Make a New Year’s Resolution That Sticks!

3. Be Positive and Realistic

Goals can challenge you and help you grow into a new future. Choosing a goal that is attainable is another important part of success.

Let’s say you’ve chosen a clear goal: “In five years, I will be debt-free. I will pay off my entire debt of $12,000 so that I can focus on enjoying my family and instead of worrying about money.”

Chris says: “Consider how much you can set aside every month in addition to your minimum payment to achieve that goal. Is it realistic to spend $200 on your goal each month? Is it possible to pay it off even faster by spending $250 a month? Or does your budget allow for $100?” He adds, “Planning your paycheck each month can show you how much you can devote to achieving your financial resolution.”

4. Keep Track of Your Progress and Celebrate Milestones

Making your goal measurable will help it stick. Keeping track of your progress can help you stay focused and motivated. You can see your future getting closer and closer.

• Break your goal into smaller milestones. This makes it easier to see your progress and it’s less intimidating. “Set mini-goals,” says Chris: “For example, ‘This year, I will pay off my credit union Visa card.’” He reminds us, “Making smaller changes over time is often easier than trying to make a massive change all at once.”
• Celebrate your success along the way. Celebrating wins actually “trains your brain” by reinforcing your new habits, which in turn makes it easier to stay on track if you hit a bump in the road at some point.

5.  Make a Plan, Stan

The biggest reason so many resolutions go by the wayside is that they’re a goal without a plan. How will you accomplish your goal? How much will you devote and how often? How will you set money aside?

Kick that roadblock to the curb and make your to-do list. Clearly define how much you will spend toward your goal, how often you’ll make deposits on it, and the method you’ll use to transfer money toward your goal.

• If you don’t already have one, start with a monthly spending plan or budget. You’ll learn how much money you have to work with, what you need to set aside for other bills and living expenses, and how much you can devote to your goal from each paycheck.
• Use the highlighter test – highlighting essentials from your last bank or credit statement – to find out where you can free up more to put toward your financial goal.
• Automate payments toward your goal. Set up automatic transfers or use direct deposit from your paycheck to automatically place funds in your goal account.
• Choose one habit at a time to change. For example, if you need to reduce your credit card spending, focus on making that change as your first milestone. Then move on to setting money aside for payoff.