Goal setting for financial freedom is an often overlooked aspect of getting out of debt and being able to hold on to your money. One of the most common mistakes with setting goal's is setting them to high and failing. So how can you avoid setting your goals to high?
Lets say you want to save $1200 a year can you afford that? well just ask yourself can you afford $50 a paycheck? If you say yes then you are on your way to completing your savings goal. If you don't like long term goal setting you can set monthly goals of saving $100 a month. In order to save that if your income barley cover's your expense is see were you can cut back spending.
Maybe you want to put $3000 down on a car the january so you set that as your goal can you really save $750 a month? so maybe you should put your goal off for another year that way you can have 16 months to save. If you put it off for 16 months you would only need to save $187.50 a month. Now that sounds like its alot easier to do the the $750.
The key to goals is to not rush them. That's why they are called goals and not overnight savings. You can set short term goals like pay off my credit card in 4 months. You just need to figure out what you can afford and see if the goal you want to achieve is a long term or a short term goal.
No comments:
Post a Comment