Happy new year! This is a time for looking back and for looking ahead. How did you do financially this past year? Was it what you expected? What do you expect in the coming year, and the years ahead? If you could magically produce a spreadsheet that could help you look ahead, what would you ask it? Here are some of the types of questions you might want answered:
- How can I get out of debt?
- How much do I need to save to reach my goal?
- Can I pay off my house faster?
- Should I refinance my house?
- How much money do I need to retire?
- How much can I spend each year in retirement?
You can probably think of others. The good news is that you can easily build spreadsheets to explore questions like these. Of course, there are no certainties in financial planning. That’s why you may want to play “what if” and maybe do some Monte Carlo analysis. Best wishes for a new year filled with fun and no unpleasant surprises.