Money Lesson 1 - Setting Priorities

You might have many financial goals you dreamed of, but the fact is you probably won’t be able to realize every one of them. Trying to achieve every financial goal at the same time may cause all goals unachievable. Besides setting realistic financial goals, you should identify your goals clearly and decide which are the most important which matter the most to you. Don’t goes for too many goals, try to narrow your objectives and set the goals that matter you the most. By concentrating your efforts, you have a better chance of achieving what matters most.

The longer you wait to identify and begin working toward your goals, the more difficulty you'll have reaching them. Hence, get a start now and work toward your financial goals.

In order to set priority on your goals, you must first list down your financial goals which you are dreamed of achieving them in a defined timelines. Then, analyze each goal, you can put higher score on the most important goal and follow by the second important and so forth. To accomplish primary goals, you will often need to put equally desirable but less important ones on a back burner, Focus first on the goals that matter to ensure that you achieve what matters most

In the ideal case, you will be able to set the priority on all your goals accordingly, but in reality, you may find one worthy goal may conflict with another. And you may have hard time to decide which one to prioritize first. Hence, be prepared for conflicts of your goals, and when it happen, you may want to decide which one to go first by applying certain criteria such as which of the conflict goal will benefit for most of people or which of the conflict goal will cause the greatest harm if it is deferred.

In drawing up your list of goals, you should look for things that will help you feel financially secure, happy or fulfilled. Some of the items that wind up on such lists include building an emergency fund, getting out of debt, and paying the kids' tuition. Once you have your list together, you need to rank the items in order of importance

In process of planning your financial goals, remember to include your family members. If you have a spouse or significant other, make sure he or she is part of the goal-setting process. Children, too, should have some say in goals that affect them.

Things change with time, your needs and desires invariably change as you age. Be prepared for change, you should reexamine your financial goals and their priorities from time to time, at least every five years.


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Money Lesson 1 - Setting Priorities

Money Lessons