Making your financial goals a reality the first thing we need to work out is what will motivate and inspire us to do better over the year.
Think about being specific enough that you can visualise and see what you’re aiming for. Let’s not just be vague and dream what we know that we won’t be able to reach. Such as winning the lottery”
Where do you want to live this year? Are you saving for a house deposit?
Which of your debts do you want to get rid of first?
What does your ideal lifestyle look like?
Which specific aspect of your finances do you want to understand and manage better?
Whether your answers to these questions are humble or big, hairy and audacious, be clear about them.
Remember we need to feel the emotion to go with our goals to make it a reality. Feeling that we know we can expand and reach our goals.
Here are some tips to help evaluate and make our goals specific and measurable in making your financial goals a reality.
5 Steps to Setting Financial Goals
1. Write them down in a diary or goal book
When you put a pen to paper and write down your goals you tell your brain that this is its job.
You’re more likely to actually achieve them, too. It is very important to put them somewhere where you can see them on a regular basis. Stick it to the fridge door or on your mirror even in your lunchbox and wallet.
Break them down into smaller bite sizes and put them in places you visit daily.
Buy a pack of cards, decorate them and write on them, make them special for you.
Look at them at least weekly to check if you are on track.
Keeping your goals where you can see them will keep you focused.
2. Be clear what you want to achieve
This is where we have to be realistic, first of all, find out where you stand with your income and expenses.
Do you want to know what your true financial worth is so you can work out better specific financial goals?
Use the calculator on the Money Smart Website it’s free to work out your worth.
Be specific with your financial goals so you can make them a reality by the end of a year.
Instead of saying I want to be better with money, instead write I’m going to pay off my credit card of $4,000 and save the money for the house deposit or your specific goal.
3. Make your Financial Goals achievable.
If you want to pay $10,000 toward your debt in the next year means you have to pay $800 a month to reach that goal or about $200 each week.
Breaking your goals into bite-sized chunks will keep you motivated when you cross each small goal off your list.
A good way to set measurable goals is it make sure you make very small one to see that your financial goals are a reality.
Knowing that you are going to achieve them may make you write them down, but we all need encouragement and small wins.
4. Make a date to achieve your financial goals.
Will you reach your goal if you don’t set a date to get there.
Author Benny Lewis said, “There are seven days in a week, and ‘someday’ is not one of them.
Give yourself a finish line and adjust it later if life throws you a curve ball.
Having a deadline gives you something to measure and ties in with your measurable goals. Set the small ones first and work backwards on how much you need to pay off each week.
Put the goal and debt on a whiteboard or pretty wall chart and each time there is a payment cross it off and write up the new amount.
You can easily see the debt reducing and keeps you on track where you can see progress.
5. Your financial goals are your choice.
It’s easy to look at what other people are doing and in the media and feel like you should be doing that too.
Comparing ourselves to others, could set you up for losing heart.
When you set your own financial goals, make sure it’s the best choice for you.
Just because TV programs renovate houses doesn’t mean you should.
Focus on your own journey and plans and cross your own finish line.
Managing your emotions on making our financial goals a Reality
When you create the psychological and emotional environment you need for financial success, the numbers will soon show up.
If you need support call a friend to help keep you accountable and celebrate a win. Keep a money journal that we give you in Wisegirlsmoney Magic program that helps you recognise how you feel and the wisegirlsmoneymagic facebook group to find community with other women who are going on the same journey.
Emotional support is really helpful when you are going for gold!