Alice's Goals In Light Of The S. M. A. R. T.

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According to the S.M.A.R.T. planning model every financial plan must have “smart” goals, which is an acronym for Specific, Measurable, Attainable, Realistic, and Timely. In other words, every goal that drives a financial plan must be Specific, Measurable, Attainable, Realistic, and Timely. This paper will discuss Alice’s goals in light of the S.M.A.R.T. planning model. Alice's goals are to pay off her student loan, buy a house and save for her children’s education, accumulate assets, retire and travel around the world in a sailboat. The first acronym “S” means Specific. All of Alice’s goals are specific because they are clearly defined except one, which is her goal to accumulate assets. Accumulation of assets qualifies an ambition to amass …show more content…

Alice’s other goals to pay off her student loan, buy a house and save for her children’s education, retire and travel around the world in a sailboat are all measurable. “A” stands for attainable. In other words, it must be achievable. In order for Alice to attain her goals she will have to put herself in position to do so. Even though Alice is a college graduate, she must get a job that will enable her to earn an income, which will in turn put her in position to fulfill her goal of paying off her student loan. If she does not do so, and she does not have any other source of income, her goal will not be attainable. Even though all of Alice’s goals are attainable, she will continually have to put herself in position to achieve it. Alice will not be able to travel the world in a sailboat unless she has access to a sailboat to do so, and so she must continue to plan her life in a way that will enable her to attain all her goals. “R” stands for realistic. Realistic goals are in the realm of possibility; they are not outlandish. For instance, it is not realistic to have a goal to fly a plane if one does not have the

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