{"id":31682,"date":"2012-08-16T16:54:41","date_gmt":"2012-08-16T20:54:41","guid":{"rendered":"http:\/\/countingpips.com\/forex-news\/2012\/08\/how-to-be-a-better-golfer-and-achieve-financial-independence\/"},"modified":"2012-08-16T16:54:41","modified_gmt":"2012-08-16T20:54:41","slug":"how-to-be-a-better-golfer-and-achieve-financial-independence","status":"publish","type":"post","link":"https:\/\/www.investmacro.com\/forex-news\/2012\/08\/16\/how-to-be-a-better-golfer-and-achieve-financial-independence\/","title":{"rendered":"How to Be a Better Golfer and Achieve Financial Independence"},"content":{"rendered":"

Article by Investment U<\/a> <\/p>\n

Bob Toski\u2019s classic book, The Touch System for Better Golf<\/em>, could make you rich. But for those of you who haven\u2019t read it yet, I\u2019m happy to give you the gist of it and how it can set you on the path to financial independence\u2026<\/p>\n

As a senior in high school, I was captain of my golf team. I had a great short game. My iron shots were pretty good, too. The problem was my driver. Oh, I hit a long way. But too often the ball ended up beyond the white stakes or deep in the elephant grass.<\/p>\n

That changed after I read Bob Toski\u2019s book. Toski pointed out that most golfers get on the tee, aim down the middle, and then try to hit the ball as far as they can.<\/p>\n

Big mistake. The driver is just like any other club, Toski insisted. You need to aim for a target. You can\u2019t just point it down the middle. You need to select an exact spot in the fairway and hit to it. When you do, you quit jumping out of your shoes and swing more smoothly. Your driving accuracy \u2013 and distance \u2013 improves immediately, just by having a definite target in mind.<\/p>\n

What does golf have to do with achieving financial independence<\/a>? Everything, really\u2026<\/p>\n

How Golf and Financial Independence Go Hand-in-Hand<\/strong><\/h2>\n

In my former life as a money manager, I would ask prospective clients what they were trying to achieve with their investment portfolios.<\/p>\n

\u201cWell, I\u2019m trying to make a lot of money,\u201d was the typical reply.<\/p>\n

\u201cBy what date?\u201d I asked.<\/p>\n

\u201cThe sooner the better.\u201d<\/p>\n

There\u2019s an old saying: If you don\u2019t know where you\u2019re going, you\u2019re not likely to get there. This is especially true in investing.<\/p>\n

You need a definite goal (an exact spot in the fairway). Then you can put together a plan to achieve it.<\/p>\n

\u201cI\u2019d like to be rich,\u201d is not a goal.<\/p>\n

\u201cI\u2019d like to have a $1 million net worth on my 65th birthday.\u201d Now that\u2019s a goal.<\/p>\n

Once you have a goal, making a plan is easy. For instance, let\u2019s say you are 25 years from retirement. How much do you need to save every month? Well, get out a financial calculator. (Or visit Investment U\u2019s<\/em> ROI calculator<\/a>.) If you save $750 a month \u2013 and do no better than the stock market\u2019s long-term annual return of 10% a year \u2013 you will have $1,003,418 in 25 years.<\/p>\n

You want to have $3 million when you retire? Increase your savings\u2026 or your rate of return\u2026 or your number of years working\u2026 or all three. The important thing is to know where you\u2019re going so you can devise a plan to get there.<\/p>\n

Your First Steps Towards Achieving Financial Independence<\/strong><\/h2>\n

If this sounds awfully basic, rest assured it isn\u2019t. Studies show most Americans don\u2019t have a clue how much to save for retirement.<\/p>\n

The recently released 2012 Retirement Confidence Survey, conducted by the Employee Benefit Research Institute (EBRI), reveals that 42% of those polled are just guessing how much they\u2019ll need in retirement and have no confidence in their retirement plans.<\/p>\n

Fretting doesn\u2019t change a thing, however. Money compounding does.<\/p>\n

So get out the financial calculator\u2026<\/p>\n