A little way into the new year, our resolutions can start feeling harder and harder to stick to. This is especially true of financial goals, which can easily fall by the wayside if we don’t have a concrete plan or a clear sense of what to compromise on to achieve them. Below are some ways to stay motivated and stick to your resolutions.

Be Specific and Realistic With Your Goals

Some financial goals are doomed from the start: they ignore budgets, adhere to impossible timelines, or are not aligned with the person who sets them. Be mindful of your needs when setting your goals, and consider what you would most miss without it. 

Instead of something broad and unspecific like “save more towards retirement,” or “pay off all debt,” aim to save or pay off a specific percentage or dollar amount within a set time frame. Make goals trackable so you can see success firsthand and stay encouraged.

If you realize one of your goals isn’t working for you (whether you’re faced with an emergency or you were just a little too ambitious in setting it), understand that it’s okay to modify and adapt these goals to be better suited to what you want out of them. They’re meant to serve you and meet your needs, not work against you. Changing up your goals isn’t the same as abandoning them, so it’s important to know that altering a budget where it’s necessary won’t ruin your progress.

Know Why Your Goals Matter

A goal can be easy to compromise on when it doesn’t feel personal or urgent. Envision the outcome of your goals often, and remember why they’re meaningful. For example, imagine the peace of being debt-free, or the joy of the family vacation you’re hoping to take. These will motivate you much more than dull or vague objectives. 

Saving for fun, such as a vacation or a new item, is a very different goal from saving for retirement or a home. ‘Fun’ purchases shouldn’t put you in debt, so these short-term saving goals are more focused on allowing for spontaneity and wants. Homes and retirement are long-term investments. These different categories cannot be saved for in the same way or with the same motivations, so remember your why: save for things like concerts and travel to allow for in-the-moment enjoyment, and focus on a more systematic, investment-focused form of saving for the stability of retirement or buying a home. 

How to Overcome Unexpected Obstacles

It’s easy to be thrown off your financial targets when an immediate need strikes: a tire goes flat, an unforeseen doctor’s visit is needed, or a pipe bursts. These interruptions can feel disheartening, but below are some ways to stay on track and both prevent and respond to these crises.

Stick to a Detailed Budget

One way to be prepared for an emergency is to maintain a set budget that reserves a small portion for the unexpected. Budgets are especially necessary if your financial goal involves saving or paying off debt.

An easy way to start budgeting is to download an app that tracks your expenses and organizes them into categories. Make a list of which categories and purchases are most important to you and help you to enjoy your life. Some apps like these also offer options to go through your statements, finding all your subscription services and cancelling the unnecessary ones. Sometimes we’re paying hundreds a year for services we don’t even use!

Remember the priorities you set when you’re making a budget, but don’t feel like you need to sacrifice everything you enjoy. If you don’t want to cut out your morning coffee, try skipping the syrup or switching to a cheaper milk to save a dollar here and there. When grocery shopping, place pickup orders to avoid buying more than you need, and consider substituting a premium ingredient you love with the generic store-brand version. These little swaps don’t make you compromise on what you love, but savings from them can add up fast. 

Another easy way to save is to take advantage of the rewards programs at places you already shop. Saving ten cents per gallon at your favorite gas station is a no-brainer, and there are rewards options like this for almost everything you need: discounts at grocery stores, points towards free products at makeup retailers, savings at restaurants, and free drinks at your morning coffee spot.

If you feel disappointed that these savings are going towards an emergency rather than what you intended for them, remember that that’s okay: the stability to respond to a crisis and recover is what savings are for, and one setback won’t cancel out your progress and new habits. 

Contact Professionals

Sometimes what gets us off track is feelings of being overwhelmed or being in over our heads. This is especially true if financial goals involve paying down debt.

In cases of debt, many professionals, such as creditors and lenders, are available to discuss payment plan options, hardship programs, and debt management plans. Financial advisors can also help by assessing your situation and finding options for you.

How to Make it Easier

Set Up Automated Transfers/Savings Made Simple

To start saving without even thinking about it, automate your transfers to savings and investments straight from your paychecks. This makes your savings an automatic habit that stays consistent even when you forget about it!

If your goal is improving your credit score, automating your credit card bill payment ensures that your payments are made on time and keeps balances towards the low end of your limit. 

If you have a RiverWind checking account, our Savings Made Simple program will automatically round up each purchase and put the extra change into your RiverWind Bank savings account. This is an easy way to save, and it doesn’t feel like much of a sacrifice.

Look Into Your Options

Take advantage of the saving/investing opportunities out there! There are many forms of saving that allow your money to grow with no risk. Research IRAs, High-Yield Savings Accounts, Certificates of Deposits, tax advantages, and employer 401K matching to decide what is best for your unique situations and savings goals.
Visit with a loan officer today: https://www.riverwind.bank/Company/MeetOurTeam