4 Simple Financial Goals You Should Achieve This Financial Year

It has nothing to do with chance or luck to achieve financial freedom. Identifying realistic financial objectives and devising a wealth planning strategy can help you achieve your financial goals effectively and efficiently.

Once your plans are set in place, working toward those financial goals becomes ingrained in the routines that define your life, and reaching financial freedom can seem more straightforward to achieve.

However, before you do anything else, write your goals down! An often-cited study done by Dr. Gail Matthews,¹ a psychology professor at Dominican University of California, found that you become 42% more likely to achieve your goals and dreams, simply by writing them down on a daily basis!!!²

If you want to be financially wiser, here are some financial goals you can add to your plan this financial year:

Financial Goals for 2022/2023

Become At Ease With Sharing Your Fortune

Money has a real influence over your life, and regardless of how much money you gain, it should never be allowed to rule you. If you are financially comfortable, it may be an opportune time to consider giving back.

Giving to others is beneficial to you for a variety of reasons:

• Keeping money is about security; letting it go is about appreciating its worth.
• Helping others in need makes you a part of the solution, not an issue, in the world.
• Letting go of money demonstrates your control over it since you know it will return.

It feels fulfilling to give to others, especially knowing that you have the opportunity to do so.

Is one of those positive financial objectives giving? If you look at many of the world’s most renowned affluent people, you’ll notice a consistent trend of giving to others.

We are not suggesting handing over a majority of your wealth to others – only give what you can afford, even if it is a few one-off donations throughout the year.

Eliminate Any ‘Stuff’ Addiction You Might Have

This may not be a financial objective in and of itself, but it impedes your financial goals, regardless of their nature.

A material addiction might be like a financial parasite. Your need for items can consume a significant percentage of your salary and cash savings.

There will be various issues as a result of this:

• Any money spent on things could be better spent on productive ventures that could generate a passive income.
• Collectibles must be stored, and as the collection of your items increases, you will require more storage space. That means you’ll probably be seeking to buy a bigger property every few years, with all the costs that entail.
• Stuff is a capital trap because it binds up your money while providing little or no financial value.
• While things might make you feel more at ease, only income-generating or growth-oriented investments can help you advance in life.
• During times of financial stress, it’s easy to get concerned with safeguarding and maintaining your possessions, which isn’t what you should be concentrating on.
• Stuff tends to suck up your time, leaving you with less to spend on more valuable pursuits.

Suppose you have a slight suspicion that you may have a material addiction… Set a financial goal to quit it once and for all. Your life will improve through improved cash flow as a result of your choices.

Live On Less Than You Earn

You will always have enough money if you learn to live on less than you make, no matter what. That means you’ll have enough money to put aside for savings, investments, and debt repayment.

It’s critical to look for strategies to boost your earnings continually. However, that technique will only be effective if you can live on less than you make so that you may put the difference to greater use in your life.

Make A Plan To Do Work That You Enjoy

Finally, the goal of bettering your money should be to provide you with more freedom in your life. That is, you should be able to do anything you want, whenever you want. If that’s not an excellent financial objective – then what is?

Getting out of debt, planning for early retirement, diversifying your income streams, and quitting your materialistic addiction should all pave the path for you to perform the work you genuinely like. Even if the employer doesn’t pay nearly as well as your current job, this should be true.

But only if you have no obligations to pay off, if you can live on less than you make, and if you have a sizable financial portfolio to back you up, would this be viable.

Start Planning Your Goals Today for a Better Financial Future

Setting new financial goals and achieving and maintaining them might feel like a lot of pressure. Start by making minor but significant changes while still being prepared for any financial shocks that may arise. It’s not always easy, and it may be emotionally draining at times, but the payoff can be well worth it.

Are you ready to you seek investment financial advice in Newcastle? At Newcastle Financial Planning Group, we provide personalised investment financial advice and wealth management strategies to help our customers achieve their financial goals. Call us or book online to secure your first appointment with us today and get started!

 

REFERENCES:

• https://www.dominican.edu/sites/default/files/2020-02/gailmatthews-harvard-goals-researchsummary.pdf
• https://www.cnbc.com/2019/09/13/self-made-millionaire-how-to-increase-your-odds-of-success-by-42-percent-marie-forleo.html