Setting Short & Long Term Financial Goals
One of the most important - and often easiest - steps in putting a budget together is setting goals. (Who doesn't want to picture themselves reaching their goals and enjoying the fruits of their labor?)
Your budget should include both short and long term goals. (Reaching short-term goals can really motivate you to work harder toward reaching your long-term goals.)
Your short-term goals need to be realistic and attainable, otherwise you're likely to get discouraged and stop trying. They should include savings and investing goals, and include rewards along the way. Here are a couple of examples of short-term goals:
Experts agree you're more likely to reach your goals if they're SMART - Specific - Measurable - Achievable - Realistic and Timely.
Long-term goals are easy to lose track of, but you need to be relentless at setting them, then evaluating them every year to see what changes need to be made. (And an honest look at why you need to change them - are you making more money than anticipated, incurred an unexpected expense, or gone overboard on debt?)
Here's an example from Amy and Tom:
If you set realistic goals - and most importantly, keep track of them - you'll be surprised at how often you meet, or even exceed them. And we guarantee you'll love the feeling of marking completed goals from your list and adding new goals to take their place! If you need some help setting goals, or putting together a budget, stop by and talk to a Personal Banker. They'll be happy to help!
The views, information, or opinions expressed in this article are solely those of the author and do not necessarily represent the views of Citizens State Bank and its affiliates, and Citizens State Bank is not responsible for and does not verify the accuracy of any information contained in this article or items hyperlinked within. This is for informational purposes and is no way intended to provide legal advice.