Specific
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When it comes to setting financial goals for yourself, the more specific you are, the better the chance of reaching them. Many people set vague financial goal and only end up getting spotty results. Sometimes they feel like they are in control of their finances, but other times, they feel out of control. By getting specific and writing down your goals, you can know exactly how you are doing.
Time Frame
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Another important part of setting financial goals is the time frame you choose. Every financial goal needs to have a specific amount of time attached. The goal should be the amount of time you expect it to take to accomplish it. If you do not set time parameters, there is a chance you never get around to working toward it. For example, if you want to save $5,000, set a goal to do it within two years or another comfortable time.
Budget
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To reach your financial goals, you have to hold yourself accountable to some type of budget. By budgeting your money, you will know exactly where all it goes each week or month. You could use many different strategies to budget your money. Even if you do not want to specify exactly where each dollar goes, you can break your spending into categories and stick to a budget that way.
Break Down Goals
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It is also important to try to break your goals down into manageable terms. By breaking them into smaller increments, they will seem more realistic and you will be more likely to attain them. For example, instead of saying you will save $500 per month, look at it as saving about $17 per day. You can then look at each day as a way to save a few extra dollars instead of seeing it in big terms.
Review
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Reviewing your progress is critical to your success. Many people set up budgets and financial goals on a regular basis, and never follow through. Setting a weekly time to review your progress can pay big dividends in reaching financial goals. This way, you can hold yourself accountable instead of allowing yourself to forget about your goals
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