There are about 20,000 ways to set goals and about twice as many books, websites, worksheets, webinars, and videos to teach you how to do this the “right” way. Goal-setting can feel overwhelming, and figuring out how to start can be a deterrent to starting at all. Instead, I try to identify my top *priorities* first. I find it helpful to make a short list and a vision board of what’s most important to our family before thinking through budgeting, saving, investing, or goal-setting.
For us, those priorities are (in no particular order):
Travel (hoping to see all 50 states before first child graduates)
Saving 25% of income for early retirement
Real Estate investing (2 doors/year)
Other priorities that might make your list include: Career Advancement or Change, International Travel, Marathon Race(s), Visiting Out-of-Town Family, Ministry or Mission Work, Retirement this Year, Climb a Mountain, Vacation Home, Pay Off Debt, or Start a Side Hustle/New Business.
For today, make your family’s specific list. Write these down in a journal or under the net worth number you calculated yesterday. Once big priorities are set, it becomes much easier to set incremental, measurable goals. These priorities will also become key in establishing your annual budget. More on that tomorrow…
Happy New Year! Soon enough, everyone will be asking you what your New Year’s Resolutions are.
They never seem to last, but if you set some firm foundations in the first month, you have a good chance of not backsliding the rest of the year. One of the foundations I set for 2021 was to sign up for a boot camp. I’m the worst at attending workout classes, but thankfully, a friend asked me to join a biggest loser challenge for the month of January. Enter in a little competition, and that might push my butt out the door and to the class, even on a freezing winter day.
It seems that most resolutions are related to diet and exercise, career success, spiritual well-being, and money habits. One of my favorites, though, is from Jimmy Fallon’s 5 Word Resolutions last year:
All kidding aside, one of the most important things you can do for yourself and your family, especially after what 2020 dealt us, is to get on track financially. If you’ve received this email, it means that you’ll be getting daily action steps for the next 30 days that worked for my family to significantly increase our savings rate and our net worth in just a couple years. We’re on track for financial independence sooner than we could’ve ever imagined, which is opening up more opportunities than we’d ever dreamed of. I hope that these action steps help you to get back on track or to expedite your financial independence journey.
Please comment on posts along the way to provide your feedback and to let me know what works for you in your personal finance journey. I’m still learning every day and love to get advice from others on how to earn and save more.
Financial Freedom in 2021! Take Action: Day 1 starts tomorrow!