FINANCIAL GOALS

Do Financial Goals Matter?

What do you know about financial goals? Do you think it's necessary? Or you think money is too complicated to be making specific goals for it? 

In today's post, I will shed more light on financial goals and why there are important for your financial stability.

Hi, it's been a while I wrote to you. I apologize for that, I'm back now and I'm promise to continue bringing premium finance contents to you. So let's go straight to today's post about financial goals.

Setting goals are important for the success of anything you want to achieve and if you are looking to have a good control of your finances, you need to know what your financial goals are, so you can work towards them.

Financial goals are short-term or long-term plans you have for managing your money, it can be about how much you want to spend, save or invest. Long term financial goals are big picture costs that take time to achieve, examples are saving for retirement, saving for child's education etc. while short-term goals are small financials goals that help you reach your long term financial goals, examples are paying off all debts, insurance, saving for travel etc.

Reasons Why You Should Set Financial Goals

1. It Gives You Focus

Without financial goals you will just be going with the flow, no specific destination which always ends in confusion and frustration.

Setting goals save you the headache of constantly thinking about how to spend your money because you already have a detailed plan on what you what you what to use your income to achieve.

2. It Helps Measure Your Progress

Setting financial goals also help you measure your progress, since there is already an existing plan which you are working with all you need to do is check your goals and tick off the ones that have already been met.

3. It Helps You Stay Motivated

When trying to figure out your finances, it is easy to get tired and lose focus but setting financial goals creates a destination for you and your desire to achieve these goals keeps you on track.

In short, having a financial goal will keep you motivated.

4. It Helps Shape Your Career Choices

Setting financial goals can also shape your decision making when it comes to your career. If your goals are ambitious, you will have to think seriously about how much time you can afford to take off, what you need to do to get a promotion or salary increase, or even have another source of income.

When you know what your financial goals are, your career planning and your financial planning can complement each other.

5. It Helps To Make Effective Strategies

Your financial goals will dictate the strategies you need to use in order to achieve them. If your financial goals are short-term, it might be enough to save a bit extra each month.
But if you have long-term goals, you might need to combine a number of strategies to increase your income, cut expenditure, and invest your savings in stocks or shares to grow your money so you can achieve your money goals quicker.

Okay so that will be all for today, I'm sure you got value and by now you know why financial goals matter to your personal finance life. Let me know what stood out for you in the comment section as usual.

See you soon!