Dreading your mid-year check-in? Did some of your new year financial goals slip through your hands and nest themselves in the back of your mind? No fear. You can still accomplish your financial goals in the second half of the year. Here are six mid-year tips to help you reset your financial goals.
Review your past financial goals to see if they absolutely need to remain the same or if there is room to make adjustments. Did you have a goal where you had to save a certain amount of money by a deadline? Do you have wiggle room to shrink some of your goals for the time being? The last thing you want to do is set a goal this far into the year that will create stress in trying to achieve it. Make the goal practical. For example, if you are saving for the family cruise next summer and wanted to save $5,000 this year, consider shrinking the goal to $2,500 for the next six months so you can feel more confident about achieving it. For goals that are time sensitive and cannot afford to be reduced consider some of the following tips.
Boost your savings and cut extra spending. If you slipped up in this area over the past few months, here is your chance to re-establish this goal while gaining better financial habits. If you are trying to accomplish a time sensitive goal then boosting your savings may not be the option here but you can definitely focus on cutting extra spending. One of the most practical ways to do this is by creating a zero balanced budget and using the envelope method for your monthly expenses. Boosting your savings for the remainder of the year is a great way to play catch up to your goals. Being intentional in giving yourself a weekly or monthly allowance helps you adjust to spending less on your lifestyle and adding more to your bank account.
Review your retirement contributions. Remember your long-term financial goals are a result of you completing your short-term goals. Review how much money you are allocating to your retirement funds and see if there can be any room for improvement. Consider checking in with a financial planner to see that you are maximizing your money in a way that will give you the best return. They can also help solidify a game plan for your retirement interests.
Monitor your budget. Identify what goals are your “needs” versus “wants” and allocate your budget accordingly. If you have been spending too much money on your “wants” and your “needs” are beginning to backslide then consider eliminating a few of your wants (just for now) so you can get on track with what matters the most. For example, paying the minimum on student loan payments to afford higher rent in a luxury apartment may not be the best option. A greater need is getting out of debt. Consider paying more than the monthly minimum and living in a place with less expensive rent temporarily. Using our mobile app can help you monitor if you are spending the right amount of money on major living expenses.
Review your investing decisions. Were some of your investments based on emotional decisions and not what your financial portfolio can hold? Do you need to reconsider if your investments are hurting your chances of reaching your financial goals? Establish a time length that you plan to make an investment and weight your risk from past investments to see if more investments are reasonable for you at this time.
Make a game plan to stay on track with your goals this time around. Since you have updated your goals to make them more manageable for the rest of the year, spend time reflecting why you may have fallen short on some of your goals. Is it something that can be prevented? What new habits can you create to conquer your goals this second half?
If you are staying on track with your financial goals then kudos to you. Keep going strong and you will thank yourself at the end of the year. If you have to restart your race then you can finish too! Master your goals now and feel victorious at the end of the year.