Last year, I used a checklist I found on a financial blog to plan my financial resolutions for 2017. A year has come and gone, and it is time to review and plan my resolutions for 2018.
Target #1: Saving 30% of my paycheck (Status: Achieved)
Next Target #1: Saving 50% of my paycheck
After a calculation of my net worth, I concluded that I saved more than 50% of my paycheck in 2017. However, I am not that surprised with it since I am currently debt-free and single. I hope I can maintain this streak.
Target #2: Building up my $10,000 emergency fund (Status: Achieved)
Next Target #2: Maintaining my $10,000 emergency fund effectively
I have cleared this target and I am considering means to put park a part of my emergency funds into Singapore Savings Bonds, since it is considerably liquid and has a higher interest than my savings account.
Target #3: Get adequate insurance cover (Status: Sufficient..?)
Next Target #3: Read up more about insurance
After lots of research and asking-around, I decided to invest a little to cover my medical bills during accidents and hospitalization. I am sure one can never be too careful, but I think I am sufficiently covered for now. However, I do think that I need to be educated more about this as I approach my thirties, since insurance tend to change often and become more expensive as we age.
Target #4: Pay off 80% of my debt (Status: Achieved)
Next Target #4: Do a projection of foreseeable debts
Being debt-free, this target is not a big feat. However, I do plan to purchase a house in the foreseeable future, so I am leaving this target here for reference for my future self.
Target #5: Invest $300 every month (Status: $100 Achieved)
Next Target #5: Invest $300 monthly
I have read up and began threading carefully into low-risk investments to grow my funds. I also created separate accounts for savings and investments to set boundaries for myself. Apart from parking my emergency funds in SSB and reviewing my regular investments in STI ETF, I would like to get more knowledgeable and experienced in other kinds of investments.
Target #6: Track my expenses daily (Status: Somewhat Achieved)
Next Target #6: Track my expenses daily
Similar to last year, I tracked my expenses on a monthly basis by downloading my bank statements to reduce time inputting expense records and analysing the data. The habit gave me a good image of how well I was managing my finances and which areas I can improve.
As a summary, I have begun reading up on insurance policies and types of investments to protect and grow my wealth. However, I still think that I am and would like to remain conservative with my expenditures into anything related with probabilities.