New Year Plans test

Posted by: Leo Marte, CFP®, MBA | Dec 12 2022

Note: This blog is a continuation of a prior one titled Old Year, Old You. Take a look and read that one first before diving into this one. You will find a handy goal setting exercise there that sets the foundation for this discussion.

Establish clear, attainable goals

After completing the goal reflection exercise included in Old Year, Old You, let’s focus on next year. We asked you to create an objective for each of the following six categories:

  • Physical
  • Intellectual
  • Professional
  • Family
  • Financial
  • Spiritual

Now it’s time to convert your objectives into goals. Think of the following guidelines:

  • Make them specific - If you want to read more nonfiction books, it could sound like this: “Read twelve non-fiction books.” By focusing on the outcome, you can filter your goals more efficiently and determine whether they are attainable.
  • Set yourself a deadline - For me, there is nothing more motivating than knowing something has to get done by a specific date. It energizes me to structure my plan and make it happen. Following the example of reading twelve non-fiction books, let’s put a deadline on that goal of October 31st. That means you will have to read about 1.2 books per month to reach your destination on time.
  • Develop one to three tactics - These will help you understand how you will go about your goal. If you need to read 1.2 books a month by October, perhaps these tactics can help:
    • Join a book club that covers at least one book per month.
    • Get a library membership.

This template can help you organize your thoughts and commit your goals to paper. After completing it, don’t forget to bring in your spouse or a friend to get accountability. Set yourself checkpoints throughout the year to go back to them and report on your progress.

Get your financial life in order

We wouldn’t be a financial blog if we didn’t discuss financial goals at a more specific level. The new year brings with it new opportunities and challenges. People are often the most motivated to make radical changes in their lives after the clock strikes midnight. Think of the following financial goals to help you jump start your financial makeover:

  • I want to cut my consumer debt in half by December 31st of next year.
    • My dream scenario: pay it all off in the same timeframe.
    • Tactics:
      • Sign-up for our Master Class How to Build a Christian Financial Plan and complete the course.
      • Cut all take-out food and vacations until I meet my goal.
      • Wait 48 hours before making any large purchases or money decisions.
  • I want to organize my financial life and ensure that I have a retirement plan by March 31st of next year.
    • My dream scenario: do it by January 31st.
    • Tactics:
      • Research and interview three financial advisors.
      • Onboard with my final choice and use their help to build a plan.
  • I want to give 1.5 times what I gave last year to my church or favorite charity by December 31st next year.
    • My dream scenario: give 2x
    • Tactics:
      • Consult with my advisor to understand the best giving target and any tax advantages you can benefit from in the process.
      • Engage my time and talent in a new nonprofit that I can then support financially.

Unfortunately, we do not set new year’s resolutions to be goals, and they end up falling by the wayside. Don’t forget to be specific, set a timeframe, paint a dream scenario, and outline your tactics.

Are you investing in the future?

Consider how your objectives, financial or otherwise, lead to a better future. It should be evident that investing money today, assuming a solid plan and healthy returns, will yield a better portfolio tomorrow. Feeding your body, mind, and spirit with the right food can fundamentally change your future self for the better. Well-structured goals and accountability are half the battle. Go forth and conquer this new year!

Leo Marte is a Christian financial advisor and CERTIFIED FINANCIAL PLANNER™. Abundant Advisors provides financial advice for Christians with convenient virtual meetings. Let’s talk if you are ready to make the next move.