512 Drop: This Is Exactly Why You Need A Plan

The Dow Jones Industrial Average dropped 512 point today.

These days, standing on their own, are no fun.  They can be anxiety inducing and make us question our participation in the market.

But they aren’t meant to be taken on their own.  They are just snapshots in time, and don’t hold any value on their own.

The best thing to do, right now?  Revisit your Financial Plan.  Review what you established as goals that are important to you and your family’s future.

Don’t have a Financial Plan? Then what are you using for your compass?

How are you able to gauge how you are doing without any benchmarks to measure your progress?

Sure, we all like to see our assets moving in one direction: UP!

But that doesn’t always happen; today attests to that.

Having a Financial Plan reinforces the decisions you made objectively outside of the context of short term market volatility and serves as a reminder for what it is you are working and striving towards.

(Disclosure: I am a Fee-Only Financial Planner. My website is here.)