What's Your Financial Plan?

Robert Kiyosaki, author of Rich Dad, Poor Dad, recommends making three financial plans:

Step 1: Write a Financial Plan for Lifetime Financial Security

What does security mean to you? The absence of stress and worry? Few, if any, sleepless nights? Being in a better situation?

Determine exactly what you need to do to achieve your vision of security.

If you've decided that your first priority is to be rich, this step may see mechanical and boring - even unnecessary. Because when you plan for security, you're planning for a world of 'not enough.' One of the goals of this step is to motivate you to reach beyond a goal that might limit your potential.

Step 2: Write a Financial Plan for Lifetime Comfort

What does comfort mean to you? A big house and two cars? A house, a vacation cottage and three cars? Obviously, this plan will be a little more aggressive than the first one. And it will be less boring because when you plan for a world 'enough,' there are more choices open to you. Your challenge will be to choose.

Step 3: Write a Financial Plan for Becoming Rich

This will be your most aggressive plan - and the most exciting. For, now, you are anticipating a world of 'more than enough.' You'll be faced with a myriad of choices, for opportunities to make money are all around you.

As with the previous plan, your challenge will be coping with the abundance of possibilities. You don't want to wander through life like a kid in a candy store, so distracted by choices that you can never make one.

Think this plan through carefully and thoroughly.

Extra Tip: Make sure your financial plan includes asset protection.