Your second set of New Year's resolutions

Did you know that February is the month of the Chinese New Year? If you lived on the other side of the world, you might see colorful parades, hear fireworks on the rooftops, and watch paper dragons dance down the streets. It's interesting to note that 2010 is the Year of the Tiger. I like the roaring sound of that! It matches my own personal outlook for this year.

Chinese New Year

Anyway, since this is technically another New Year, you get to make another set of resolutions. How would these be any different? Well, on January 1, we typically resolve to better ourselves for the near term. We want to eat less, exercise more, and generally improve ourselves over the months that follow. But in February, for the Chinese New Year, I suggest that you make financial resolutions. Why? Because while the first set of resolutions might focus on your near-term goals, the second set should focus on your long-term dreams.

The dreams we share

At Atchley Financial, we've helped many of our clients make this second set of resolutions, and you'd be surprised at how many financial dreams we share. In our experience, the long-term financial goals that are the most common are:

To be able to retire

To be able to stay retired

To be financially independent

Do those sound anything like your financial dreams? It's not surprising. The ultimate dream for people who've worked hard all their lives is a multi-decade retirement filled with dignity and independence.

The illusions we share

Unfortunately, many people are still under the illusion that as long as they're saving, they'll have enough to retire. But that still leaves some big unanswered questions:

How much are they saving?

Are they investing properly?

Will they have enough - not only to retire - but to stay retired?

Think about this: The average age of retirement is 62, yet with today's medical advances, it's possible that you and/or your spouse might live into your 90s. What's more, you can't just count on Social Security and Medicare anymore, because they may well be overwhelmed as 75 million baby boomers begin to age.

The solution

So how can you be confident that you can achieve your financial dreams? We suggest that you ask your wealth manager to create a Cash Flow Analysis. But be prepared - make sure that you have the following:

Your current investment portfolio

Any benefit pensions, including Social Security, you'll receive at retirement

If you're still working, the amount you contribute to a retirement plan

The amount of income you think you'll need in retirement in current dollars

Timing is critical

If you're still working, we strongly urge you to do this before you decide to retire. If you're already retired, we recommend that you regularly review your plan with your wealth manager to make sure that you're properly positioned in this ever-changing market.

We're here to help

Of course, your first New Year's resolutions are sometimes broken by the time you hear, "Gung Hay Fat Choy!" But your second New Year's resolutions will be much more important. So give us a call if you'd like to know more. We're here to help you make smart decisions about your wealth, so you can spend more time doing the things you truly care about. We want to make sure that your dreams for tomorrow have strong foundations in your plans for today.

Les Atchley is the founder of Atchley Financial Group, a national wealth management firm headquartered in Coeur d'Alene that specializes in retirement, investment, and estate planning. He and his team of specialists help clients make intelligent decisions with their wealth in order to realize their goals and achieve financial independence. You can contact him directly at 208-664-1900 or learn more about the firm by visiting their Web site at AtchleyFinancial.com. Securities and advisory services offered through National Planning Corporation (NPC), Member FINRA/SIPC, a Registered Investment Adviser. Atchley Financial Group, Inc. and NPC are separate and unrelated companies.