Reevaluating Your Financial Goals
By Erin Lozano
You’re not alone if you don’t have any financial goals. Even for women who have set some, they usually don’t know how to meet them. If you want to get to know your cash flow, good luck knowing much more about what you were spending than what you know today. But, if you set some simple action items that are measurable, achievable and realistic, you could be surprised as early as a few months by your personal finance prowess.
Achievable, Measurable, Realistic
The way to reach a goal is to break down a desire into action steps. Each of those steps will lead to the next in achieving your goal. And, each step should be achievable, with measurable results that are realistically attainable. This works for marathons, money matters, relationship skills…anything you want to achieve can be broken down in this way.
Let’s talk money. If you want to diversify your investment portfolio (or you want to START an investment portfolio) then ask yourself these questions:
Is it achievable?
Are the results measurable?
Are the results I’ve set realistic?
Is it achievable to diversify, or to start? Yes. Now make it measurable by setting a date and quantity. For instance, resolve to take 20% of the portfolio and put it in new types of investments by June 15, 2010. Lastly, ask yourself: are those numbers realistic to achieve in six month’s time? If so, you’ve got a clear goal.
Results in Action
Now set some action items that will help you achieve it. What needs to go into this goal to make it happen? Consider your level of knowledge, and what information it will take to achieve your goal. Then write down concrete tasks you can complete, all guided by dates and times. For instance,
- Over five weeks, reach out to five financial planners and ask what they are recommending to their clients.
- Every Saturday morning, spend a half hour on Kiplingers Personal Finance page.
- Calendar dates to spend a half hour talking to two of your closest friends and family whose advice you trust.
- From your research, plan out the action steps you are choosing to get your portfolio diversified by 20%.
- Then invest.
© 2010 SingleMindedWomen.com All rights reserved. Permission to reprint this article must be obtained from SingleMindedWomen.com
More Financial Advice For Single Women