6 ways to make your financial goals stick this year

If you’re like most people, you wake up on January 1 with big ideas. Maybe you want to get a great job, write a book, run a marathon. Chances are, you also have some New Year’s money goals. Maybe you want to earn more and spend less, or you might be saving for something important like a holiday or a house deposit.

And, like most people, you probably get to February and start to lose momentum. Saving might feel too hard. Dinner with friends might win out over spending less.

But financial goal setting is worth it. This year can be different. Let’s do it together, by following these six financial tips for the new year, so you can stick to your resolutions all year long.

1 – Less is more

Having too many goals is setting yourself up for failure. We’re all busy, and keeping track of what’s important takes time and energy we don’t always have. By narrowing it down to one or two core goals, you can focus on what really matters and avoid spreading yourself too thin.

2 – Make goals achievable

The best financial goals for new year are “SMART”: Specific, Measurable, Achievable, Realistic and Timely. You’re more likely to smash goals if you’re clear about what they are. We’d all like to be rich, famous and beautiful, but there are many small steps to get there.

Make things easy for yourself. Set goals you can control, like putting aside a fixed amount each week or asking to work more shifts. Make them specific – saying “I want more in savings” is vague, but “I want $5000 in savings” is easy to understand. A time limit can help you stay focused, while being realistic will motivate you to keep going.

3 – Break down your saving goals strategy

We’re getting down to the nitty gritty now. This is where you work out how you’re going to make those resolutions a reality.

Let’s say your goal is to have $5,000 in savings by the end of the year. It sounds big until you break it into manageable chunks: that’s about $96 a week you’ll need to pop into a high-interest savings account to reach your target. That’s only 21 coffees (less, if you drink almond milk). Much easier.

Deconstructing it into bite-sized chunks means you can avoid financial goal setting overload. You know what you need to do this week. Next week is Future You’s problem. Just take it one step at a time. To make it even easier, use our savings calculator to get a handle on the numbers.

4 – Set road maps (not road blocks)

What does success look like for you? Setting milestones can help you see where you’re at, where you’re going, and how long you need to get there. What do you want to have saved by March? If you put away a bit extra, how much time will you save?

Budgeting and savings apps can help you plan over time. That means only good surprises. Plus, looking back on what you’ve achieved so far is a great inspiration to keep going. The next milestone is always right around the corner.

5 – Celebrate your financial goal setting successes (including the small ones)

Stay motivated by rewarding yourself as you go. With each milestone, take time to celebrate.

Keep the rewards relevant to your core goal. If you’ve been whittling away credit card debt for instance, treat yourself to a special lunch (paid with cash of course). Or, if you’re saving for a first home, take a visit to a display home centre to check out the latest interior design trends. Saved half of your holiday money? Book a tour you can take when you get there.

6 - Make it effortless

A journey of a thousand miles may start with a single step but it’s going to be whole lot easier if you’re wearing a comfortable pair of joggers. It’s the same with financial resolutions. They’re a lot easier to stick with when you’ve got the right equipment.

Make it easy for yourself. If your New Year’s money goals are to boost your savings, set up an automatic transfer every payday out of your everyday account and into a high-interest savings account . If you’re aiming to save for a new car, make sure you’ve got the hardest-working accounts before you get going. Want to wipe out credit card debt? Get rid of your card (securely) right now.

And stop procrastinating: start today!

The best financial goals for the new year are the ones you feel good about. Be clear about what you want to achieve, put all the right tools in place, and get ready to bite off small chunks with big rewards. Use our savings calculator to set achievable goals and you’ll have some serious celebrating to do in December.