What is a goal setting strategy and how can it help you? Many of us set goals. Almost as many of us fail to achieve those goals. There is an underlying reason that this occurs. Lack of a strategy to succeed. This article will explore how and why these strategies are needed.
Know what you want. Write it down. Have a plan. It is easy knowing what you want. How do you get the plan? Your plan is built through effective goal setting. If your goal is to save money for retirement, you need to make this goal precise. Do you want to save $5000 a year for retirement or do you want to have 1 million dollars in savings by age 70? See the difference in these two goals?
This precise statement is part of a good goal setting strategy. So let's say you want to save a specific dollar amount a year for retirement. This is a great goal statement (know what you want). What is your plan? How are you going to save that exact amount of money?
This will be the beginning of your plan. For this example, let's say that you will save this dollar amount a year for retirement by making monthly deposits into a bank account and putting money every month into an investment account. Guess what? You have a plan.
The next step in your goal setting strategy is to take consistent action. Your consistent action in the above example is to put money into savings and investments every month. Maybe you need to put money aside weekly or save on a daily basis. Set the day and time that you will have that money put into a savings and an investment account each and every month. Your goal should now look something like this: "…I will save a specific dollar amount a year for retirement by making monthly deposits into a bank account and an investment account. I will deposit these funds before noon on the last business day of the month…" Do this for a few months and you will see your bank account grow.
Periodically look at the progress you are making and see if you need to make any adjustments. Change your goal statement to reflect those changes. As you can see, having a goal setting strategy is a plan for success.
Know what you want. Write it down. Have a plan. It is easy knowing what you want. How do you get the plan? Your plan is built through effective goal setting. If your goal is to save money for retirement, you need to make this goal precise. Do you want to save $5000 a year for retirement or do you want to have 1 million dollars in savings by age 70? See the difference in these two goals?
This precise statement is part of a good goal setting strategy. So let's say you want to save a specific dollar amount a year for retirement. This is a great goal statement (know what you want). What is your plan? How are you going to save that exact amount of money?
This will be the beginning of your plan. For this example, let's say that you will save this dollar amount a year for retirement by making monthly deposits into a bank account and putting money every month into an investment account. Guess what? You have a plan.
The next step in your goal setting strategy is to take consistent action. Your consistent action in the above example is to put money into savings and investments every month. Maybe you need to put money aside weekly or save on a daily basis. Set the day and time that you will have that money put into a savings and an investment account each and every month. Your goal should now look something like this: "…I will save a specific dollar amount a year for retirement by making monthly deposits into a bank account and an investment account. I will deposit these funds before noon on the last business day of the month…" Do this for a few months and you will see your bank account grow.
Periodically look at the progress you are making and see if you need to make any adjustments. Change your goal statement to reflect those changes. As you can see, having a goal setting strategy is a plan for success.
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