Cash Flow Firstly, we need to have a complete understanding on our cashflow. Through this process, we will understand our earning ability and spending habit. Here is a Guide: Understanding Your Personal Cash Flow Goal Next, let's assume that the goal is to accumulate $60k for your BTO. In other words, that is equivalent to saving $12k annually, or $1k monthly. At this point, we will revisit your cashflow to determine your saving ability. This helps us to understand whether there are any unnecessary expenses that we can trim. Meanwhile, it is better to plan for your retirement today rather than to wait for your house to be completed first. This is simply making use of the power of compounding interest - start small, and let the amount build on its own. Above all, the power of compound interest is stronger than to start later, with a higher amount or longer contribution period. More Details: What is Compound Interest Brainstorm Thereafter, evaluate all the tools that are able to help you reach your goal. For instance, if you can find a tool that generates 3% yield annually, then you will only need to save about $925 monthly instead of the original $1,000. For this purpose, you may wish to have a mixture of tools that generate guaranteed returns (lower risk) and some with volatility (potentially higher return). The exact mix of portfolio will depend on your risk appetite as well as on your cash flow planning. Budget Finally, create a budget that is capable of helping you to plan for the future. The best way to do this is via automation. How I do My Budget: How to create a Monthly Budget Don't forget to do regular reviews on stay on track to your goal. I share quality content on estate planning and financial planning here.