Financial Goals to Set Today and Achieve by December

Are you apprehensive that mid-year is already here? Yet, you might not have achieved any of those new year resolutions towards the robust financial health you envisioned. Of course, the pandemic, global inflation, and the current election mood might have done a few nasty tricks to your endeavors. But that shouldn't dampen your money-making aspirations. Again, it would help if you did not take a back seat for whatever reason. 

Let's sample some of the simplest and most achievable goals you can set today in order to improve your financial health by the end of the year.

 1. Create an Emergency Fund for Unexpected Expenses

Life's uncertainties often come accompanied by unexpected expenses, which is when an emergency fund becomes most useful. It is a critical financial buffer that keeps you afloat when you need money. Emergency funds can also shield you from further borrowing when you are in debt. 

The question many people ask is how much should they save for emergencies? It all depends on your financial circumstances. The rule of thumb is that you set aside adequate funds to sustain three to six-month living expenses. 

Where is the best place to save for an emergency? 

Simply keep your money in a savings account with a high-interest rate and easy access. Avoid tying this account to your daily expenses bank account so as not to dip into your savings.

Several methods exist to build your emergency fund so that you can have something impressive by the year's close. Here is what you can do.

• Determine how much you plan to save daily, weekly, or monthly.
• Automate your emergency savings account to enable the transfer of funds before it lands in your account. 
• Take advantage of mobile technology to keep the change. For example, if your smartphone has those savings-focused apps, you can automatically deduct a few coins into your checking account each time you purchase online. That includes if you are buying stuff like airtime time and data.
• Evaluate your contributions and make the necessary adjustments. Like any other project, you have to review your emergency account after two to three months. You can decide if you are on track or need to amp up the amount you have been saving. 

Read Also: Six Simple Ways to Jumpstart Your Emergency Fund

2. Create a Budget and Live Within It 

Most people do not practically comprehend what living within one's means implies. Again, with the abundance of mobile loans and a monthly salary or income from your business, it is not strange for many Kenyans to take their purchases beyond what is necessary. 

Consumerism is also at an epic high; almost everyone wants to buy more things, some of which they can barely afford. But such a life is never sustainable. Reckless expenditure will often lead to financial ruin. How do you live within your means to achieve your financial goals? 

• Being aware of your income, helps you coordinate the date of your pay with your bills.
• Creating a budget enables you to spend less money than you bring home. This budget helps track your expenses but you can also utilize it to keep your spending habits in check. 
• Avoid using mobile loans to pay bills. Loans, including Fuliza, can be unreliable. Remember that providers can limit your loan at any time. They can unsubscribe you, rendering you vulnerable.
• And lastly, to successfully live within your means is to never keep up with the Joneses. Use personal discipline to resist pressure to have what your neighbor, friend, or family member possesses. Even social media lifestyles or TV stunts are not for you to copy. When you use your money to show off, fake displays of wealth are often short-lived.

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Read Also: 6 Simple Steps to Create A Working Budget

3. Live Below Your Means 

Living below your means is a straightforward idiom for never spending more than you earn. It implies that you have some leftover funds every time you receive your pay. Several advantages come with this lifestyle. 

For example;

• You have less money stress. Peace of mind comes with the thought that you have some funds stashed somewhere and are not too vulnerable in case of emergencies.
• Reach your financial goals easily. Imagine spending all your earnings each month, how then can you save to achieve financial stability? It's impossible until you practice living below your means.
• You achieve career growth and flexibility.

Read Also: How Not To Waste Money: The Cost Per Use Formula

 4. Settle Some of the Most Critical Debts 

Most people have been caught in a chain of debts from bank loans to mobile app loans to loans from friends and family. Without making an effort to pay off these debts, the interest attached makes most people lag behind and never reach their financial dreams. 

Failure to pay your debts off also affects your credit history, meaning that you will find it almost impossible to find a credible lender when you badly need a loan. The trick, therefore, is to create a sustainable plan to help you settle critical debts. 

Here is how. 

• Create a budget that guides how much you can set aside for a monthly debt settlement. A budget can also help you see how you can free up some funds toward paying off some of your debts.
• List all of your debts consisting of balances and attached interest. Create an order of what comes first and their level of priority. The highest interest rates should come first, and the lower interest rate loans should be last. The trick is to pay the most you can afford on the most expensive loan. Then pay the minimum on the much cheaper ones.
• Finally, avoid creating more debt. Accruing more means, you will continue shouldering the debt burden and never have peace to enjoy a debt-free life and achieve your overall financial goals in the shortest time. 

Read Also: Coping With Debt: How to Deal With Debt of Any Size

5. Engage in Legit Side Hustles 

Side hustling might be just what you need to earn an extra bit of money and achieve your financial goals before December. Sure, there are numerous ideas, and depending on your skill level, you shouldn't wait to jump on the bandwagon. 

Some of the most popular money-earning opportunities include:

• Grocery, food selling, and delivery
• Buying and re-selling second-hand clothes
• Tutoring students in the evening or during the weekends and holidays
• Starting an online shop
• Farming

Point to note: While a side hustle will not make you instantly rich, it can help create funds to assist you to settle some of your needs towards financial goals. 

Read Also: How to Start a Side Hustle When You ‘Don't Have The Time’

6. Learn More Skills to Improve Your Financial Position 

The world as it is right now is an open book, and there are plenty of platforms for you to acquire money-making skills to help you earn more. Some skills opportunities you can learn in a flash include online marketing to sell your products on social media platforms. 

How about every day yet valuable skills like cooking, massage therapy, running errands, delivery services, and even plumbing that can help you improve your earnings?

If you are employed, you can take up a few upgrade courses along your line of profession as you eye a promotion. But then again, this is in the longer term. This article is focused on your short-term financial goals before the year closes. 

7. Strive to Earn That Raise 

In the following six months, you will most likely be subjected to a performance evaluation. In order to be at par and get that coveted pay rise, make a list of anything of value that you provide to the organisation.  

Document your accomplishments between January till now so you can provide a compelling case for why you deserve the increase you're seeking.

For example, mid-year is the right time to pull out your sleeves to do a better job at work. You can volunteer to lead a project. You can also undertake significant tasks catching your bosses' attention. 

Read Also: How to Ask For a Salary Raise, Mistakes to Avoid

Conclusion 

Thinking you're too late? No, you're not! You still have time to establish your mid-year objectives goals that you can achieve by December.

Things may change radically in 6 months, and the fact is that now you know what you can do to achieve a better financial end to 2022,  you don't have to wait until next year or next month.  Begin today with one goal at a time.

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