Setting your goals will help you plan for them.
How to set your financial goals:
- Make a list of all the things you dream about and want to achieve for yourself and your family, such as an overseas holiday or sending your children to university.
- Now allocate a timeframe to each of these goals e.g. your child needs to start university in 10 years’ time, you want to buy a new car in three years or you want an overseas holiday in four years.
- In most instances people are not able to save for all their goals. Rank your goals in order of importance, so that you save accordingly.
- Now take the amount that you can afford to save on a monthly basis and allocate an amount for each of your goals.
- Due to the timeframe of certain goals it might be better to invest your monthly savings into a longer term investment where other goals will require a shorter term investment. For more guidance contact a FPI professional member.
Why is it important to review your goals regularly:
It is important to review your plan, at the very least, once a year. Your goals and dreams might change, your investments did not perform as you had hoped or you might have received an increase allowing you to achieve certain goals sooner or allow you to add certain goals you were unable to add to your plan initially.
Need more help:
Download our goal-setting calculator and/or find a FPI professional member for more guidance.