to spare a larger amount of her income. The need to spare more income will force her to come up with a way to do so which involves identifying the choices available to her. The choices available include either cutting down on her expenses or looking for an alternative job(Allen,2005). Cutting down expenses will mean reducing the amount of money one spends every month(Siegel, & Yacht, 2009). However, based on the current situation of Alice it is not possible for her to reduce her expenses, thus looking for a job is a better option since it will increase her