Money goals, big or small, most of us have them but sometimes they are just difficult to achieve.
Financy has launched the “Money Goal Runway” in partnership with financial planning firm Twelve Wealth in the hope of helping more women start fashioning their financial futures.
Cathryn Gross explains where the idea came from and how you can use it across your life.
When I was mid career in a global investment bank I was incredibly privileged to be partnered with a couple of different Executive Coaches who helped me take that next step and navigate the politics inherent in a global business.
The single most important lesson I learnt from my coach was how critical it was to have professional and personal goals.
Clear and attainable goals which gave me a clear plan and momentum when I need to step back from the problems of day to day and think about my future vision.
The importance of clear goals is well established.
A study that started at Harvard University in 1973 looked at the impact of goal setting on MBA students and found that only 3 per cent of respondents had written down their goals.
When the same survey was repeated 10 years later, that same 3 per cent of students were earning 10 times more than the other 97 per cent combined.
On a more practical level, the story of Australian Olympic running champion Cathy Freeman is the best example I can think of for achievements which come from clearly defined goals.
Four years out from the 400 meters at the 1996 Olympic Games in Atlanta she sat down with her team and said, “If I perform at my absolute best, if I am truly committed to running the best I can possibly run at the Atlanta Olympics, what time would I run?”.
It was decided that 48.63 seconds was the time she should target.
Cathy then wrote that number on a big piece of paper and stuck it to the ceiling above her bed.
Then she worked at achieving that number, even though she had never run this fast in her life! Cathy turned up to the Atlanta games and made it through to the semi-finals, then the finals and walked away with a very shiny silver medal.
Her time – 48.63 seconds!
Getting clear on your goals for life must also be an integral part of any wealth building.
Without emotionally charged goals it can be difficult to make the sacrifices and changes required to get where you want to go.
It is also very difficult to come up with an appropriate investment strategy if you are not sure what you are saving for!