Setting Financial Goals for the New Year!

The start of the new year is always exciting! Persons enthusiastically list all the things that they would like to accomplish this year that they never did in the year before. These well laid plans often falter after a few weeks but in the meantime everyone views their goals with optimism.

This optimistic spirit can be taken and used to support your financial goals.  It is important that the goals we set are realistic and then identify specific steps that we can take to achieve them.

Realistic Financial Goals

How do you know if your financial goals are realistic?

Well if your goal is to pay off all your debts and buy that dream house that you always wanted but you haven’t accumulated any savings over the years then it’s highly unlikely that you will fulfill that goal. Other goals such as making large purchases or doing home repair might also be out of reach if funds are not readily available.

It is therefore important to face the financial reality of your situation. Identify how much debt you really have and how much you have in terms of savings. After doing a thorough evaluation, decide which debt you can tackle and how much extra you are willing to put aside each month to meet your goal.

If you have a goal such as starting your own business, the best thing to do is research. That might be the single most important step. If there is no market for your product or the market is over saturated then you will fail even before you begin. However by doing research prospective business owners are able to make sound financial decisions.

Start Small

Setting financial goals does not have to be a complex activity, consumers can make simple goals that will improve their financial situation. Simple goals can include making homemade lunches instead of purchasing expensive food on the road and going to less parties. You could also choose to spend less on clothing or electronics.

The best thing to do is to write the goals down and do periodic checks to ensure that you are staying on track. If you keep a written record of your goals then it makes it easier to see how much progress you have made.

Setting financial goals benefits consumers who want to start the new year right!

What are your New Year financial goals? Drop me a line. Let me hear from you.

Teri Ann Renee Paisley

Gleaner online writer

Tags: financial goals, financial planning, savings