SMART Goals for 2022

Have a SMART goal in mind.

S.M.A.R.T. is an acronym standing for specific, measurable, attainable, relevant, and time-based. These goals are designed to keep you on track and motivated to achieve what you want in life. They work because instead of just having a general idea of what you want (i.e., “I want to retire early”), they make you think about the path of how to actually get there.

For example, if you want to retire early, how early? Does retiring early mean retiring at 60? 55? 45? You need to set an end date to create a sense of urgency. This will also help you reverse engineer your goal to see if it’s realistic/attainable. You’ll need to figure out how much you need to live off of per month or per year and then can use cool tools like the 4% rule to see how much money you need invested to hit your retirement goal. Are you ok living off of $40,000 per year ($3,333 per month) or do you need $80,000 or more? What expenses will you have when you retire? In addition to basic living (food, water, transportation, cell phone), will you still have a mortgage payment? Don’t forget you’ll likely need to pay for healthcare. Using the 4% rule, you’ll need $1,000,000 invested if you want to live off a $40,000/year income.

The good news is that if you’re young, you have a lot of time to make good financial decisions and allow those good decisions to compound over time. The bad news is, it’s a long time to stay focused on a goal. So Instead of taking a straight line to where you want to go, it might be more of a winding road.

How do you stay focused for 20 years? To do this, you have break it down into more manageable chunks (having “milestones” to look forward to), celebrate the wins once you achieve those milestones, review your goals regularly, have an accountability partner to make sure you’re not straying too far off your path, understanding that sometimes you’ll have to delay gratification, not worry about what others think and stop comparing your life to theirs, and have a strong reason for wanting what you are stating is your goal. Do you want to retire early only so you can sit in front of the tv all day or do you want to enjoy life with others? If it’s the latter, who’s to say you can’t do that now?

What to think about when setting New Years resolutions

January 1st is here, which means many of you have already set (or will be looking to set) New Years resolutions. Resolutions get a bad reputation sometimes, but they shouldn’t. You should always strive to improve your life. What gets mocked though is how many yearly goals not only don’t get achieved, but are discarded/forgotten by the time February 1st rolls around.

So how do you avoid becoming a cliche by actually keeping your resolutions? Follow these 5 steps to have a greater chance at hitting your goals…

1. Figure out what your goal is in the 7 major categories of life. These categories are: family, relationships, physical, mental, spiritual, financial, and career.

2. After figuring out what your goals are, ask yourself when each goal should be realistically accomplished. Is it something that can actually be accomplished this year? Maybe it will only take 90 days or maybe it will take 3 years. Either way, if it’s important to you, don’t scrap the idea just because it doesn’t fit into a “yearly” goal timeline. Instead, break the goal down into milestones…in order to achieve Z, you need to get to Y by this date. But in order to achieve Y, you need to get to X by this date. Continue doing this until you have broken it down to what you need to do TODAY.

When each goal is broken down into manageable chunks of what needs to be done, always set a timeline for when you should hit each milestone as well (not just the overarching goal). This will let you know if you’re on track to hitting your yearly goal. If you reach a milestone date and haven’t achieved that milestone yet, it allows you to pivot early enough to still (hopefully) complete your big goal.

3. After figuring out what your goals (and milestones) are and when they can be realistically accomplished, the next thing you need is to have a powerful why behind them. Why are you resolving to achieve that thing? Why is that important to you? Will it make you feel better (intrinsic motivation) or is it to impress other people (extrinsic motivation)? Did you come up with it yourself or are you following along with what you think your spouse or your boss wants you to do?

You should be excited to get started, but as you begin to struggle, or when you don’t see results right away, you will be tempted to quit. The voice inside your head will begin to tell you that you didn’t really want that in the first place or that whatever your goal was isn’t really important. That’s just you giving yourself an out. But if you have a “why” behind the “what,” you will be more likely to keep at it when the times get tough. Your “why” should excite you and it should improve your life in some way.

4. Now that you know what your goal is, when you need to achieve it by, and why it is important to you, you need to figure out how you’re going to do it. Once again, it is best to figure this out by breaking it down.

First, you need to have a clearly defined time of day to work on your goals. Look at your goals daily and figure out the time you will work on your goal every single day. Will it be every morning when you wake up, as soon as you get off of work, or right before bed every night? Stay consistent with what time you work on your goals. Make this a habit!

Secondly, you’ll be more effective when you have a dedicated place to work on your goals. Where you will work on achieving your most important next action step for the day? Will your “sacred place” be at the gym, your office, a coffee shop, the basement, etc.? You need to define your work space. Especially now, with so many people working from home, you don’t want to blur the lines between when you’re supposed to be working and when you’re supposed to be spending quality time with your family. If you blur the lines, it will be too easy to not be truly focused on anything (making all aspects of your life suffer).

The last part of the “how” to achieve your goal is to understand what is the ONE thing you need to do today to get you closer to your milestone goal. I discussed this earlier when I mentioned breaking down each goal to the point of what you need to do TODAY to get you to where you need to be for the next milestone…What actions (leading measurements) are important to track every day that predict success for your achievement goals (lagging result)? What is the ONE thing you have to do that day to move you closer to achieving your next milestone? Remember, every journey of 1000 miles starts with a single step. You have to take small, consistent action to get to where you want to go.

5. Finally, you need to determine who can help you achieve your goals. This will probably take multiple people (probably at least one person for each goal). Is it a loved one who cares about that particular goal just as much as you do? Is it a friend or co-worker with a similar goal? Or maybe you find a group/community online to help encourage you when you’re down, but hold you accountable as well? No matter what the case, share your goals with others. Saying it out loud and writing it down means that you can’t hide it when you don’t achieve your goals. Take ownership of your goals, of your successes when you hit them, and of your failures if you don’t. The only person who can make you do this is you, but it always helps to have support along the way.

Keep these five things in mind when setting goals/resolutions. Of course, try to make them S.M.A.R.T.E.R. (specific, measurable, actionable, risky, time-keyed, exciting, and relevant) and, again, focus on WHY it is important to you. You need to have a deep intrinsic motivation to do something in order to keep pushing through the tough times.

Good luck and happy new year!

Giving an inch and taking a mile

There’s a common phrase which says, “give the man an inch and he’ll take a mile.” When you think about it, you can probably relate to this happening to you at some point. You tried to be nice, whether it was helping someone out by literally giving them something or maybe you “let them off the hook” when they didn’t do something, and next thing you know, they’re asking/taking more than you agreed to.

Well, don’t be mad at that metaphorical man because, guess what? You are that person too! I was thinking about this in regards to my own workouts, eating habits, and other self-improvement actions. I get up really early (I’m usually up by 3:15 a.m.) so I can get my workout in, read, write this blog, and get some real estate-related work done before anyone else in the house is up and moving. Sometimes my alarm clock goes off and I just want to sleep in. What’s the harm in missing one day of working out, right? That line of thinking (giving myself an inch) can lead to a slippery slope (taking a mile). One missed workout, just like one cheat day, one binge-watching session, one of anything in which you “treat yourself” can (and often does) lead to another. It feels good. It’s easier and more convenient in the short-term. But what’s best for short-term is often in conflict with what’s best for the long-term.

Whenever you feel like you “deserve” something, be on guard. That’s the most dangerous time! Keep putting in the hard work. It will be worth it in the long-run. Otherwise the habits you need most become like the stereotypical New Years resolution…forgotten after 45 days. Don’t get caught in the cycle of working hard for a month, and just when you are starting to make progress, stopping “temporarily” to give yourself a break. You’ll find that stopping feels good and you either never fully commit like you initially were or you never get started again.

We all want to take a mile when we give ourselves an inch. The key is to resist the temptation to take that given inch in the first place.