I AM TARGET TUESDAY!
16 Financial Targets You Should Have for 2016
Some years ago I made no plans and set no goals. My reason? I wanted always to be open to the leading of the Holy Spirit. Then I stumbled on Habakkuk 2:1-2
“I will take my stand at my watchpost and station myself on the tower, and look out to see what He will say to me, and what I will answer concerning my complaint. And the Lord answered me: “Write the vision; make it plain on tablets, so he may run who reads it.”
Even Jesus made plans (see Matt 10:5-15; 26:17-19)
Setting financial target is often a smart choice and can be very rewarding. When you set a financial goal, you define what you want and develop a plan for achieving it (read Proverbs 24:27 ESV). Instead of wandering aimlessly, you have something to strive for and a clear path for getting there. Let's review the steps that should be followed to reach any financial goal:
Step one: Define what you want to accomplish. The first step in achieving any goal is determining what you want to accomplish. Do you want to pay off your debts, save for a new car, save for college, etc.?
Step two: Write down your goals & put them somewhere you can see them every day. When you write down your goals, you are more likely to achieve them. This will also help you assess what you really want. Until it is written down, it’s not a goal – it’s just a SLOGAN
Step three: Be realistic. Set a reasonable/measurable/specific goal. You can always revise your goal in the future, depending on how you're doing with your plan.
Step four: Review your goals at least once every twelve months.
Below is the list of suggested goals for 2016..Feel free to add yours to it.
1. Giving/Tithing – what or how much you give is what matters ,expressed in %age of your income (see proverbs 11:25/Malachi 3:10-12)
2. Budgeting – adopting envelope/Mvelopes budgeting tools(see SS’ Nov. 5th post for a broader understanding)
3. Savings – in %age of total earnings (see SS’ Nov. 10th, 12th & 13th posts). What is your target savings for year 2016?
4. Investment decisions: in other to become a successful investor, you must get your finances organised & write down your investment goals.
Investment types –Bonds, Stocks, Mutual Funds, Real estate, REITs, Life Insurance etc. (for more details on the types of investment, see SS’s Nov. 5th post)
5. Impulse Buying/Spending – Luke 14:28ESV “for which of you, desiring to build a tower, does not first sit down and count the cost, whether he has enough to complete it?
Cutting down on most Indulgencies (for more details, see SS’s Nov. 5thpost)
6. Balanced to Positive Net worth – review the exercise we did at the start of our forum (on 31st Oct precisely) and you should be able to ascertain if your net worth is “balanced” or “positive”. Remember let thy step be slow & steady, that thou stumble not.
7. Emergency Funds – remember to keep this liquid as cash & should be spent on STRICTLY Emergencies ( see SS’s Nov. 3rd post for more details)
8. Debt Management – Moving from Debtor to Creditor (read Psalms 72:12-14). Make a list of your debts from smallest to the highest & project that in 2016, you will start paying them from the smallest which motivates you to continue (see SS’s Nov. 11th post for reference)
9. Getting married/Staying married – money surely affects marriages! It is not how much money you have that matters, it’s how you communicate & make decisions about your money that determines whether financial issues will bring you together as a family or drive you apart. (see SS’s Nov. 17th post on saving tips in planning a wedding)
10. Necessities vs Nice-to-haves: the bible tells us in 1 Timothy 6:6 that godliness with contentment is great gain. We live in an age when unnecessary things are our only necessities. If possible have a chart drawn to differentiate these. Remember the rule of Opportunity Cost!
11. Diversify – someone once said that “it is the part of a wise man to keep himself today for tomorrow & not put all his eggs in one basket”. Endeavour to have multiple streams of income (see SS’s Nov. 25th post for more details). Target is that our inflows should exceed outflows. Focus on what makes you unique!
12. Getting a new car/Pimp the current one – so many people get cars on a lease/loan. By the time they finish paying for the car, it’s fully depreciated and the value is no more fantastic. Don’t follow the crowd, get something basic that serves the purpose.
Someone said – you drive a landrover, yet you are not a landlord. Be wise!
13. Start Your Own business – if you are passionate about an idea that you know would work if only you had the time, then do what most entrepreneurs do – GET STARTED
14. Planning/Saving towards Retirement – according to David Bach “the sooner you start saving for retirement, the sooner you will be able to finish rich and go play!
15. Travel – we necessarily do not have to travel overseas most of the times. A trip to a resort centre can make a difference and keep our budget under control. If over-the-seas travel is required, check for promo tickets early.
16. Keep Overheads under control – don’t let your Overheads rise just because you got a pay-rise! If your overhead matches your income, you might be stuck up in a job you don’t want, doing things you’d rather not be doing.
Watch out for “low-monthly payments” offers!
Setting goals is serious business. We ought not to be so anxious about life that we make rigid plans which are beyond our capacity to keep, nor should we be so lazy as to make no plans at all. Rather, with all humility, let us submit our plans to the Lord, and work for His glory. (See Prov 16:3)
So then it is not of him who wills, nor of him who runs, but of God who shows mercy (Romans 9:16)
May the grace and mercy of God abound unto us all.
Omolara Salami Odukoya
On a daily basis, we feature words of financial wisdom from different Smart Stewards members and sometimes from Guest Contributors. You'd be glad reading them. Enjoy!
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