Taking a strategic approach to managing your finances is a good way to keep tabs on how you’re doing, but even the most organized person doesn’t always take the time to make an annual financial plan.

It seems there are generally two camps when it comes to finances: those who swear by their financial plans and those who do not have one. The planners tend to have every step mapped out for the next twenty to forty years with specific savings and investing goals. The ones who do not have a plan have a vague idea that things will work out for them if they put a little bit towards retirement each month. They may have debt and no solid plan to purchase a house.