Episode 352: How To Set & Prioritize Financial Goals In The New Year
Dec 13, 2023
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Learn how to set and prioritize financial goals using concepts from the host's new book. Explore the importance of a systematic approach, understanding the difference between lead/domino goals and gap goals. Discover tips for organizing financial goals and the five stages of the financial journey towards independence. Find out how to support the podcast and spread its message.
Categorizing financial goals into different categories helps prioritize and allocate resources effectively.
Mindset and habit goal fuel are crucial for achieving financial goals and require constant improvement and adjustment.
Deep dives
Understanding the Importance of Categorizing Your Goals
This podcast episode explores the significance of categorizing your financial goals into different categories: income, spending, saving, investing, and debt payoff. By categorizing your goals, you gain a clearer understanding of what needs to be prioritized and how to allocate your resources accordingly. Furthermore, the episode emphasizes the distinction between lead or domino goals (income and spending) and gap goals (saving, investing, and debt payoff). Lead goals directly impact your ability to achieve the other gap goals, and it's essential to focus on increasing income or cutting back expenses to generate the necessary funds. The episode also introduces the concept of goal fuel, which includes mindset, habit, and income and expense goals that provide the energy and motivation to accomplish your financial goals.
The Importance of Clarity and Action in Goal Setting
This episode highlights the importance of gaining clarity and taking action when setting and pursuing financial goals. It encourages the listeners to write down their goals, identify the timeframe for each goal, and prioritize them based on importance. The episode stresses the need to calculate the cost of each goal, understanding how much money is required on a monthly basis to achieve them. By utilizing a budget, individuals can determine how to allocate their resources effectively and make adjustments to their income and expenses. The episode also emphasizes the significance of mindset and habit goal fuel in achieving financial goals, highlighting the need to improve mindset, develop beneficial habits, and make necessary shifts to reach the desired outcomes.
Navigating the Journey to Financial Freedom
This podcast episode provides guidance and insights on navigating the journey to financial freedom. It recognizes that goals and priorities may change over time and emphasizes the importance of assessing and adapting as circumstances evolve. The episode acknowledges the different stages of the financial independence journey (explorer, cadet, aviator, commander, and captain) and the varying approaches to goal setting in each stage. It suggests that while early stages may require a greater focus on financial goals, individuals should find a balance between financial and lifestyle goals as they progress. The episode concludes by reminding listeners that taking accountability and making intentional choices can empower them to achieve their financial goals and live the life they desire.
The time for goal-setting is here, Journeyers! The end of the year is the perfect time to take inventory of your financial goals. In this episode, I dive deep into how to set and prioritize financial goals using concepts from my new book, “Your Journey To Financial Freedom.”
I talk about goal dumping, being flexible with your dreams, and being honest with yourself and what you want out of life.
In this episode you’ll also learn more about:
Breaking down the 5 Categories of Financial Goals
“Domino Goals” vs. “Gap Goals”
How you can break down your goals into actionable steps
What “Goal Fuel” is, prioritizing “The Gap,” the importance of habits and mindsets, the 5 Journeyer Stages of Financial Independence + more
Leave me a voicemail– Leave me a question on the Journey To Launch voicemail and have it answered on the podcast!
YNAB – Start managing your money and budgeting so that you can reach your financial dreams. Sign up for a free 34 days trial of YNAB, my go-to budgeting app by using my referral link.
What stage of the financial journey are you on? Are you working on financial stability or work flexibility? Find out with this free assessment and get a curated list of the 10 next best episodes for you to listen to depending on your stage. Check it out here!