I’m kind of jealous of people who can make a New Year’s resolution and stick with it. Resolutions don’t work for me. In the past, my resolutions have typically been about starting an exercise program or losing weight. By the end of January, little progress was made and little thought was being given to whatever resolution I had set. So now I don’t bother to make resolutions.
Want to know the best resolution ever made? Mr. Ms. Liz walked into his office one January 2nd over 30 years ago and his colleague and good friend asked if he had made any resolutions. He replied that he was going to “find himself a woman” that year. I walked in that office 24 days later. Resolution achieved!
So I love a good “resolution” though I no longer make them myself. I do use the excuse of the New Year to set my financial goals. I guess I could call that a resolution right? As you learned last week, I finalize my full year budget on New Year’s Day.
My budget includes the typical earnings and expense targets. But that budget also shows what is going to happen to my net worth through the year. If I keep my expenses in check and the investment markets cooperate, my net worth will reach that target by year end.
Setting and striving for that net worth target over the last 20 years gave me this great life.
So even if “resolutions” don’t work for you, would setting a financial target or two work?
You are going to save $X each month
You are going to reduce your debt by $X this year
You are going to automate a deposit to an investment account each pay period
You are going to calculate your net worth each month
Or you are going to get your net worth to $X this year–even getting to $0 may be a great target!
One or two of these wouldn’t be difficult to track and don’t require a complicated budget or a bunch of spreadsheets.
Feeling meh about this whole idea? Maybe you need to figure out your WHY.
Then set some financial targets that help you reach your target. Lay out a plan to get you there–little steps, repeated frequently, allow you to reach your goals.
Oh, and get ready to have a kick a$$ 2018!
Photo credit – Ms. Liz more elk porn from our back deck–where’s Waldo???