I have read a lot on CP about people developing investment plans, business plans, etc. I was wondering how often do people FORMALLY monitor their progress against these plans and, if things aren’t going according to plan (which they rarely do), they take corrective action. If you don’t, then one could say you are not getting the full value from your plans. Your plans have become a ‘dust collector’, not a ‘living document’. I formally monitor my progress at the end of every Quarter and have done it for the last 12 years. In January 2004, I wrote my Financial Independence Strategic Plan. In it, I gave my wife and myself 10 years to reach our goal. To get there, I knew I had to monitor our progress and, when required, take corrective action. Otherwise, we would risk 10 years disappearing and being nowhere near our goal. I used a rule from my project management background. That is, to increase the likelihood of having a successful project, one should use the 3% Rule. This rule states that one should monitor a project’s progress every 3% of its timeframe. In my case, my ‘project’ was 10 years or 520 weeks. So, the 3% Rule states I should monitor my ‘project’ every 15.6 weeks. I reduced this back to 13 weeks or every Quarter (namely, end of March, June, September and December) as it is a lot easier to remember when to do it. I monitor 4 KPIs’, namely: 1. Total Assets - hopefully these will increase over time 2. Total Liabilities - these increased when we were actively investing but have decreased since we retired 3. Net Worth - hopefully this increases over time 4. SMSF Balance - hopefully this increases over time. Since we retired, this balance has continued to increase even though we are self-funded and must take out 4% every year Probably, this approach is not for everyone but it worked for us. We reached our goal in 7 years and retired in 2010, even though we went through the GFC in2008/9 (that was not part of the plan). Since retirement, I still monitor the above 4 KPIs every Quarter. The SMSF Balance is the critical one as it provides the income we use to live on. If it continues to go up, we know we have a sustainable income stream. If it continually drops over time, we might have to take corrective action. As a result, we have very detailed records of the last 12 years of our investment journey. We have no idea of the previous 27 years because we didn’t monitor it, except I know we started in 1977 with $50 in my wallet. If you formally monitor your plans, I would love to hear what you do and when. If you don’t formally monitor, hopefully I inspired you to consider doing it.