By Jasmin Brown

BDO Debt Solutions

Make the Changes You Want

Mar 4, 2022 | 2:48 PM

Have you been looking at your financial situation and wishing that it looked different? Have you been wanting to make changes and don’t know where to start? If getting your finances under control is something that you would like to make happen, it is helpful to set some goals. A popular approach is by setting SMART goals. That means setting goals that are Specific, Measurable, Achievable, Realistic and Timely.

When goals are too broad it may be difficult to know how you are progressing in terms of meeting the goals. Using the SMART technique, you can increase the likelihood of accomplishing what you set out to do and making the changes you want see.

Specific

This is where you lay out exactly what it is you are trying to accomplish. This could be things like reducing your credit card debt, paying off your student loan, or building up a savings account.

Measurable

International Spotlight

P.A.'s Howe one of 4 Sask. born players named to Canada's World Junior roster

6h ago

National

Ottawa to remove 30% investment cap for Canadian pension funds

10h ago

Budget woes

Golf and curling centre faces grim season without financial boost

13h ago

This refers to whether you will be able to measure your progress in meeting the goal. By setting a dollar amount to the credit card, student loan, or savings account, you will be able to measure how you are tracking.

Achievable

This is where you assess your ability to complete your goal. You don’t want to set goals that are simply too difficult to accomplish, but you also don’t want to set goals that are too easy. Neither will get you to the changes you wish to make. When it comes to credit cards, student loan repayment or building a savings account consider whether the amounts that you set can be practically be attained and whether they make you “reach” further than you perhaps have been.

Realistic

This refers to the overall sensibility of the goal. Once you know that the goal is possible to achieve, you also want to make sure that it makes sense for you to pursue. You should be comfortable with the goal you set and realistic in terms of your ability to commit. Consider your other financial demands and set an amount for loan repayment or savings that you can commit to without becoming overwhelmed.

Timely

This is where you set out how long it will take you to achieve your goal. This could be having your credit cards paid off or a savings account built up by a certain date.

See the Difference

SMART goals make what you want to accomplish more meaningful. Setting goals in this framework makes a big difference. Think of the following examples:

· Pay down student loans vs. pay off half of student loan debt, or $7,500, by March 31, 2024;

· Pay off some of my credit card balance vs. reduce the balance on my credit card by $5,000 within 15 months;

· Save money vs. build up my savings account by setting aside $85 every month in a separate account.

By setting SMART goals, you are more like to make the changes you want in your financial situation. You will want to track your progress on a regularly basis to ensure that you meet your goal. Doing things like setting up automatic payments to pay down debt or to contribute to savings can be helpful tools. It is important to pay attention and be proactive in your own life to get to where you want to be.

If you are having trouble making ends meet each month, finding the right debt solution can help. Visit the BDO Debt Solutions website for more information about bankruptcy, or call 1 855 BDO DEBT to book a free, no obligation consultation.

Jasmin Brown is a Senior Vice President overseeing the insolvency practice in Saskatchewan. She is committed to providing creative and practical debt solutions with empathy, understanding and professionalism to help people overcome their financial difficulties.