(WGHP) — You might have a budget, but do you have a money map?
Tim Maurer with Triad Financial Advisers explains, “Money mapping is somewhat different from budgeting because budgeting just looks at the present, that one moment in time, what’s happening with your money right then. Money mapping takes a bigger view. It’s a more comprehensive approach to money management.”
To create a money map, Maurer said to start with the basics.
“Write what you own and what you owe, your assets and liabilities, on one side and on the other side, you have your cash flow… money coming in as well as expenses. Then that third component in most money mapping that you will find is your goals for the future,” he said.
That goal setting is key! Be specific with age-related outcomes.
“It gives you an opportunity to picture that which is in the future which we know is important and then we can do our budgeting in the present in such a way to facilitate a more successful financial future,” Maurer said.
Be honest with yourself and get started today.
Some helpful resources for budgeting and financial planning: