What Do You Really Want to Do With Your Money?
We all have dreams and goals in life and even though much effort is required, it is by no means impossible for us to achieve them. This often won’t happen by some sort of fluke however, it is much more likely that it will happen because you work hard to make it happen.
With this in mind it can be a very good idea to work out early on in life what it is you really want to do with your money. Which of the following things would you most like to achieve for your future?
A Great House
We all want to live in a fantastic house but how important is it to you? The average UK property price has recently been revealed as being a staggering £186,512. This is a lot of money to get you somewhere to live and maybe you will simply feel that it isn’t worth it. Rather than dedicating decades of your income to paying off a big mortgage you might prefer a simple abode. I have always felt a desire to live in a caravan, for example, and it strikes me as being a fantastic way to live out your retirement years. Other people will see having a great home as being their number one goal.
A Luxury Car
Perhaps what most interests you is being able to buy a luxury car to get around in. This isn’t going to be as expensive as a great house, unless you go for one of the finest sports cars in the world. Of course, if you invest all of your money in a vehicle you will want to look after it well. Even if you do this you will probably need to buy a new one as a replacement at some point. Personally, I love to drive but I don’t really mind too much what kind of vehicle it is, as long as it doesn’t break down too much.
Regular Foreign Holidays
Another possibility is that you want to be able to take a regular foreign holiday for every year of your life. Travelling regularly is going to eat up a fair chunk of your income or savings, so you need to think about it carefully. I took a break from travelling for a few years while we saved up to build our house and I have to confess that I missed it a lot. Now that the house has been built we have started travelling every few months again and it is great fun. However, the financial impact is noticeable and I’m not sure if it is something that we can carry on doing forever. For me the ideal solution seems to be to focus on a fixed financial goal for a few years and then start to travel more regularly once this is achieved.
Improving Your Lifestyle
What if none of the above really interests you? Maybe you aren’t too bothered about where you live, what you drive and whether you go on holiday. In this case, it could be that you want to spend your money on improving your lifestyle. This might mean eating out every day, buying designer clothes or being able to invite your friends round for dinner regularly. I would have to admit that this option is probably further down the list for me than the other points on the list. Sure, it would be great fun to spend money on these things but if I look at my spending habits I would have to list them in order as house, regular travelling, car and then these lifestyle issues.
Is there something else you would prefer to spend your money on?