Having a Plan

It is impossible to effectively manage your finances if you don't have a plan on how you want to spend, invest, and save. You need to create a road map by defining your financial goals. Here are three essential keys to setting goals:

Be specific – define what you want to achieve, and when. Goals can be short-term (a few days, months, or a year) and long-term (five, 10, or 15 years).

Be realistic – make certain your goals are attainable. Setting unattainable goals will only lead to disappointment when they are not achieved.

Write them down – keep record of your goals and mark off key milestones as you achieve them. Refer to this information from time to time. Writing down goals, reviewing them, and recording your progress can motivate you.