5 tips for reaching your financial goals
Thinking about financial goals can seem daunting at first, but the most important part is to get started and do what’s right for you. Keep reading to learn how you can set financial goals that are achievable.
1. Look at your finances
Before you can create your financial goals, it’s important to fully understand your current financial situation and to take a look at what you’re spending on. Let’s say you’re spending over $200 a month on ordering food. If you’d like to decrease how much you spend on ordering food, make note of that. Later on, when you’re creating your budget, you can look back at these notes to create your financial goals.
2. Outline your financial goals
When setting out to create your financial goals, remember to personalize your plan. This will help to motivate you and keep you on track because the end goals are based on what you’d like to accomplish. A great way to set goals is to use the SMART (Specific, Measurable, Achievable, Relevant and Time-bound) method. You can learn more about the SMART method here.
Example:
S - I want to have $200 in my savings account for a rainy day fund
M - The target is $200
A - I will accomplish this by saving $10 a week for 20 weeks
R - I’m doing this because I want to have money available for emergencies
T - I will save the target amount by 8/31/2021
3. Create a reasonable budget
Now that you’ve thought about what you’d like to achieve and how much money you’d like to allocate for certain necessities and luxuries, it’s time to think about creating a budget. Remember to keep your budget realistic so that you stay on track. Check out these budgeting tools from Chase to get started.
4. Use your bank’s auto-save feature
The easiest and fastest way to save money is to have your bank do it for you. Most banks offer an auto-save feature, meaning you can save a certain percentage of your paycheck each time. The amount you’d like to save can be added to your savings account automatically. Keep in mind that financial wellness doesn’t have to be complex, it just has to work for you.
5. Hold yourself accountable
With goal-setting in general, there are going to be times where you might veer off track. A great way to hold yourself accountable is talk about finances with your family and friends. It’s a great way to have your inner circle help keep you on track, so don’t hesitate to reach out.
Want more financial tips like these? Make sure to check out our #TuesdayMoneyTips series on 3/23 with Chase and the Female Quotient on Instagram Live. Catch up on past sessions here.
This blog post contains information and tips from the first #TuesdayMoneyTips session. Watch the full IG Live here.