Financial goals are specific objectives you set to manage your money effectively and achieve financial stability and growth. These goals can be categorised into short-term, medium-term, and long-term, each with different time frames and purposes.

Short-term goals (up to 1 year) might include building an emergency fund or paying off small debts.

Medium-term goals (1-5 years) could involve saving for a down payment on a house or funding a significant vacation.

Long-term goals (5+ years) often focus on retirement savings, children’s education funds, or paying off a mortgage.

• You must feel comfortable that you have control of your rainy day fund and can gain access to this fund within 24-48 hours
• Avoid relying on your credit card
• Build up the account again if you have had to use some of the funds
• Think of a rainy day fund as a type of ‘self-insurance’ for when life throws you a curve ball

Begin by setting small, achievable goals to build confidence and gradually tackle more significant objectives. Regularly review and adjust your goals to stay on track and adapt to any changes in your life circumstances.

The acronym SMART is a great way to help set your goals

Specific: Clearly define your goals

Measurable: Be able to track your progress

Achievable: Make your goals doable

Relevant: They need to align with your money values

Timely: Have a realistic timeframe to achieve them

This information is of a general nature and is not intended as personalised financial advice. RIVAL Wealth is a Financial Advice Provider (FAP) licenced by the Financial Markets Authority to provide financial advice. Our disclosure document is located at rivalwealth.co.nz or a written copy is available on request