The process of goal setting
When you have an idea about what it is that you do want, there are three simple steps outlined below that you need to take to set a goal.
Another good tool for goal setting is to have a vision board with pictures of your goals pinned on it. Click here to find out how to set up your vision board.
The Saving Plan
Do you want to save for something but don’t know how you’ll get there? Well we’ve got this great little saving plan print out for you. It shows you how to set saving goals and how to achieve them.
Let’s get started with the process of goal setting
- Define your goals
It’s time to determine your short, mid and long range goals. Write down a list of the goals you want to achieve.
Some examples could include:
- School Fees
- Share Portfolio
- Mortgage Paid Out
- Retirement Fund
Now make them specific with the amounts they will cost and also make them realistic. What returns, interest are you expecting to achieve.
Prioritise your goals in a logical order and then you’re ready to go to the next step.
- Set milestones within goals
Setting milestones helps you stay on track. Reaching each milestone will encourage you, you’re going in the right direction and your goals are being created.
Some examples of milestones could include:
- Savings plan for a holiday with amount targets throughout the year
- A regular savings deposit set up for the school fees that is affordable
- A target of say $2000 a year to contribute to a share portfolio – $40 weekly
- Paying a little extra on the mortgage every month
- Contributing more to your superannuation fund
- Now it’s time to act
Having a plan is crucial to goal setting. Plans keep you on track and keep you focused.
Write your goals and the milestones you think are achievable on a sheet of paper or board, somewhere where you will see it.
You need to write the time frames down next to the milestones so you are motivated to save – you don’t want anything to get in the way of achieving your goals.
Nothing is perfect in life so when milestones aren’t met or goals seem too far away know that it’s just a glitch, things will get back on track. DO NOT GIVE UP
On a quarterly basis review your progress, and continue to refine your plan so your goals are kept achievable. If you aren’t meeting your goals, go over your budget and see if there are any ways you can cut expenses or make extra money in order to keep your goals alive. In addition, allocate part of any windfall or bonuses, inheritances, tax refunds, etc that you might receive to your goals to get their quicker!