Many of us have money dreams. Often, these dreams focus on some point in the future, when you have more money. We think about the things that we'll do when we have more money: Go on vacation, set up a charitable foundation, get rid of debt, pay off the mortgage, or accomplish some other feat.
Unfortunately, while dreaming about what we'll do when we have more money, we often overlook the intervening step of planning to make those dreams a reality. We dream of a financially sound future, but we neglect to make any provisions for actually getting there. As a result, having more money in the future remains a dream — and the future we dream about is never realized.
What Money Realities Do You Face?
First of all, you need to recognize where you are in terms of money. Honestly look at the money realities that you face. Look into the future and consider what's next. Just as you need to consider the financial implications of marriage, having children, and other milestones, you also need to consider your current situation. Figure out how where you are right now relates to where you want to be.
Next, you need to make a list of the steps that you need to take in order to get from where you are to where you want to be. This is where many of us trip and fall. We find ourselves unhappy with the current situation, and dream of what it would be like to have more money. We use phrases like “When I have more money” and “When I get that promotion” to describe what we hope will be a profitable future. But these types of wishes skip over the realities that we face now, and the actions that need to be taken in order to achieve your financial goals.
Create a Plan to Reach Your Money Dreams
Once you know where you are, and what needs to happen in order for you to achieve your money dreams, it's time to create a plan. You can look for ways to develop multiple streams of income, you can improve your skills so that you qualify for better pay, and you can also find ways to cut the unimportant spending from your life and save more money. There are a number of ways that you can work toward your goals, and they differ according to your situation and your preferred outcome.
The common factor, though, is that you have to take action. You need to consciously set out to achieve your financial goals in a way that renders them achievable. While you might have set backs, breaking down your goals into achievable financial resolutions that you can work on each year can help. Indeed, creating a plan for your money is one of the best ways to help you finally achieve those dreams.
Eventually, if you create and stick to a plan, you won't be saying, “When I have the money…” anymore. Instead, you will have the money. But it doesn't just happen, and you can't get to that point on mere wishes.
It is the difference between having a “Dream” and having a “Goal” – a dream is airy, fluffy, wishfullness ……………… a “Goal” is concrete, it has a timeline,deadlines, benchmarks – and above all it has a plan for action – not one for “wishing it so”
One of my biggest obstacles in life is to learn how to actually think thoroughly through spending while keeping in mind everything that will be coming up financially. Its often difficult to get in the frame of mind when there is money in my pocket, and no close foreseeable expense that will impact my budget. But I know this thinking needs to change as saving will benefit me greatly in the long run, while immediate satisfaction only lasts a short period of time. Thanks for the 2 great tips.