You’ve been living carefree with money and now you’re:
Can’t get out debt;
Have no savings;
You have savings but you don’t know what to do with it;
You’re behind your bills, and they’re pilling up;
Don’t know if/when you’ll retire;
No financial goals are set.
If this sounds like you, then let’s get you set up with your financial goals.
You need a budget, there’s no going around it, but before that, you need goals to create your budget.
Otherwise, you’re just saving/spending money without a purpose and that can easily lead to more debt, no savings and a massive headache in the end.
It’s really easy to not look at money, it can be scary. But I’m here to help you see that it’s not scary once you’ve established your goals, create your budget and execute it.
Make sure to download your FREE Printable Financial Goal Pack below. It will make it real if you write it down if you look at it daily if you have it posted somewhere that’s in your face.
Why should you set financial goals?
The importance of setting your financial goals will give you the structure to your money.
You’ll know where it’s going. You’ll see your debt go down and your savings go up.
When you have goals in place, it’s easier to see the end. Even if it’s a small goal, like going to Europe, you’ll find that it’s more achievable when you see the roadmap to where and when you’ll save that money for Europe.
Types of Financial Goals
There are three types of financial goals to consider. If they were all mushed up together it would seem hopeless and unachievable.
By working on all three types of goals, you’ll see success in the short-term goals and want to continue with the mid-term and long-term goals. You’ll see it work and know that the other goals are hard work but attainable.
Here’s an example of sorting your financial goals:
Multiple Bank Accounts
Cash Envelop System
Pay off your credit cards
Pay off your big debts
Think about the dreams you have for yourself
Steps to setting up your financial goals
- List all your goals, dreams and worries on a piece of paper.
If you’re not sure what kind of financial goals to go for, here’s a list that’ll help you get started:
- Build an emergency fund
- Get out of debt
- Keeping track of your money
- Know when to say, no, not right now, do I really need this?
- Change your spending habits
- Start making money on the side
- Read what the pros are preaching
- Create a budget
- Set up overdraft protection
- Automate your savings
- Automate your investing
- Set bills to autopay
- Plan for retirement
- Furthermore, live on less than you earn
- Determine which goals are short-term, mid-term and long-term.
- Prioritize which goals you’ll achieve first.
You’ll probably notice that not all goals are achievable right away. That’s why you’ve made a list and you can check them off as you go.
If you can only work on 3 goals right now. Do so. But once one of those is achieved. Go back to your list of financial goals and grab another. And so on.
- Create a timeframe and steps to take for each financial goal.
Tips to Help Achieve Your Financial Goals
Create a budget outline.
By filling out a budget outline, you’re lining yourself for the success of achieving your financial goals.
Change your spending habits.
You don’t have to take all the fun out of setting financial goals. But changing some of your current habits will help you get your financial goals checked off your list.
Meal Prepping for the Week.
Also, if you have your food ready, prepped and at easy access, then you won’t be tempted to stir away from your budget and go out for lunch.
Curving your Biggest Obstacles
- Shopaholic: If you’re one to just go out and shop and buy on impulse, keep your credit card at home. Go in with a plan and a list. Bring cash. Keep it simple. Window shop.
- Fast Food: The title says it all, fast food. Likewise, can be said if you meal prep at home. I like to pre-cut my vegetables and cook my starches for the week. I come home toss everything where it needs to be and BAM I have my dinner ready in no time.
- Significant Other: Your significant other might not be up for budgeting, planning. You’ll just have to communicate with them what you want and show them what you’re trying to achieve. Hopefully, they’ll be there to support you. And if they aren’t, don’t let them stop you.
- Amazon: Or even, easy access to online shopping. I good trick will be to delete your saved credit card at these online stores. This will make it a longer process and give you time to think about your wants and needs as you re-enter your information every time you decide to buy something online.
- Procrastination: You might be putting off setting your financial goals, you shouldn’t. The sooner the better. I’ve read the 5 Second Rule, by Mel Robbins and it has helped me tremendously with getting things done.
- Excuses: Stop giving yourself excuses. Just stop. Start filling out your goals, dreams and plan your way out of debt.
- Willpower: You can do this. I know sometimes you don’t see the end. Let me assure you, once you start and you check off that first goal, it will only get easier.
- Emergencies: These will happen. But if you plan for these, by starting an emergency fund, then you’ll be ready for when they happen.
Keeping Motivated while working on your financial goals
- Make yourself a goal board.
- Place a picture of the goal where you can see it as you pass by it.
- Saving for a down payment: Drive by a house for sale that you love as a reminder. Even if you won’t buy that exact house.
- Break your goals into achievable milestones.
- Above all, keep track of your goals and give yourself a reward once it’s achieved.
You’re at the point of getting your financial goals started.
We’ve looked at:
1. Why you should set financial goals.
2. The types of financial goals to set up.
3. Steps to setting your financial goals.
4. Tips on how to achieve your financial goals.
5. Curving your biggest obstacles
6. Lastly, keeping motivated while working on your financial goals
Now that you have the tools to start setting up your financial goals, it’s time to start. Right now!
What’s your first priority goal? Let me know below in the comments.