There’s just something about a fresh start – a new beginning. And after a season of excess during the holidays, most of us could use a financial fresh start. If you’re looking to begin again, don’t worry! You have plenty of time to achieve financial goals this year. Here are 7 key principles to making a difference with your money this year.
Believe Change Can Happen
I know it sounds a little hokey, but every successful endeavor begins with HOPE. After two years of hopelessness and honestly mere survival mode for many, I know this seems just out of grasp. However, all change is rooted in the belief that things can get better. You won’t get anywhere if you don’t think it’s possible. Will it be challenging? Likely. Will sacrifice be involved? Yes. Will it feel frustrating along the way? Odds are good. However, is it possible? 100%.
Choose a Day
Luckily for all of us, we can blaze a new path on any day of the year. It doesn’t have to be January 1. And if you blow it along the way, you can choose to begin again. Our family started our debt slaying journey on April 2, 2008. Because it’s never a good idea to begin anything on April Fool’s Day. Try to avoid the trap of restarting every week but choose a date certain to move toward change.
Resource Yourself
If you don’t know how to begin, that’s ok. Odds are good your current situation is the result of not having enough wise voices speaking into your financial life. Or maybe you know what you need to do, but don’t have enough consistent encouragement to stick with it. Now is the time to hit the library (begin your search online). Check out books and audiobooks. Find helpful podcasts. Flood your social media flood with groups and pages that will promote your success and unfollow those that won’t.
Set An Overall Goal
You won’t get anywhere without a road map. And so if you’re not specific about what you’re going to do in the new year, you won’t arrive at your destination. Rather than “I’m going to get better at my finances,” choose a goal like “I plan to pay off X dollars of my credit card debt.” Or instead of “I want to save money,” think along the lines of “I will only spend X dollars at the grocery store per week.”
Set A Goal Within the Goal
While our overall goal is the final destination, micro goals inside the larger aim are what keep us going. So if the large goal is the overall map, micro goals are the turns you need to make along the way to arrive safely at your destination. Spending a budgeted amount weekly at the grocery store means your micro goals would include things like meal planning, list making, and monitoring what you put inside of your cart. Paying off credit card debt would require you pay your bills on time, reduce your spending to put more toward your balance, and investigate new sources of income. The goals within the goals help you move steadily toward the end game.
Create a Visual
Our brains need reminders of why we’re doing what we’re doing. For this reason, it’s smart to create a visual representation of what you’re trying to achieve. You could make your own or you could rely on the genius of someone else. I LOVE Debt Free Charts. There are a number of free options or a few affordable paid ones, too. The gamification of your financial goals can make the process exciting and addicting even. These charts – especially those that look like game boards – will help you see the journey more clearly and create a desire to win when it comes to your goals.
Celebrate Small Success
Minor victories fuel larger success. There is power in starting small. So maybe your simplest of goals would be to eat out less. Set a goal to go one week without eating out. And then, celebrate by having a budgeted for meal out at a favorite restaurant. You may even go as far as choosing from the menu what you’ll order in advance. Many of our money leaks result in not having a plan and then spending on things we don’t even like. For us, we celebrated each of our payoffs (individual bills like car loans, student loans, credit card debt) along the way. Some celebrations were small (a special meal at home) and others included weekend getaways (paid for with cash). Realizing there was something fun at the end of the smaller journey within the journey helped move our efforts along. So plan celebrations along side your goals. Once you complete the goal, save cash for the celebration whatever it may be.
You can do this! I’m confident you’re smart enough and capable enough. And I’ll be cheering for you each step of the way.
My book is now available: Slaying the Debt Dragon: How One Family Conquered Their Money Monster and Found an Inspired Happily Ever After. You can also check out The Debt Free Devotional
This post contains an affiliate link. That means when you get a great deal, learn about a way to save, or maybe even something for free, I may end up making a small commission. All prices are subject to change.
