Sunday, March 7, 2010

"SMART" way to set your goals towards financial freedom

Setting goals are important to help to achieve your financial freedom. You can use the "SMART" attributes to set your goals towards financial freedom:

You must know the specific outcome of your goals. In order to do that, you have to make an extensive plan on how you want to achieve your financial independence. A framework must be created so that you know exactly what to do and how to do it. Click here to see my framework.

Goals must be measurable so as to keep track of your performance. The amount of money made in a fixed period of time can be used to monitor the rate of success towards financial freedom. As for me, I calculate the total amount of money make in my passive incomes every month. Click here to see my passive income in the month Feb 2010.

Write down all the things you will need in order to reach your goals. After that, make sure you are able to get all the things needed in order to make your goal achievable. If there are things that are impossible to get, you will have to change your goals.

You must be realistic whereby you are willing and able to work towards your goal. You can only determine how high your goal should be by yourself and no one else. Unrealistic goals can make people give up easily. Also set yourself a realistic time table so that you are able to allocate time to complete the tasks needed to achieve your goal. Click here to see my time table.

Time frame
Setting deadlines are very important. With no time frame tied to your goals, there are no sense of urgency for you to work towards your goals. A fixed time frame will provide you the required motivation to achieve your financial freedom. Click here to see my time frame to achieve my goal for Year 2010.

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Have you started your journey towards financial freedom?