I recently wrote a blog about how to set financial goals (with the help of a financial expert of course). It goes over the steps you should take in order to effectively set financial goals.
Setting financial goals shouldn’t be an option as there are many important things that come with it. We’ve already spoke about the importance of setting goals, but for this blog post we took it a step further and spoke to multiple experts that helped us learn the importance of setting financial goals.
Establishes a Clear Sense of Direction
“Without defined long-term financial goals, we are more likely to get distracted by temporary problems.” – Jeff Mains, CEO, Champion Leadership Group
Jeff Mains gave us some good insights when it came to the importance of setting financial goals.
The above quote is the main takeaway from our conversation with him.
When you have well defined long-term financial goals, it helps you figure out exactly what is important. You don’t focus on the little things that don’t matter in the long run. This helps you stay focused and not get distracted by things that are only temporary.
Not only does it keep you grounded in terms of your overall financial direction, but it also helps you stay disciplined in other areas of your life. Without financial goals, it’s easy to get caught up in the moment and make decisions that don’t benefit you in the long run.
For example, you may go out and eat fast food more, drink alcohol with friends more, or even buy items that aren’t necessary. With good financial goals in place, you will think twice about doing those things.
Helps You Navigate Retirement Successfully
“Failing to chart your life course through financial goals can result in a large number of very expensive, poor choices, leaving you to look back in regret later in life.” – Doug Dahmer, CEO and Founder, Retirement Navigator
Our second expert, Doug Dahmer, explained the importance of setting financial goals when it comes to retirement planning.
The last thing you want to do when you’re 80 years old is worry about where the money is coming from. You don’t want to look back and regret not doing something as simple as setting financial goals.
Keeps You Aware Of More Opportunities
“It’s important to set financial goals because without clear financial goals, individuals risk falling into a pattern of aimless spending and missed opportunities for financial growth.” Leah Hadley, President/Senior Financial Advisor at Great Lakes Investment Management
The next experience, Leah Hadley, gave us valuable insight when it came to the importance of setting financial goals.
When you’re into a hobby, you’re more aware of different aspects of that hobby. The same thing goes with setting financial goals. When you set financial goals, it makes you more aware of different opportunities around you.
You may find yourself searching for different financial opportunities (like investing in stocks, bonds, and other assets) that will help you reach your financial goals.
Promotes Financial Stability and Security
“We all want financial security. Achieving financial security gives a person a stable base from which to grapple with all the other uncertainties in life.” -Linda Erickson,Founding Partner and Financial Advisor at Erickson Advisors
In your life you may face many different ups and downs, and this is what Linda Erickson pointed out to us when it came to setting financial goals.
Whether the car breaks down, the roof needs repairs, or you need to find a way to pay for a medical emergency, setting financial goals will put you in a better position to do just that.
Table Of Benefits When It Comes To Setting Financial Goals
| Benefit | Description | Expert Quote | Expert |
| Establishes a Clear Sense of Direction | Setting financial goals helps you focus on what’s important, reducing distractions and keeping you disciplined. | “Without defined long-term financial goals, we are more likely to get distracted by temporary problems.” | Jeff Mains, CEO, Champion Leadership Group |
| Helps Navigate Retirement Successfully | Financial goals are essential for successful retirement planning, preventing financial regrets later in life. | “Failing to chart your life course through financial goals can result in a large number of very expensive, poor choices, leaving you to look back in regret later in life.” | Doug Dahmer, CEO and Founder, Retirement Navigator |
| Keeps You Aware Of More Opportunities | Setting financial goals increases your awareness of various financial opportunities, helping you grow your wealth. | “It’s important to set financial goals because without clear financial goals, individuals risk falling into a pattern of aimless spending and missed opportunities for financial growth.” | Leah Hadley, President/Senior Financial Advisor at Great Lakes Investment Management |
| Promotes Financial Stability and Security | Financial goals provide a stable foundation to handle life’s uncertainties, ensuring financial security. | “We all want financial security. Achieving financial security gives a person a stable base from which to grapple with all the other uncertainties in life.” | Linda Erickson, Founding Partner and Financial Advisor at Erickson Advisors |
Conclusion
We hope this blog post has encouraged you to get on the ball and set financial goals for yourself. If you have any questions leave them in the comments and we will be more than happy to ask our experts above.
If you found this post helpful, please share it on social media or wherever you could.