How to Revive Your 2024 Financial Goals in Simple, Practical Steps

How well are you sticking to your 2024 financial resolutions? We are now 8 months into 2024, a great time to reflect on the financial goals we set to achieve at the start of the year. 

If you are already hitting your financial goals, kudos and keep up. It is also possible that while you have worked hard to meet your goals, you have not succeeded at it. This could be as a result of money mistakes, unexpected emergencies, procrastination, or a combination of factors.

If you find yourself in this situation, you're not alone. The Forbes Health/One Poll survey found that the average resolution lasts just 3.74 months. 

If you have made it this far, now is not the time to trow in the towel. It's the perfect moment to do a financial reset and get back on track.

This article will offer steps to help you assess your current financial situation, identify where you went off track, and discuss strategies you can implement to regain control and achieve your financial goals for 2024.

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Revise Your Budget 

An up-to-date budget provides a clear picture of your financial situation, highlighting areas where you may be overspending and identifying opportunities to save. This step ensures that your financial plan is realistic.

Start by gathering all your financial statements, including bank accounts, loan statements, and bills. Take note of your current income, expenses, and debts you owe.

Next, look for expenses that can be reduced or eliminated. This might include dining out less frequently, canceling unused subscriptions, or finding affordable alternatives for certain services. 

Read Also: What is the Maximum You Can Save When Earning Ksh100k With 2 Kids (Nairobi)

Review Your Financial Goals 

Revisiting your financial goals can reignite the enthusiasm and determination you had at the beginning of the year. This step allows you to reflect on your progress and adjust your goals to be more realistic and achievable. 

Start by assessing your initial objectives and evaluating your progress. This will help you identify obstacles that hindered your progress, understand where you stand and what adjustments are needed. 

As you work towards actualizing your financial resolutions, identify and control what you can. While external factors like economic conditions or unexpected emergencies can impact your finances, maintaining control over your actions and decisions, such as spending habits and savings rates, helps you stay resilient and adaptable.

Assess Your Current Financial Situation 

Assessing Your Financial Situation will help identify where you went off track and how to correct any mistakes. 

Here's how to go about it: 

• Gather Financial Documents: Collect all financial documents, including bank statements, credit card bills, loan statements, and receipts to provide a clear picture of your financial situation.

• List Your Assets and Liabilities: Create a list of all your assets (savings, investments, property) and liabilities (debts, loans) to determine your net worth and understand your financial health.

• Track Your Income and Expenses: Monitor your income sources and monthly expenses. Categorize your spending to identify patterns and areas where you can cut back.

• Evaluate Your Debts: Assess your outstanding debts, focusing on high-interest debts. Prioritize paying off debts to reduce financial stress and improve your credit score.

• Review Your Savings and Investments: Check the status of your savings and investments. Ensure you have an emergency fund and that your investments align with your financial goals.

Look for Opportunities to Boost Your Income 

To reach your financial goals, don't just focus on cutting expenses from your budget. Consider increasing your income.

You can increase your income by looking for part-time jobs, freelance gigs, or temporary assignments that fit your skills. You can also identify skills or hobbies that can be monetized, start a side business like dropshipping, or invest in income-generating vehicles.

A new source of income can accelerate your progress towards your financial goals. It will give you more flexibility and security, making it easier to manage unexpected expenses and stay on track with your financial plans.

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Automate Savings and Debt Repayment 

It can be tempting to use extra funds for discretionary spending instead of allocating them to savings and debt repayment. Automating your savings and debt repayments ensures that you consistently contribute to essential financial areas. 

This helps you avoid late fees, build an emergency fund, and reduce reliance on credit during future emergencies. 

The easiest way to automate your savings is to set up recurring transfers. For example, you can schedule automatic transfers from your current account to your savings or SACCO account.

Read Also: How to Automate Your Finances in Kenya 

Get an Accountability Partner 

An accountability partner provides support, motivation, and an external perspective, helping you stay on track and committed to your resolutions. This partnership can increase your chances of success by creating a sense of shared commitment. 

First, you need to choose the right person you can trust and who positively influences you. This could be a friend, family member, or colleague working towards their own financial goals. 

Then, you will share your financial goals with your accountability partner and encourage them to share theirs. 

Finally, establish a regular schedule for check-ins to discuss progress, challenges, and strategies for overcoming obstacles.Be honest and open with them. 

Read Also: Accountability: Most Important Trait For Financial Success 

Schedule Regular Check-ins To Review Your Progress

Life is full of changes, and your financial situation is bound to change. Not adapting to these changes can slow your goals or prevent you from achieving them. Regular check-ins help you stay aware of your progress. 

Choose a consistent time—monthly or quarterly—to review your financial situation and examine any changes in your income and expenses. This includes raises, bonuses, fluctuating utility bills, or unexpected costs. Based on the outcomes of the review, make necessary adjustments to your budget and financial goals. 

Finally, always reflect on your motivations. Remind yourself why you set these financial goals in the first place.

WRAPPING UP

Taking the time to assess your finances halfway through the year provides a valuable opportunity to reflect on your progress, identify areas for improvement, and make necessary adjustments to revive your financial goals and ensure that you are on the right path to achieving them. 

If you need personalized guidance, consult a financial advisor. A professional can offer expert insights, help you strategize your financial goals, and provide tailored recommendations for your unique situation. 

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