Target Practice

My brother is a doctor, and one of the things he went through, while still in residency, to prepare him for life in the ever-changing Emergency Room, was “Target Practice.”  They brought him and his group of physicians out to a big field, and showed them a variety of guns and bullets.  When he recounted the story to me, I learned that he had become a quick expert on all of the different kinds, and thoroughly enjoyed himself and this new experience!

One thing that seems obvious to most of us is that when you see someone practice shooting a gun, a bow and arrow, or anything else, there’s always a target in front of them to aim for.  Whether it’s a coke can placed on a fence, (like in the movies), or a big red and white target placed yards ahead of you, there’s always something to shoot for.  Your personal finances work the exact same way.  Spending time to develop “targets” that you’re aiming for, will help you to reach your goals and ultimately accomplish more financially than you could ever imagine.

So how do you set goals?  Here’s a few ways to get started:

1.     Get everyone on board – Achieving financial goals means that everyone needs to be on the same page.  You can’t ask someone to forego that starbucks coffee, unless they understand a need for it.  Everyone needs to have a say, and understand the importance of achieving those goals.

2.     Punch List – Sit down and develop punch list of all of the things you want to attain in the years and months ahead.  Make sure that they are reachable goals – not too far in the distance, and have monetary sums written next to them.  Example: We need $12,000 to buy that car, or we need $2,000 to buy a new dining room table and chairs.  List out several goals that you’re shooting for, and then assign them numbers, in the order in which you plan to purchase them/order of importance.

3.     Post them – Place your goal list up somewhere, where you’ll see it daily.  If it’s in front of you, chances are, you’ll accomplish them faster than you think!  Studies show that when you write your goals down and post them where you can see them, you’re 80% more likely to achieve them – so tape them up!

4.     Stick to them – Once you’ve determined your goals, the biggest temptation you’ll have is to continue your current spending habits.  “Begin with the end in mind” meaning that you need to start your day remembering your financial goals, and live out your day saving as much as you can towards those goals.  Remember, start small, determining to just save $1.00 a day, but I think you’ll be surprised how much and how quickly your “goal money” adds up!