Setting Goals
Before we discuss money management, or debt reduction, or retirement planning, we’ll talk about setting goals for yourself.
Step 1. Set goals that motivate you.
Your goals need to have a purpose. They need to motivate you, and there needs to be value in your achievement of them. Unfortunately, if you are not motivated to achieve your goals, then you won’t. Simple as that.
Step 2. Be SMART about your goals.
SMART is an acronym that I ran into while I was researching this “setting goals” topic. I actually never heard it before, but it sums up what a “proper” goal is.
- Specific: You need to have specific goals that are clear and well-defined.
- Measurable: Your goals need to be measurable in term of precise numbers.
- Attainable: Obviously, you’ll need goals that motivate you, but you also need goals that are attainable. It’s great to set the bar high, but don’t set it too high.
- Relevant: Goals should be relevant to your life path or career path.
- Time Bound: Lastly, your goals need to be time bound. You need to have a set date for each of your goals.
Step 3. Write them down.
I, personally, think that this is the most important step. Whatever you’re goals are, write them down! On paper, in black and white, or in red and blue, or whatever colors you want. But put them somewhere you can read over and over again. Doing this makes them real.
Instead of paper, I will put my goals on this blog, so that I will be accountable for achieving them.
Step 4. Develop smaller steps to achieve your overall goal.
Ideally, you take your goals and break them down into smaller, easier to manage sub-goals, which themselves are SMART and are written down. These sub-goals are essentially a “to-do” list to achieving your goal.
Step 5. Stick with it!
Stick with it. Don’t give up easily. You will certainly encounter stumbling blocks along the way. How well you achieve your goals depends on how well you overcome these stumbling blocks.
More to come…
As I mentioned earlier, I will list my goals on this blog. These will come as a part of future posts. Hopefully, my goals will help you in the development of your own goals.
