Setting Goals

The most important financial principle is to spend less than you earn. No matter what else you do, you must do this if you want to achieve financial freedom. One of the easiest ways to achieve this is to automate your savings. The less work you have to do to save, the more likely you are to get it done.

Set financial goals. Everything starts with a goal. As in “Why do you want to save?” “What are you trying to accomplish with your money?” Without a goal, you are simply accumulating money without purpose and more likely to fail. The best goals are S.M.A.R.T (Specific, Measurable, Actionable, Realistic, and Timely), so include a dollar amount and a time frame to reach your financial goals.