The end of the year is here. Was 2017 successful for you? Did you obtain your goals? I hope you had a prosperous year.

Tony Robbins is a master of setting goals and he uses the acronym SMART which stands for specific, measurable, achievable, realistic, and time-frame.[1] These five ingredients are key to achieving goals.   My goal of wanting to lose 5 pounds by April 1 meets these five criteria.

In addition to his list it’s paramount to write your goals down and commit them to paper. Tom Clancy said, “If you don’t write it down, it never happened.” Written goals are like magnets pulling you closer to your dreams.  In a study by Dr. Gail Mathews she found “that you become 42% more likely to achieve your goals and dreams, simply by writing them down on a regular basis.”[2]

However, writing your goals down doesn’t guarantee success. You must track and review your goals on a regular basis.  A monthly or quarterly review will allow you to adjust your goals as needed.

Goal setting is key to achieving financial success.  Written investment goals can help you track your results.  Your financial goals should follow the SMART model.  I want to have a lot of money someday is a dream, not a goal.  But if I change it to say I want to have $1 million by December 31, 2018 then it becomes a goal that can be measured.

In a few days the new year will be upon us and you can use this time to write down your 2018 goals.  Here are five suggestions to help you achieve financial success in 2018.

1. Have a plan. A financial plan will commit your goals to paper. It will include specific dollar amounts with dates, so you can track your progress.
2. Benchmark your assets. Compare your investment returns to a benchmark that resembles your portfolio.
3. Review. A quarterly review of your financial plan and investment accounts will allow you to adjust your goals as needed.
4. Update. It’s okay to adjust your goals throughout the year. If you obtain a goal early in 2018, then raise the bar or add a new goal.
5. Work with an advisor. A Certified Financial Planner® is your accountability partner who will keep you moving toward your financial goals.

Here is a list of books to help you kickstart your 2018 goals.

1. The Magic of Thinking Big by David J. Schwartz, Ph.D.
2. Braving the Wilderness by Brene Brown
3. The Power of Positive Thinking by Norman Vincent Peale
4. Think and Grow Rich by Napoleon Hill
5. 7 Habits of Highly Effective People by Stephen Covey
6. Awaken the Giant Within by Tony Robbins
7. Make Your Bed by Admiral William H. McRaven

Alexander Graham Bell said, “When one door closes another opens.”  So, let’s close out 2017 and turn our attention to the new year with new goals, dreams and ideas.

“Our goals can only be reached through a vehicle of a plan, in which we must fervently believe, and upon which we must vigorously act. There is no other route to success.” —Pablo Picasso

“Just when the caterpillar thought the world was over, she became a butterfly.” ~ Barbara Haines Howett.

Bill Parrott is the President and CEO of Parrott Wealth Management an independent, fee-only, fiduciary financial planning and investment management firm in Austin, TX.  For more information please visit www.parrottwealth.com.

December 28, 2017

Note:  Past performance is not a guarantee of future returns.  Your returns may differ than those posted in this blog.  Investments are not guaranteed.

 

[1] https://www.tonyrobbins.com/ask-tony/can-create-compelling-future/, website accessed 12/28/2017.

[2] https://www.huffingtonpost.com/marymorrissey/the-power-of-writing-down_b_12002348.html, by Mary Morrissey, 12/6/2017.