A roadmap for long-term goals
Whether you're saving for your first car or you want to live abroad for a semester, some financial dreams are bigger than others. If the money seems out of reach, it may be time to create a plan—or a roadmap. Here are some steps you can take:
- Know where you want to go: Define what you want to save for. This is called setting a goal. Write your goal down—this small step can help you reach it.
- Map it out: To figure how to get from point A to point B, write down how much money you will need to reach your goal. Then subtract what you already have saved.
- Fuel up: Once you have a number in mind, you need a way reach it. Whether it's through a part-time job, allowance, gifts, or even starting a small business, making and saving money will take work and some time.
- Pack up the car: Be sure to sock your money away somewhere safe. If you will need the money soon, then a savings or cash management account makes sense. But if your goal is going to take a longer time to reach, you may even consider investing your money instead.
When you have a roadmap, it's much easier to reach a goal. So get your pen and paper, or find a tool online to get started. With a plan in hand, you'll be cruising along in no time.