When it comes to achieving financial goals, there’s not always a one-size-fits-all approach. For instance, you may want to get out of credit card debt, while your BFF would like to save more money for retirement. Then there’s your favorite aunt who plans to pay cash for her dream car.
While financial goals are different for everyone, you can certainly go about achieving them the same way. And regardless of your monetary hopes and dreams, the following tips will help you get there sooner rather than later:
1. Write it All Down
There’s something innate about putting your financial goals on paper. Not only will it help keep you focused, but you’ll also be more likely to achieve those goals. For example, write down “get out of credit card debt,” or whatever your goal is, on a few sticky notes. Then, place them on some mirrors throughout your house. You could also wrap one around your credit card in your wallet as a reminder. Additionally, be specific with what you want to achieve. Rather than jotting down “new car” or “dream vacation,” note the make and model you want or where you desire to travel.
2. Arrange for Automatic Deposits
If your objective is to save some major cash, consider opening a new bank account. From there, arrange for a set amount to be automatically deposited into the fund each month or payday. Or, you can download the monorail app and create a wish list to hit your specific financial goal. Then, connect the wish list to your bank account, choose the amount you want to have tucked away, and voilà — you’ll be one step closer to reaching your target.
3. Set Achievable Milestones
Sometimes a financial goal may seem impossible — at least at first. This is exactly why you should set smaller, more achievable milestones that, when done together, will quickly add up. For instance, say you’re determined to save for a down payment on a new home. Figure you’ll need at least $25,000 in savings. At first, this amount may seem overwhelming. Instead of focusing on the grand total, vow to set aside $200 every paycheck or $500 each month. Or, put away whatever amount you deem reasonable and won’t make you feel defeated from the get-go.
4. Give Yourself a Deadline
If you want to achieve your financial goal, the word “someday” should not be part of the equation. To keep yourself on track, set a reasonable yet inspiring deadline. Let’s say you have $16,000 in credit card debt that you’re determined to reduce. You could easily do the following to whittle away at this amount by about $1,000 per month:
- Picking up a side hustle on weekends
- Cutting back on expenses
- Earning as much overtime as possible at work
Of course, you’ll want to forecast some months will have extra expenses that could cut into this goal. But you could reasonably assign yourself a deadline of 18 months to be debt-free. Going back to the first tip of writing down your goal, add the deadline to this note, amending it as each month goes by.
Decide on Your Dream and Then Go for It!
Once you determine your financial dream, there’s no reason to wait any longer to achieve it. Pick up a pack of sticky notes and jot down your goal. From there, download an app that will make putting aside money extra easy, set mini-goals, and establish a deadline. Then, rest assured knowing each day you’re doing what you can to meet your objective, whatever it may be.