Financial Goal Setting Strategies

Interactive Video

[A mature couple reviewing papers together at the kitchen table.]

[A  man holding a mask over his eyes with one hand and holding a “Happy New year” sign in the other hand.]

Narrator: New Year’s resolutions are all the rage every January. [A calendar appears showing New Years Day.] But about 43% of people who make resolutions honestly predict that they’ll throw in the towel before February. [“43%” appears.]

[A clipboard shows three New Year’s resolutions: (1) learn a foreign language, (2) finish writing my novel, and (3) exercise every day.]

And those predictions tend to come true - almost one out of every four people gives up on their resolutions within just the first week. [4 person-shaped icons appear on the screen with one of them highlighted. The highlighted icon flies off screen.] Beyond that, most folks tend to call it quits within a month, and only a tiny 9% manage to stick it out until they achieve their goals. [The other three icons fly off screen and “9%” appears.]

[An animated man shooting an arrow but missing the target which is on the other side of a chasm.]

So, what’s the point of people setting a goal knowing from the jump that they won’t meet it? And, it almost feels like the odds are stacked against you before you start if only a measly 9% of people meet their goals.Honestly, most people give up because goals require time and commitment to achieve. And they can be hard work! But hey, don't let that discourage you! Anything worthwhile takes effort and the payoff can be grand. [The man, continuing to shoot arrows at the target, succeeds with the third shot.]

[A smiling couple sitting on the floor in front of their couch, looking at papers together. There is a calculator on the table in front of them.]

First, what are financial goals? They’re simply visions of your personal financial future that are meaningful to you and can motivate you to achieve them. [3 icons appear: an engagement ring, a house, and a truck.]

[Two choices appear on screen with the text, “What is your financial goal? Select a choice and type in a personal answer”: (1) number goal (2) state of being goal. After selecting an option, a text field to type in the goal appears.]

So, think about one financial goal you might have. It could be a monetary number goal or a state of being you want to achieve (that has to be assisted by money). Pick one you’d like to capture and type in a goal.

[Option 1 (Number Goal) Selected: The number entered appears on screen.]

Ok, so you have a number in mind. Is it for a big purchase, a down payment on a house, or just bragging rights that you have a lot of money in the bank? It doesn’t matter…you have a money goal. [A forklift pushes a large pile of cash to the middle of the screen.]

[A child with an excited look on his face and his finger in the air as if he knows the answer to the math problem in his thought bubble (5+5=10).]

So numbers come down to math. And if you remember from elementary school, you have to add numbers together to get bigger numbers!

[The text appears, “Strategies to reach your goal:” with a thermometer increasing as the narrator speaks.]

So consider some strategies to add up those numbers:

• Save, save, save! The more you don’t spend, the more you have and the closer you get to that goal. [A piggy bank appears.]
• Grow your money. Unfortunately you can’t grow a grove of money trees, so you need to use compound interest to get your money to work for you. [An image of a man climbing a bar chart with a money plant growing at the end appears representing money growth.]
• Earn more money. Remember, nothing worthwhile is easy. You can always consider a side gig to make a little extra cash, if you have the time and ability. [An image representing working overtime appears.]

[Option 2: (state of being goal) Selected: A man wearing sunglasses sitting in a boat gazing at the water while holding his dog appears.]

Ok, so there’s something in your life you want to achieve that requires money. Is it early retirement, living on your own, or just being more careful with your spending habits? The important thing is that you want to set a financial goal to improve your quality of life. [An image representing high yield savings appears.]

[A mature couple reviewing papers together at the kitchen table.]

So qualitative money goals start with priorities and mindful choices and end with better money management (and maybe larger numbers). [The text “money management” appears.]

[A young woman wearing a cap and gown, holding a diploma with the text, “Strategies toward your financial goal:” A pie chart showing a budget with half the budget allocated to essentials. One-fourth of the budget allocated to savings. The final one-fourth is allocated to debt and investments.]

So, consider some strategies to bring peace of mind and positive movement towards your personal financial goal:

• Ensure your current money situation is under control. Make payments on time, pay down debt, and save money. [A scale representing lower debt appears.]
• Prioritize how you allocate your money. Take care of essentials first, and then determine how you can get your money to work for you. [A pie chart showing a budget appears.]
• Align yourself with people who have a similar financial mindset to the one you want to achieve. You can learn new things and avoid bad habits. [Three friends appear.]

[Both choices lead to a slide with a text entry box with text, “Enter any other financial goals.”]

Awesome! Do you have any other goals in mind? If so, add those in. If not, continue on. 

[A smiling couple standing in front of a home with the word “sold” taped over a ”For Sale” sign in the front yard. The woman is holding a key in her hand.]

Goals play a big role in helping us become the best versions of ourselves. And financial goals can really pave the way for you to live your life exactly how you want to, aligning with your personal dreams and ambitions.