January tends to be a quiet month after the busy holidays of October, November, and December. It’s also the month that marks the start of a new year for the vast majority of people and a great time to focus on ourselves and our goals. Taking some time for introspection and goal setting is a great thing to do.
When it comes to our goals, we tend to give them less attention than we should. For a lot of us, goals seem overwhelming. We set goals that are too vague, too ambitious, or lack framing. I’ve been guilty of that myself. As a result, we don’t follow through on our goals. We also seem to fear making course corrections with our goals. Somehow, course correcting is interpreted as failure. It’s not at all. Course correcting can help reach that ultimate goal.
Let’s look at what we can do to set better goals and have greater success. The first thing to know, is do not set too many goals at one time. That way, you are not overwhelmed and stressed about meeting multiple goals with the same timeline. It is ok to have multiple goals, but be conscientious of the timeline for each goal. Personally, I think focusing on about three goals at a time is best. One should be a very short-term goal, such as for the current year. One should be a slightly bigger goal that can be achieved in the next two or maybe three years. And finally, a long-term goal that is beyond three years; maybe even an end of decade goal.
Write it down! Writing down the goal makes it real. It helps provide a focus for you to revise and clarify your goal, and it will give you a guide to look back upon. Don’t we use GPS or a map to reach a destination we have never been to? Writing your goal down is that map; it’s a reminder of where you are going. Whether you go old-school and use paper and pen, or electronic and use your phone or laptop, write it down!
Make your goal SMART! That is, your goal should be Specific, Measurable, Achievable, Realistic, and Timely - SMART! So please, feel free to use my revised 2021 Goals form https://form.jotform.com/200125960786154. I provided a similar form in 2020 but this form has been updated for you to use in 2021. What would a SMART goal look like? For example, it’s Specific (save over $1,000), Measurable ($20 per week), Achievable (yes), Realistic ($1,040 after 52 weeks), and Timely (within this year).
You get the picture. Your goal should not be unrealistic and so difficult that you will fail from the outset. Examine your goal, revise it, see how it fits into your life and your financial plan, and then write it down, be specific, and use SMART. And remember, course correct! Maybe you miss a $20 payment to yourself for one week, or maybe you need to add a week to your timeline. Either way, at the other end you will be better off than when you started. And, isn’t that the goal?
As an independent Certified Financial Planner™, I can help you plan for the new year and be on top of your goals. Contact me and let’s get started on a new goal whether it’s a savings plan, retirement plan, debt reduction, or something specific. #talktometuesday #education #Hireaplanner #stressfree #newyear #savings #goals #2021 #debtfree #budget #CFPPro #LetsMakeAPlan