My Financial Plan for the Future

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Foreclosure is an extremely serious topic for so many people. For some, it simply means that there are cheap houses on the marker, for others, it is the end of their lives as they know it. Ultimately, there really isn’t a solution to foreclosure, but there I have formulated a plan to help slow down the process.

The future is always uncertain. However, having a financial plan for the future can save a person a lot of grief. More importantly, it can help tremendously for that young adult who is fresh out of college, and at the beginning stages of life; for the young adult who is preparing to attain his or her Doctorate, and will be living, most likely, completely on his or her own.

I am that person.

Or more specifically, I will be that person in about 5 years. I am currently pursuing my Bachelors degree in Psychology. I don’t want to do the typical “couch session” with my patients. My goal for my life, career wise, is to open my own practice. My dream is to have my own practice that caters to teenagers, specifically. I want more than anything to be able to show them that there are people that really do care about them.

According to my research, an entry level Psychologist earns around $30,000 a year, $2,500 a month ($30,000 divided by 12=$2,500) The following research predicts and plans how the money will be divided in order to live financially stable.

I looked at housing first. Obviously, I will need a place to live. I will be 24-25 by the time I get my Master’s, so one of the last things I want is to move back in with either of my parents. I researched apartments in Los Angeles, California. One of my dreams is to live next to the ocean. I have already lived in Florida, but I would love new scenery for whe...

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...put towards my bills.

I know that many people only have two types of accounts; checking and saving. One of two things is going to happen once I have my masters. I will either have multiple accounts aside from checking and savings for emergency funds, misc. funds, clothing, etc., or I will have one checking and one savings account. If this is the case, then most of these categories will go into the saving accounts, and I will A) not be tempted to spend it and B) keep a notebook of some sort to keep track of what I have deposited into that account.

Monthly Budget

Percent

Housing 30%

Utilities 5.6%

Medical Insurance: 1.4%

Transportation (gas and insurance) 12%

Grocery 2%

Savings 10%

Clothing 2%

Tithe 10%

Cell Phone 1.8%

Emergency Funds 4%

Support a child 2%

Support a mission 3%

Misc. 0.8%

Student Loans 6%

TOTAL: 88.8% REMAINING: 11.2%

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