So after considering my ideas for goals for 2009 I’ve decided to scrap my original idea and go with a simple set of goals of items that I can control.
- Reduce my LOC balance to zero by mid-2009 (ie: June, July or Aug). I originally wanted to have this done by end of 2008, but with the down market I decided to extend this out a bit to leave more cash for buying opportunities as they show up (after all if the Bank of Canada keeps cutting rates much more the interest will be almost nothing).
- Max out contributions to both my wife and my TFSA’s for 2009. So in total $10,000.
- Make total contributions to pension (employer and mine), RRSP’s, TFSA’s and taxable accounts of $25,000 in 2009. This basically represents all savings that I put into investments, so yes goal number two feeds into this goal.
My bonus goal should I complete the above with cash to spare is to make a extra mortgage payment (or two).
Notice I use the word ‘contributions’, so I’m tracking what I put in and not what it is going to be worth at the end of the year. I’m not setting a net worth goal in 2009 at all. In the end I’ll still track my net worth going forward to gauge my overall progress, but given the number of factors that affect my net worth I’ve learned from 2008 don’t set short term goals by it. I still think net worth is a good overall indicator, but it falls apart a bit when doing shorter time horizons.
On a personal note I’m setting one other goal in 2009. I’m finishing the draft of a book I’ve been working on. Ideally I would like to get the thing published in 2009, but I know I need to get the draft done first and then worry about either finding a publisher for it or doing a self published version.