Taking your financial health to the next level in 2022 is a worthy goal to have on ones list. However, having practical ways to help you set and stick to your financial goals will make your journey less stressful.
Financial planning is what will keep you going when the going get's tough. We have put together a list of practical ways you can reach your money goals without putting a strain on yourself.
Please note:
These are general guidelines on how you can take practical steps to help you reach your money goals. This should not be taken as financial advice. We encourage you to seek financial advice from a qualified financial advisor to help you find the right fit.
Set short and long-term goals
Don't let your money goals stay as just that - goals. When it comes to financial planning, it is crucial to have a detailed plan for your short and long-term goals to help you keep track of your progress. It will also let you assess if you can realistically achieve what you have planned without setting yourself up for failure or putting a strain on your finances. Think of short and long-term goals as:
Short-term financial goals (Examples)
Long term financial goals (Examples)
Having goals for your finances is great, but always make sure that you put in steps that work with what you currently have to avoid falling into debt or straining your finances.
Working with your budget
Your budget can play a crucial role in making or wrecking your financial goals. The numbers don't lie. Therefore, print your banking statement and carefully go through your expenses. It will give you a realistic picture of where your money is going, where you are spending more than you should and where you can cut back to an affordable option to help bring you closer to your goal. Set a realistic budget that works for your money personality to avoid ditching your financial goals. Always remember to be aware of little expenses. After all, a small leak will sink a great ship.
Hold yourself accountable
The reality is that you will not get it right off the bat. Starting new goals and habits will always be a balancing act. There will be times where you drop the ball. Always remember the plan and adjust accordingly to help you follow through. Have a regular check-in to see if you are still on track. You can also have an accountability partner who you know will help you stay on track. Remember that mistakes will be made, but the key is to keep on going.
Avoid taking on more debt
Always keep the big picture in mind when it comes to financial planning. While it may not always be exciting, it will be worthwhile in the end. Debt is taking money from your future self who might need it more. Focus on reducing any debt you may have. If you can purchase something later by either saving up or generating another stream of income, aim for this instead of taking more money out of your pocket.
Celebrate your wins
It is important to celebrate the wins you make. Our brains are wired towards rewards, which can help you push through even in the toughest times. Of course, avoid splurging that could derail your progress.
