Change we know is constant. Whether you embrace it or choose to remain aloof, change will always happen. Where it leaves you is a response to how receptive you were to it. That you are the type who spends money without checking your bank account or prioritise savings, even with the current realities in the Nigerian economy, does not mean the money will always be there forever especially when you are doing so little to make it grow.
As we already are in the final weeks of 2016, this is the best time to look back and ask serious questions on the progress you have made with your finances. Are you better off today than when the year started? Where were you financially in January and where are you now? Did you achieve your savings goal? If you did not, what about a tangible investment you can point to? Where are you on retirement savings? Have you achieved the target for the emergency fund you set at the beginning of the year?
In a few weeks, it will be a new year; a new opportunity to take action on your new goals. How successful you are going to be in 2017 will depend on the changes you make and embrace, and the changes you actually commit to implement. In other words, you have to look back on what you have not done right in 2016, the steps you were supposed to take but reneged and then consciously choose to get it right.
Commitment for most people comes at a great price while others see it as necessary for the next achievement. Either way, commitment takes effort and sacrifice. It comes with denying you certain conveniences or benefits. Importantly it can start small. For instance, you had wanted to save a particular sum by December 2016, but you gave yourself a significant target to save every month. Why not start small? Instead of N10, 000 you can begin with N5, 000 until you are able to muster the courage to commit N10, 000 every month. You can project where a commitment of N5, 000 will see you in the next thirty years.
In the process of embracing change, you might be reminded of how you came up short the last time you tried. Your mind may want to replay the numbers you wasted. Do not let that fear stop you again. You may require setting a budget that you will follow this time. It could also mean downsizing your living expense. What if you only needed a two bedroom apartment instead of the four you are occupying now? Do you really need to party every week, buy friends’ aso ebi every month? Or visit your parents every weekend when you could send a token instead and reach out through calls?
You have always wanted to make a tangible investment, what stopped you the last time? The answer could be goals-based planning. This type of planning expands your scope to consider all facets of your financial life and allows you to map out different tranche of money for investment to achieve different goals. Goals-based planning ensures you enjoy success at various levels.
Think of tying your goal to a specific goal. Maya Kachroo-Levine of Forbes puts it this way, “Specifically allocating your funds (on paper) before you even get paid will allow you to prioritize saving, even if you are still paying off debt. For many, the “pay yourself first” method, which means putting your monthly savings goal in your account as soon as you get your paycheck, works best when getting used to sticking to a budget.”
