Financial Goals – Where to Start

    Published: 06-16-2009
    Views: 4,501
    Financial Advisor Ric Edelman explains how to set your financial goals in four easy steps including the best place to start.

    Ric Edelman: In this video series we are talking about setting and achieving goals. Sometimes the hardest part about accomplishing a goal is figuring out where to start. Let's say you have set a goal, a big one that will take a lot of time and a lot of money, like walking the entire Appalachian Trail or completing a college degree. Big goals can make you feel a little intimidated, where do you start? Well, you start the same way as if you were eating an elephant; you just take one bite at a time. When you have a really big goal, break it down into smaller goals. Say you want to get a college degree, you can't get one today, but you can request a course catalog. So give yourself one small assignment today, order that catalog and then reward yourself for accomplishing that goal. And then give yourself another goal, like selecting a course. Reward yourself when you accomplish that, and then keep going.

    Set a goal for saving money and you will end up figuring out how to do it by taking big goals, shrinking them to little goals. For example with college, another goal will be registering for the class and then selecting another class and so on. Any big goal can be broken down into lots of little goals; every step will get you closer and closer to the ultimate destination, and making small accomplishments helps you stay motivated.

    So instead of worrying how will you ever get there, you will feel good every time you cross a small goal off your list. Before you know it you will be halfway there, then three quarters, and then all the way there.

    The only way for that to happen though is to start with a single step. Take that small step today and another one tomorrow, eventually you will have eaten the entire elephant.

    Videos in this Series