Sophie thinks about what she wants to achieve. She knows that the next
step is to get married, but what about after that?

Themba says that she needs to write down her goals and plans for the
future.
Short-term goals are things you want to achieve soon within a short
period of time e.g. within two years.
Medium-term goals are things you want to achieve within three to five
years.
Long-term goals are things you want to achieve in five to thirty years.
Sophie needs to decide what her short, medium and long-term goals are.
Themba says that her goals should be SMART. Sophie looks confused so
Themba explains what SMART goals are.

SOPHIE’S GOALS
Let’s look at an example using Sophie’s goals. Sophie would like to get
married, finish school and buy a house. These are great goals to have but
they are not SMART. Let’s see how we can make them SMART goals.

Remember that short-term goals should be easy to achieve, and these
will often pave the way to achieving medium-term goals. Long-term goals
are your big goals such as paying for a house or retiring. You need to be
disciplined to achieve your short, medium and long-term goals.

To remain disciplined, you need to create a plan to stay on track to achieve
your goals. Follow these five steps:

STEP 1: KNOW YOUR GOALS

• What are your goals for the short, medium and long-term?
• Write down one reason why you want to achieve each goal
  
• STEP 2: RESEARCH YOUR GOALS
• Ask yourself – what must I do to achieve my goals
• Collect information about them – where and how can you achieve your
  goals?
• What are the extra costs involved in achieving your goals? For example, a
  TV requires a TV licence, and a car needs a licence, insurance and
  maintenance
• Where can you find the best value? Shop around!
• Who can help you make your decision about your goals – a bank adviser,
  a financial advisor, a broker, or a friend?
• Do you need to qualify/apply for something to achieve your goals? If so,
  what do you need to do to qualify/ apply?.

STEP 3: REALITY CHECK YOUR GOALS

• How achievable are the goals given your current income, level of
  education or personal responsibilities? • What would you need to do to
  make your goals realistic – earn more, get a qualification, etc.
• Are your goals really the things you want to achieve? Do you believe you
  can achieve them?

STEP 4: PRIORITISE YOUR GOALS.

• Prioritise your goals in terms of relevance and urgency
• Which ones will you start with?
• Remember medium and long-term goals take longer to achieve
  

STEP 5: PLAN TO BRING YOUR GOALS TO LIFE

• Budget for your goals now
• What are you prepared to sacrifice to reap the benefits in the future?
• How can you increase your income to help save for your goals?
• Who can support you and occasionally remind you of your goals?
  Sophie has big goals she would like to achieve. What goals would you like
  to achieve?