S.M.A.R.T. Planning Model
A woman by the name of Alice recently graduated from college, and wants to focus on producing enough income to sufficiently meet her cost of living and address the student loan debt she has acquired. Over the next ten years, though she would like to shift her focus to having a family. But in order to do so she will need to buy a home and address the need to save for her child 's education expenses. Therefore, her income will need to cover the increased expenses plus produce an additional surplus which will need to be saved in order to build the necessary assets. In addition to her immediate goals, Alice 's long term ambitions are to retire as soon as possible, living off her accumulated assets, and then to maybe travel in a sail-boat around the world. In order to meet these goals, she will have to focus her efforts to sufficiently provide enough resources that can be utilized in her retirement years. How should Alice apply the S.M.A.R.T. Planning model to her financial goals. According to the text book Personal Finance, by Rachel Siegel and Carol Yacht; the S.M.A.R.T.; the planning model illustrates that a person must address each goal as being Specific, Measurable, Attainable, Realistic, and Timely. …show more content…
But upon paying off her debt her next goal is to buy a home and begin saving funds for her children 's education. Now this would be a good time to plug the UoPeople, which offers accredited degrees without the tuition expense. By choosing this option Alice would be able to divide a larger portion of her recently made-available funds towards the purchase of a house. But this goal needs to be made specific, by determining region, location, and local home prices. The Real Estate ABC website, the current home price depending on region ranges from $150,000 to $300,000. This goal can not be further evaluated since with the available information provided it can not be
A woman by the name of Alice recently graduated from college, and wants to focus on producing enough income to sufficiently meet her cost of living and address the student loan debt she has acquired. Over the next ten years, though she would like to shift her focus to having a family. But in order to do so she will need to buy a home and address the need to save for her child 's education expenses. Therefore, her income will need to cover the increased expenses plus produce an additional surplus which will need to be saved in order to build the necessary assets. In addition to her immediate goals, Alice 's long term ambitions are to retire as soon as possible, living off her accumulated assets, and then to maybe travel in a sail-boat around the world. In order to meet these goals, she will have to focus her efforts to sufficiently provide enough resources that can be utilized in her retirement years. How should Alice apply the S.M.A.R.T. Planning model to her financial goals. According to the text book Personal Finance, by Rachel Siegel and Carol Yacht; the S.M.A.R.T.; the planning model illustrates that a person must address each goal as being Specific, Measurable, Attainable, Realistic, and Timely. …show more content…
But upon paying off her debt her next goal is to buy a home and begin saving funds for her children 's education. Now this would be a good time to plug the UoPeople, which offers accredited degrees without the tuition expense. By choosing this option Alice would be able to divide a larger portion of her recently made-available funds towards the purchase of a house. But this goal needs to be made specific, by determining region, location, and local home prices. The Real Estate ABC website, the current home price depending on region ranges from $150,000 to $300,000. This goal can not be further evaluated since with the available information provided it can not be