With so much money “advice” floating around, it can be hard to know which financial goals are right for you. Keeping your goals where you can look at them will keep you on track and motivated. Type them in the Notes app on your phone, take a screenshot, and set it as your wallpaper so it’s the first thing you see when you pick up your phone. Then, stick them in your car, to your desk, or on your bathroom mirror. So, go ahead and put your goals in writing. Write your goal down.ĭid you know you’re more likely to achieve your goals if you write them down? Yep, it’s true-there’s something about putting pen to paper that helps you commit to the task at hand. And be clear on why you’ve chosen the goals you have. Put the blinders on, focus on your lane, and cross your own finish line. In other words, just because all your friends are taking out second mortgages for renovated kitchens, doesn’t mean you should. So, make sure you’re setting financial goals that make sense for you. When we compare ourselves to other people, we’re playing a game we’ll never win. Are your neighbors driving the latest model cars? Is that one girl on Instagram always taking extravagant vacations? Hey, good for them! But that doesn’t mean you need to do the same. It’s easy to look around at what other people are doing and feel like you should be doing it too. Let’s talk about comparison for a moment. Is this possible but also a bit of a stretch? If so, good! 4. You need to give yourself a deadline and make it reasonable-but also a little challenging.īack to the student loan example: When do you want to hit your goal? If you want to pay off $15,000 in one year, that means you’ll need to pay $1,250 each month. Author Benny Lewis says, “There are seven days in a week, and ‘someday’ is not one of them.” Stop saying someday. Here’s the deal: It’s super tempting to procrastinate on your goals if they aren’t time-sensitive. So, maybe you have $30,000 of total debt, but you want to start by paying off a $15,000 student loan first. That way, you won’t feel too defeated before you even start. While being completely debt-free should be your ultimate goal (that’s Baby Step 2), it’s a good idea to break down that goal into smaller chunks. Now it’s time to pick an exact amount-something you can measure to know if you hit your goal or not. Now, let’s talk about how to break this goal down even more. What if you decide instead to tackle your debt? That’s a specific area of your money to focus on. You might say, “I want to be better with money.” But what does that actually mean to you? Narrow it down! One reason people fail to meet their goals is because they set goals that are too vague. So, if you have no clue what financial goal to go after first, start by taking this quick assessment to find out what Baby Step you’re on. Should you pay off debt? Save for your kids’ college? Buy a house? Invest for retirement? The 7 Baby Steps cuts through all the confusion and gives you a clear path to do all those things! It helps you focus on one goal at a time-so you can make more progress with your money and have financial peace. There are so many options, and everyone’s got an opinion. Trying to decide what to do with your money can feel as overwhelming as choosing what to watch on Netflix. Get a FREE customized plan for your money in 3 minutes!Īnd I can’t talk about financial goals without talking about the Baby Steps. You should set goals for every area of your life, but having specific financial goals helps you literally put your money where your goal is. You can have short-term financial goals (like saving up $1,000) or long-term financial goals (like investing for retirement). What Is a Financial Goal?Ī financial goal is any plan you have for your money. I’ll walk you through how to set financial goals step by step. Don’t worry, it’s not as complicated as it sounds. If you want to finally make progress with your money, you need to set some financial goals. But if you don’t set any goals for your money, you’ll probably still feel like you’re spinning your wheels-even when the economy isn’t crazy. Yeah, things like inflation and recession are real and can feel like huge obstacles. Do you feel like you’re trying so hard to make the right decisions with your money but you can never seem to get ahead? Or have you been working your butt off, but you don’t have much to show for it at the end of the month?
0 Comments
Leave a Reply. |