Is it too late to wish you a happy new year? We start every year with New Year resolutions or phrases of ‘New Year, new me’ or is it ‘old me’?
A new year presents a clean slate for a fresh start and we all get excited by the prospects of having new year resolutions and turning our lives around. Gyms are full in January, but come February, the numbers are down to a trickle. Same to our financial health. We start with ambitious goals which sometimes get derailed during the year. So what goes wrong and how can we make sure we start strong and finish stronger?
Here are a few tips to help you get to December 31st on track with your financial goals
1. Set SMART goals. With the excitement of a new year, we may get overtaken and set ambitious goals. Then a few months down the road, we realize we are far from reaching our goals, get discouraged and give up. Start by setting goals that are Specific, Measurable, Achievable, Realistic and Time-bound (SMART). E.g. I would like to save Kes 12,000 by December 31st, 2023
2. Write down your financial goals. Having something written down will help you commit to it and remind you of your commitment. E.g. You can write down on a vision board or diary.
3. Break down your annual goals to monthly goals. This helps to break down your big goals into smaller, more achievable goals. E.g. Save Kes 1,000 every month. You can use the ABC Target account which helps you save periodically towards your target.
4. Out of sight, out of mind. Opening a separate account such as the ABC Pure Savers account which is separate from your transactional account where you save towards your goal will help you not get tempted to spend the money you are saving towards your goal
5. Tracking your progress periodically. Don’t wait till the end of the year to check whether you met your goal. You can monitor your progress every quarter so that you evaluate your performance or change plans if you may be behind or ahead of your goal.
All the best as you work towards achieving your New Year resolutions!