Have a system for success
In our recent vlog post we talked about the importance of having goals and more importantly having the system in place to achieve those goals. The interesting point is we don’t achieve goals in isolation, it doesn’t happen instantly – it’s the plan, the process, the system you put in place that gets you there. Essentially, it’s the system that’s essential to you achieving your goals, whatever they may be.
You see having a goal is the easy part. For example, “I’d like to have £60,000 for a house deposit within the next 5 years. The challenge is whether you are prepared to make the sacrifices necessary to achieve that goal. Can you adjust and control your expenses? Can you save the £1,000 per month required to achieve this goal? Do you have the patience and discipline to maintain that savings habit until you reach your goal? How exactly will you achieve it?
When we step out onto the pitch, the ultimate goal for my team is to win the game by scoring more goals than the opposition. However, we’re not just going to sit and stare at the scoreboard. We need to have a plan in place to achieve our objectives. This goes for whatever goal you have in mind, be that:
My goal is to exercise 3 times per week
My goal is to lose a stone within the next 3 months
My goal is to build a multi-million-pound business
My goal is to retire at 60 and have enough money to live a comfortable lifestyle in retirement
What matters, as we set out in pursuit of these goals, is to have the right system in place to achieve them by focusing on the steps you need to take now and going forward to keep you on the right track.
How often have you heard the story about the overweight individual who went on a crash diet, lost X pounds, and achieved their ideal weight, regained their happy outlook on life, saved their marriage, etc. Fast forward 6 months, and they are back to the same weight they were before, on the verge of depression and their marriage is back on the rocks. What went wrong?
You see it’s great having goals to aim for however this is just a marker in the sand. If we then achieve those goals and revert to the same old bad habits we had before (eating junk food, not exercising, not communicating with your partner) there’s only one place you will end up.
It is the system that’s key to achieving your goals and building lasting, sustainable, habits. This isn’t by focusing all your attention on Nirvana over the hill, it’s by focusing on the here and now and, dare I say it, enjoying the process; enjoying the feeling of gradual achievement as you work towards that flag in the sand. You’ll get there, one way or another and when you do, you’ll want to keep on going to the next flag, because you’ve put in place a plan that works for you.
Track your Progress
There’s a whole host of methods you can use here, however, I love the simplicity of one in particular:
The ‘Paper Clip Strategy’
Get two boxes, one full of paperclips and the other completely empty. Every time you complete a step towards your goal, move a paperclip across to the empty box. Keep repeating that process as you work towards your goals. For example;
“I have successfully completed one of my three exercise classes per week”.
Great, move one clip across, and so on. The visual process is incredibly rewarding and as you see that once empty box start to fill up, you’ll maintain that momentum and motivation to keep going.
Make it Fun and Rewarding
Exercise, diet, money – it can all seem a bit serious at times. We all just want and need a bit of fun, don’t we? Of course we do! I actively encourage you to have as much fun with your goal setting and system as possible. Celebrate reaching certain milestones with treats/gifts/fun adventures. Nothing crazy that knocks you off course, but enough that helps put a smile on your face:
Reached our first £5,000 – A trip to the theatre to see our favourite show
Reached £10,000 – a meal out at that fancy new restaurant we wanted to try
And so on…
So, shall we get started with your financial goals and systems?
Set your Financial Goals
Grab a pen and paper
Ask your partner (where relevant) to sit down with you
Think about what your financial goals are
Write down a list of your top 10 financial goals (or as many as you can muster)
Cut the list in half until you have your 5 most important goals
Remember to be specific. “I want to save more” is too vague. “I want to save £1,000 per month and reach £60,000 in 5 years’ time for a new house deposit”. That’s much better, specific with a clear focus on where and when you want to achieve your goal.
Once you’ve completed this exercise, you’ll have your top 5 most important financial goals. Those are the key goals you should be focusing on and deserve your time and effort.
Now you have your goal/goals we can focus on the vehicle to get you to your destination.
Put in Place your System
For example, my partner and I will:
Review our income and expenditure on X day to determine what we can afford to save each month
Reduce our discretionary expenditure to £X per month
Put spending limits on our account to make it easier and prevent us breaching our spending plan
Set up a separate joint savings bank account for our future house purchase
Set up a monthly direct debit each (automatic) of £500 going into our separate savings pot
Check in on our progress on a monthly basis on a Sunday night at 7 pm.
Celebrate our first £5,000 milestone with a fine dining experience
Celebrate each additional £5,000 with [insert new experience/gift etc here]
Track our progress using the paper clip strategy
Allocate an extra 20% of any additional pay rises towards my savings goal
Now that’s starting to look like a system that you can get running with. Once you get into the regular habit, you’ll start to reap the rewards with each step you take, falling in love with the system the more success you have.
So, it’s time to get started on your goal setting and putting in place a system that works for you. Don’t worry if you stumble or fall along the way. Dust yourself down, understand where you went wrong, course correct and get back on it. Persistence and discipline goes a long way.
Here’s to a life Spentwell.
Keith
Managing Director
Spentwell.
Would you like support with your goals and systems? Get in touch at team@spentwell.co.uk and we’ll get you working towards what matters to you in life.
Source: The ideas and content here have been sourced and adapted into my own words, from a selection of ideas proposed in Atomic Habits by James Clear.