Financial Resolutions for Year 2011

During my leave these few weeks, I have sorted out some financial/personal matters and is in the midst of sorting out some others as well.

Well, I'm not really into new year resolutions as I believe resolutions can be made anytime. But since a new year will begin very soon, I may as well take this opportunity to lay down some critical rules/guidelines for myself.

1) Deligently track my income & expenses on a monthly basis
I do track these currently to a certain extent but fail to follow up to complete the tracking & thus couldn't really review the effectiveness of my budgeting & savings.

2) Deligently track my investments (in cash, CPFIS & SRS)
Similarly, I'll need to follow through in this area, focusing on the realised/unrealised returns. This will then enable me to monitor whether I'm on target to build up my retirement funds.

3) Deligently track the dividends received from my investments
Dividends received will be channeled to a separate savings account. (But this is only applicable for cash investments since dividends received in CPFIS & SRS investments will be automatically returned to the respective account with the agent bank.)
This will allow me to monitor my overall dividend yield. At the same time, these received dividends will be accumulated in order to reinvest into stocks.

4) Continue to build up my passive income
One of the ways is via dividend stocks.
Currently, I'm targeting to collect an average of $1000/month via dividends after I retire.  
Looking at an average dividend yield of 6%/annum, the amount of capital required will be $200,000.
Initially, I plan to achieve this by age 40. But thinking further, the focus on growing the savings should also not be neglected. If the opportunity comes along, I should liquidate a proportion of my dividend stocks during any downturn to lock in the capital gain & repurchase them at a lower price subsequently to increase the dividend yield. Again, easier said than done but it could be done.
With this in mind, I aim to stabilise the $1000/month in passive income via dividends by age 50 when these dividend stocks will not be liquidated anymore. Instead, it will just be a source of passive income and eventually be a legacy for my children. 

5) Review & streamline my insurance coverage
This is already in progress and can be considered to be 75% completed (tagged to current stage of life).
I'm sourcing for disability income protection which my FP is assisting in.
At the same time I'm reviewing on the possibility of surrendering my wholelife policy and use term plan for coverage instead. If I can channel the $200 saved per month (after paying for the term plan) on investments, an average return of 6%/annum will enable me to self-insure, of the same coverage of at least $100,000, by age 58.

6) More efficient usage of credit cards
I'm doing up a summary of the scenarios that I'll be using the different credit cards so that I can gain the most points/rebates.

7) Plan route & timing in advance to save on petrol/ERP/carpark
The savings can be substantial especially for ERP!

8) Exercise more often
Health is wealth!
Thus, I shall run at least once/week & also cycle at least once/week.

9) Send my bike for routine servicing on time
I've the tendency to delay the servicing, giving the excuse of busy at work and too lazy to wake up early on Saturdays. But this is not healthy for the vehicle and might lead to the owner having to fork out more subsequently.

10) Sell off unwanted items via internet
I've some IT & general household items cluttering around at home. Most of these items should be able to fetch a token sum.

Oki, the above will be quite a handful (& brainful) to follow & practise deligently!

I shall do a mid-year review again in June 2011!