Tuesday, December 15, 2020

My Financial & Personal Goals for 2021

Given that there are just a couple weeks left in 2020, I will soon begin to look back on 2020 and in a couple posts, I will be checking back on my progress in my goals that I initially set for this year in my post last Christmas Eve, and my post that was revised a few months ago.

With that aside, the intent of this post is to look ahead to 2021 and begin setting goals for the year that lies ahead.

Without further ado, I present my financial and personal goals for 2021.

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My Financial Goals for 2021

1. Collect at least $1,800 in net dividends during the year

2. End 2021 with at least $2,200 in net annual forward dividends

3. Amass at least $55,000 in investments/end 2021 with a net worth of at least $65,000

Beginning with my first goal to collect at least $1,800 in dividends during 2021, I believe that this is a reasonable goal.

For context, I will enter 2021 with roughly $1,400 in net annual forward dividends, so as long as I add roughly $800 in net annual forward dividends during the year, I will be on track to accomplish my goal of collecting $1,800 in net dividends (assuming relatively balanced capital deployment throughout the year).

My second goal for 2021 is to end with at least $2,200 in net annual forward dividends.

In order to accomplish this goal, I would need to deploy $20,000 or ~$1,700/month at a 4% yield (without factoring in any dividend growth or reinvestment of dividends), which is roughly in line with the amount of capital that I have allocated each month to debt repayment and/or investing. 

Given that I anticipate I will enter 2021 with virtually no debt aside from my $1,000 of interest free Robinhood margin, I am confident that I will come close to meeting this goal or slightly exceed it.

My final financial goal for 2021 is to amass $55,000 in investments, which I believe is reasonable when considering that my investments heading into 2021 are likely going to be around $35,000.

Factoring in the nearly $2k in dividends that I will be positioned to receive during 2021 and roughly $20,000 in fresh capital that I believe I can invest, the markets could slightly fall from current levels and I would be able to reach my goal of $55,000 in investments.

From a net worth standpoint, my net worth will be right around $45,000 going into 2021, so as long as I meet my goal to invest $20,000 in fresh capital for the year, I will likely reach my goal of a $65,000 net worth in 2021.

My Personal Goals for 2021

1. Publish 1 blog post each week

2. Publish 1 Seeking Alpha article each week

3. End 2021 with 8,000+ followers on Seeking Alpha

My first two personal goals for 2021 are the same as they were in 2020, which was to publish at least 1 blog post each week and 1 Seeking Alpha article each week.

Seeing as I am enjoying pumping out the amount of content that I have been producing this year, I am comfortable continuing on this goal because it strikes the right balance of productivity and leisure for me.

Just as my second goal revolves around Seeking Alpha, my third and final goal for 2021 hinges on maintaining an active presence on Seeking Alpha.

I believe that as long as I publish at least 1 Seeking Alpha article each week that I will be able to achieve 8,000 followers on the platform by the end of 2021.

Since I will be just a few hundred followers under 5,500 heading into 2021, I would need to roughly average roughly new followers each week, which is only slightly above what I have averaged in my first 2 years here on Seeking Alpha.

Concluding Thoughts:

Because most of my goals depend upon each other, I suspect that 2021 will be an all or nothing year in terms of achieving my goals.

If I'm able to deploy capital at the level that I suspect I will be able to and the markets are down slightly at worst, I will likely achieve all 3 of my financial goals.

Similarly, if I continue to produce content on a weekly basis, I will certainly be able to achieve my first two goals, and I give myself a good chance of surpassing 8,000 followers on Seeking Alpha by the end of 2021.


What are your goals for 2021? 

Of all your goals, which one do you believe is your most ambitious?

As always, thanks for reading and I look forward to hearing from you in the comment section below!

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