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All the latest news, facts and tips from the team at Pioneer Credit Connect

27
Aug 18

Financial Freedom Mini-Series: Six savvy goal setting tips!

by Matthew Ikin
Financial Freedom Mini-Series (2)

Congratulations on making it to the third edition of the Financial Freedom Mini-Series! We hope you loved the first & second editions of the series and with only one more read left after this edition, we're going to make the last couple more jam-packed with handy tips and tricks than ever before.

Feeling a bit 'financed out'? We thought that might be the case, so this week we're going to dive into some goal setting tips that you could use to start hitting your financial goals, and that you can apply in other areas of your life.

Ready, set, let's go!

Goal setting is an essential part of life for those wanting to succeed and is the process of identifying something that you want to accomplish, then establishing measurable goals and time frames to complete it. In most cases, goals are easy to set (I bet a few just popped into your head), yet the hard part comes when it is time to achieve them.
 
Goals can come in all different shapes and sizes; for some, they may be for something big like saving up for your first home, while someone else may want to pick up a new sport or start exercising more often. Regardless of size, completing either goal is a fantastic achievement. Do you have a goal of your own that you want to achieve? Well then, look no further.

Visualise your goal.

Having your goal front of mind is one of the best ways to stay motivated to achieve it. This is a great time to get creative in the way you remind yourself about your goal. You could paint your goal on a blank canvas then hang it in your bedroom, or if want to be more discreet, write it down in your journal in colourful letters. Looking to save up for something like a new car? Print out a photo of what you want to buy and stick it on your fridge; you’ll wake up every day with your goal on your mind.

We've seen this be very effective for Simone, who wanted to save for a new car, however, wasn't having much luck in doing so. She found that the best way to stay on track with her goal was to put a picture up of the car on her fridge at home and on her desk at work. With every $100 saved a week, Simone put a tick at the bottom of the photo until enough had saved to buy the new car.

Share your goal.

Tell people that are important to you such as friends and family about your goal, so they can help you stick to it! Some goals such as those to do with your finances are often quite private, and whilst you don’t have to share every detail, there are people you know that would love to see you accomplish your goal.

Using your friends and family as support on your journey will create a network of people that will help you remain focused. The best part? Friends and family that really care will love being part of helping you succeed; it’s like having your own personal success team!
Three in four Australians enjoy at least one cup of coffee per day, so it’s not surprising that, Matt was a coffee addict who sipped on a cuppa most mornings at work. Trying to shake the habit, he let his colleagues know he was wanting to cut out his daily coffee which he would buy on the morning walk. Each time he went for a cup, they would remind him of his goal and make sure not to let him go back for another caffeine hit.

Break the goal into manageable parts.

Breaking down your major goal into smaller parts can form milestones for you to achieve. It breaks down a seemingly difficult major goal into smaller achievable chunks so that you can easily keep sight of it and stay motivated. Starting with small, measurable goals will help you to have some quick wins in the often long journey towards achieving the more meaty medium goals. As time goes on, these medium goals build towards more substantial goals, making the finish line closer.

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Picture you're wanting to run a half marathon in 6 months time. Trying to tackle 21km on your first run without any training will see you end up in a cramping heap however by breaking it down week by week could help you gradually build up to your goal. For example, setting a goal to run 1km in the first week then building up an extra 1km each week after that will be much more achievable. Every 5km you tackle should be celebrated as you work towards the big race; because hey, you deserve it.

Let's talk timeframes.

Setting a timeframe ensures that you are being proactive towards achieving what you want. Without time frames you can easily lose focus and let a lot of time go by where you don’t work towards your goal. Make sure the timeframe is realistic and achievable as you want to set yourself up for success.

Say you're wanting to save for a house; as much as we can all wish that the money will appear overnight, for most of us it won't. Whilst setting a goal to save for a deposit in 6 months is easy, achieving it is the hard part and with such a short timeframe, you're most likely going to realise it's a lot harder than it looks. To stay positive and motivated to complete the goal, break down the savings goal into 10 bite-size chunks each with appropriate timeframes that are still within reach if you stay focused. Saving for a deposit may take a few years but in the long-run, the sense of achievement when you complete it will be worth it.

Discovering where your money is going can be difficult, so it may be best to download a budgeting app to find out ways you can cut down on some of the luxuries in life.

Get stared and share your progress regularly with your friends and family.

Take the leap, get started and give it all you have to achieve the first goal you have set. Once achieved, let your family and friends know then focus on the next step and timeframe; by now you are getting closer to your end-goal. The smaller, more achievable goals will start building up to bigger goals and whilst you may be on track for success, letting your support network know how you progress is more important than ever.

As Sophie was hitting every $100 savings goal for her holiday, she let her family know each time a milestone was reached. One day she thought it would be a good idea to take a little out of her savings to buy a new dress; the trade-off, it would add an extra 2 weeks until she would achieve her next goal. As Sophie kept her support network in the loop with her progress, they noticed when a week went by without the good news of another milestone being hit. Her friends started giving her a hard time that if she kept spending like this that she wouldn't be able to join them on the holiday. Naturally, being able to picture the consequences for not completing the savings goal quickly put her back on track!

Keep going, you're so close now.

Time to show your true colours and keep pushing yourself to achieve your goal. Don't hesitate to call on your friends and family to help you through the last stages, but more important than ever, don't give up. You've worked hard to make it to this point so don't become complacent by putting the brakes on. If you need a quick surge of motivation, just look back at how far you've come will be one of the of the biggest motivators to keep going!

Congratulations!

Congratulations, you've achieved your goal, now it's time to celebrate. Whilst your actual goal will take longer to reach than the time it took to read this email, it's important to reflect on the great achievement of setting your mind to something and sticking to it.

You're flying through the series and we hope you're loving it! If you want to time-travel back to the last two editions, you can do so here:

Week 1: How do other people save for a house deposit?
Week 2: How to make tax time work for you!

Stay tuned for the final edition of the Financial Freedom Mini-Series!


Disclaimer: Any information provided in this email is of a general and informative nature only. While all reasonable care has been taken by Pioneer Credit Connect in compiling this information, Pioneer Credit Connect makes no representations or warranties, whether express or implied, as to the accuracy or suitability of the information contained in this email.