Financial Goal Setting

It’s natural to feel overwhelmed, discouraged, and even defeated when thinking about money and financial goals. Let’s be honest, money is something we can never have enough of. For some, financial goals are to start a business, save for retirement, buy a home, buy a car and the list goes on and on. Oftentimes, the hardest part of setting goals is finding a good place to start. Let’s break this down:

A. Make a realistic list of what’s important to YOU

B. Sort it by the rank of importance, then by cost

C. Apply a SMART- goal strategy. That is, make certain your ambitions are Specific, Measurable, Achievable, Relevant, and Timely. S.M.A.R.T.

D. Create a realistic budget & timetable for each goal

E. Monitor your progress (celebrate your progress)

Examples of financial goals

A. Emergency funds are extremely important for every home. An emergency fund is a sum of money stashed away for unexpected expenses. In general, you should have saved 3-6 months of your monthly bills in case of job loss, medical emergency, home/car repairs, and any unplanned expenses.

B. Saving for a down payment to purchase a home is a huge financial commitment and a decision shouldn’t be made on a whim.

C. Saving to purchase a new car

D. Home renovation

E. College tuition

Creative savings plan strategies

Saving money is tough. Maybe you aren’t earning enough, your current financial obligations have exceeded your income, or you just need extra cash. When the traditional methods aren’t adding up, this is where we have to get creative to hit your financial goals. Here’s a list of our top proven strategies

A. Selling unused clothes (Poshmark), electronics (eBay)

B. Stop spending (only make purchases on things that are needed)

C. Reduce your cable, phone plan, and any monthly subscription that’s not needed

D. Thrifting (my personal favorite)

E. Automate your savings (have a % of your paycheck go directly into your savings account)

F. Use credit cards the correct way (don’t carry a balance. I’ll cover this in another section)

G. Couponing

H. Grocery shop at Aldi’s, Marc’s (avoid Giant Eagle and Heinen’s)

I. Carpool

J. Meal prep

K. Limit trips to your favorite restaurants

L. Reduce or cancel your gym membership (consider Planet Fitness)

M. Cancel any subscription that’s not being used nor needed

N. Celebrate your monthly wins by doing things that are “free”

O. Master the 10-second rule (prior to making an impulse purchase, take a deep a breath)