Money is one of the biggest day-to-day stressors in most people’s lives. And yet, having financial goals and aspirations is incredibly important in order to ensure future stability and happiness. Below are some ways to achieve your goals without giving yourself gray hair.
“Success is the progressive realization of a worthy goal or ideal.” —Earl Nightingale
Think Long-Term
Research shows that those who are willing to delay gratification are more likely to succeed than those who are more impulsive. The original “marshmallow test” was done many years ago and then followed up years later, and they found that the children who were able to wait (i.e., delay gratification) ended up being the most successful later in life. Here is a modern example of the marshmallow test.
More on the Marshmallow test and delayed gratification
The best way to achieve financial goals is to tackle them in bite-sized pieces. Saving 20% for a down payment or $1 million for retirement or whatever the goal might be can be daunting in its sheer scale. For example, if the goal is to buy a house within five years, break down the number into a monthly savings goal and focus on that instead. Most big financial goals cannot be achieved quickly, so patience is key.
“You have to set goals that are almost out of reach. If you set a goal that is attainable without much work or thought, you are stuck with something below your true talent and potential.” —Steve Garvey
Written Budget
Put your goals in writing. Not only does this help to solidify them and provide motivation, but you’ll also be able to see if they’re realistic. Subtract all your current expenses from your income and see where trims can be made, and then see if the number that remains is realistic. If it’s not, either adjust your goals or find a way to adjust the numbers.
“By recording your dreams and goals on paper, you set in motion the process of becoming the person you most want to be. Put your future in good hands—your own.” —Mark Victor Hansen
Consistency
Life can be a rollercoaster, and unexpected expenses pop up all the time. That said, in order to achieve your financial goals it’s important to stay consistent with savings. Just like rent or a mortgage is a fixed cost, savings need to be viewed the same way. Even during difficult months, making at least some progress towards your goal needs to be a priority, even if it’s a smaller amount.
“The trouble with not having a goal is that you can spend your life running up and down the field and never score.” —Bill Copeland
Money Management Firm
One of your best tools in saving for the future is enlisting the help of a money management firm. They have the experience to guide you in how to invest your current savings in order to maximize profit and minimize risk. They’ll be able to help you build both a long-term and a short-term plan, and then keep you on track for those plans.
What it comes down to is viewing your goals as a marathon, not a sprint. Make sure to save a little every month. Reevaluate your budget quarterly. Make saving a real priority, and most of all, enlist the aid of experts to help you cross the finish line. And give yourself the grace to stumble along the way every once in a while. If you’re able to do that, you’ll reach your financial goals before you know it.
“All successful people have a goal. No one can get anywhere unless he knows where he wants to go and what he wants to be or do. ” —Norman Vincent Peale
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