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5 Steps to Set and Achieve Financial Goals and Objectives

Each of us wants to improve something in his life. It's also true when it comes to your personal bank account. To set financial goals and objectives is the right way, and see how you progress toward your goals. It's never too late to start, now is a great time!

To set money goals and objectives for yourself, you first need to know what you want.

To set financial goals:

  1. Find a comfortable time without interruptions during the day.

  2. Take a page and a pen and write down all the financial goals you want to reach.

  3. Do not stop yourself at this point.

  4. Just let the thoughts move to your page. You can register: live in a bigger house, pay off credit card debt, put more money towards retirement, or travel abroad - anything that comes to mind.

In the next step, divide everything you want into categories: long-term debt, short-term debt, retirement, fun, relationship/family, and pleasure. It does not matter what name you give to the category. Just do it, so you have order in your head in which areas you want to improve your financial life and your ambitions in each area.

Choose the things you think can be done over the next 12 months, even if they are just part of a more distant destination.

Set goals according to the principles of the S.M.A.R.T.

Specific goal (S) - The goal must be explicitly defined and accurately. Being rich is not a good goal - it is too general. You must determine how much money you want and what you want to achieve.

  • Measurable (M) - I want to lose X pounds, run Z times a week, and save Z money.

  • Achievable (A) - The goal should be achievable. There is no reason to set unrealistic goals. You must create a sense of success in achieving your goals. Otherwise, it is easier to despair along the way. Once you reach a destination, you can always set a new and more difficult destination.

  • Relevant (R) - The goal must be relevant to you. Ask yourself why you want to accomplish this goal? Is it part of a larger goal? This is the point to think and look for the WHY of the goal. If you do not have a good enough reason to motivate you to action, you are more likely to despair along the way.

  • Time limit (T) - If you did not set a time frame for your goals, they remained dreams. Set a time for the fulfillment of any goal you choose.

Great, now you know what you want, your goals for the coming year, and why you want to accomplish each goal.

4 important things that can help you achieve your goals:

1. Share the goals with a spouse, friend, parent, or anyone you think will help you on the way to achieving the goals, and you will not want to disappoint. Another place to share your goal is on social media. There are welcoming money savings communities on Reddit or Facebook.

2. Monitor your progress regularly. Once a week, you will spend 10 minutes and go over your goals and how you have progressed towards the goal.

3. It's okay if you are not able to achieve all the goals you set in the period, do not be too hard on yourself. The goal is personal development and not self-flagellation. You should complete 70% of your goals in full and only advance 70% in each goal - that is, do not leave all the goals open. The wisdom is knowing how to achieve most (70% -90%) of your goals in a year, and build a sense of success and progress.

4. It is allowed to change, especially if you are new in the field of goal setting. If you have a more important goal during the year, include it in your planning at the cost of another less critical goal. Remember that your goal is to develop yourself in the areas you have defined that are important to you. In most cases, you know best what you want and what is right for you.

2 other significant highlights:

1. Work plan in a diary - you check what you want and what is important to you in life and set specific and measurable goals. Without a work plan in the diary, the chance you will achieve the goals is small. Our goals and objectives consist of many small steps that must be performed regularly. Suppose you have decided to save X dollars. Set a time in the diary now that you will take action to make funds available. If you do not allocate the right time for small steps, goals, And inapplicable.

2. Strive for harmony and not for balance - the different areas of the goals affect each other. Therefore, it is important to set both personal and money goals. Take the time to be active, and find the small joys in life.

You have no written personal goals, and you are still undecided?

Try the Savings Jar app to find a financial coach to help you set and achieve financial goals. The financial coaches on the Savings Jar app provide expertise on the following money goals:

You will gain confidence when you achieve your goals, and then you will be able to set higher goals if you wish.

It's never too late to start, now is a great time!

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