How to Set Money Goals

Happy New Year!

This is the Master Money Newsletter. The weekly money newsletter that wakes you up faster than your early morning ice baths.

That New Years' Resolution wasn't my best idea. Why do we do this to ourselves?

Here’s what we have on deck today:

How to Set Money Goals
My favorite book on habits.
My money routines!

Most people fail with their money goals.

Why? Because most people live life waiting instead of being proactive.

Here is the cold hard reality. Setting goals IS being proactive with your future. It’s the key to creating the life that you want. Not only with money but with anything in life. Your marriage, fitness, money, career, the list can go on.

So what we need to figure out is how can we set these goals and actually achieve them.

It all comes down to one thing. What systems do you have in place in order to achieve these goals?

If you have a goal without a system then you just have a wish. So putting together systems is key.

So when setting goals, I first meet with my wife once a year. We try to make this a fun date where we go to lunch and set our big goals for the year. This is my planning process.

I set goals in different areas of my life.

Relationships
Spiritual
Professional
Personal Growth
Productivity

Then we take these goals and break them down into actionable items that I call benchmarks.

3-year vision - For the big goals like saving your first 100K.
1 Year
Quarterly
Monthly
Weekly
Daily Actions

Breaking big goals into small daily actions is the KEY!

Then, I take those and put them into super cool money routines. Here are my money routines:

#1 Daily Routines

The only way to achieve any goal is to break it down into daily actionable steps. Here’s what I do:

Budgeting: I budget daily. It takes me 2 min and feels effortless this way. Make sure that the burrito you bought yesterday has been moved to your “screw this diet fund”.
Daily Goal review: You know the drill. Reviewing your goals daily is proven to make you 1.4x more likely to achieve that goal. I’m no neuroscientist but that seems like a pretty dope outcome to me (who says dope anymore).

#2 Weekly Routines

This is where the chedda’ meets the bank account.

Pay off Credit Cards: I pay off my credit cards weekly like a wacko. Not because it helps my credit score, but because I like to keep those balances under control. If overkill keeps my stress level down, I’m in.
Make Sure My Money’s Right: Cub Gooding JR. wasn't wrong when he said, “Show me the money!?” Who paid me or needs to pay me? I check that weekly.

#3 Monthly Routines

Let’s make sure we are on track

1. Meet with your partner or spouse: Every month my wife and I meet to talk about stackin’ cash. We may pop open a nice bottle of Vino to make it fun. We talk about investments, goals, and spending plans. This helps us make sure we are on the same page.

Look at spending
Saving Rate
Making sure we are on track income-wise.
Make sure we are comfortable where we are.

2. Review Your Investments: Make sure you have hit your investment goals for that month. Consistently investing every month is the key to building wealth.

Look at spending
Saving Rate
Making sure we are on track income-wise.
Make sure we are comfortable where we are.

#4 Yearly Routines: Set the tone

Every year we have a number of things that we do. They include:

Checking our net worth and making sure that it is growing.
Converting IRAs to Roth IRA’s.
Setting Goals for the next year.
Taxes.
Business Reviews.

We have an episode that talks about the year-end money system I use.

And that is how we set up our system. Take your big goals and break them into bite-sized actionable tasks that you can accomplish every day.

Index fund pro is live! You have a few more days to get 30% off by using promo code INDEXFUND30. Let me know if you have any questions!

Click here to get Index Fund Pro for 30% Off.

High-Performance Book Club 📚

I get a ton of questions from listeners and readers as to what I am reading. So we decided to let you know via the newsletter. The High-Performance Book Club will be a way to share this. If you want to be Elite in your career, business, or with your wealth, then welcome to the club. If you would like to see our previous picks, you can find them here.

Atomic Habits: James Clear

The Personal Finance Podcast 🎙️

We did a two-part series on goal setting with my friend Shannah Game. Here is Part 1 on her Podcast and Part 2 on my Podcast.

This episode is brought to you by Fundrise! My favorite place to invest in is passive real estate! Visit fundrise.com/PERSONALFINANCE to join them in just minutes.

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