Have money goals for 2017? Make them a reality!
Financial resolutions that are too broad, or too vague, are often not easy to stick to. So make sure you have a specific monetary goal in mind.
Does the thought of New Year resolutions stir up memories of unmet goals and unfulfilled resolves? If the answer's 'Yes', you would naturally be put off by the idea of having any new goal for 2017 too.
But what if we told you, there are a bunch of smart ways that can help you stay committed to your resolutions and make them a reality! And we're not just talking about goals like 'hitting the gym more often' or 'picking up a new hobby'. We're talking about financial resolutions - the ones that hold the promise of a more secure financial future for you.
So, be it paying off a loan, settling an outstanding credit card debt, or starting to save for retirement, here are a few tips to get you going:
Stick to goals that are well-defined and realistic
Financial resolutions that are too broad, or too vague, are often not easy to stick to. So make sure you have a specific monetary goal in mind. You must also consider your personal circumstances and financial commitments carefully, before deciding on a goal for the New Year.
For example, rather than aiming to 'pay off majority of your debt', it would be more practical if you aimed to set aside 10 percent of your monthly salary towards settling your high-interest credit card debt.
Break up big goals into short-term milestones
Rather than having an enormous money goal that's overwhelming to begin with, it would be smarter to split it into smaller sub-goals, and aim to achieve these on a monthly or quarterly basis. Let's say, your goal is to save Dh24,000 to add to your retirement savings fund at the end of 2017, you could break it up into monthly saving goals of Dh2,000. This will help you save in a disciplined manner, while making sure you stay on track.
Assign an accountability partner
Confide in your spouse, family member or close friend about your money goals. Let them be aware of the plan, and they can help you stay committed by holding you accountable for achieving your resolutions. That's not all, you can also adopt the 'buddy system', and help your partner stay on top of their financial goals as well.
Constant reminders work like a charm
Ever heard the phrase 'Out of sight, out of mind'? How about never letting your financial resolution out of sight? Whether you want to rely on visual reminders like a sticky note on your refrigerator, or set monthly alerts on your phone, you can pick the reminder of your choice. You'll never have to worry about forgetting about your resolution!
Keep your eyes on the prize
Who doesn't love a bit of motivation? And what better motivation than earning yourself a reward for achieving your goal! With a reward in the picture, you would have all the more reason to get to the finish-line as soon as possible. Your reward could be in the form of a vacation to your dream destination or upgrading your home, whatever works for you.
The writer is the founder and CEO of souqalmal.com. Views expressed are her own and do not reflect the newspaper's policy.