This last year has rocked everyone’s world. And even though it’s been incredibly challenging, in some ways, the pandemic forced many of life’s distractions to fade into the background as we reprioritized what’s most important to us. The drastic once-in-a-lifetime changes we’ve endured over the last 12 months have inspired us to look inward and focus on aspects of our lives that might need some … updates. For example, adjusting our money goals.
“When 2020 ‘hit,’” says career advisor Tracy Timm, “it didn’t just change the landscape — it forced more people than ever out of their routines. This systemic disruption caused many of these people — for the first time ever or simply in a long time — to look deeper into their choices and actions. I believe many people ‘woke up’ from the sleepiness of their monotony to see that they actually weren’t living in alignment with their true values or pursuing personally meaningful goals.”
Wow. Does that hit home for anyone else? “Many of us have been forced to turn inward and to really look at what is important to us” because of this, explains Financial Therapist and author of Rewire for Wealth Barbara Huson. For example, she says that her kids and grandkids are of the utmost importance to her. But after a year of not seeing them in person? Their value in her life has skyrocketed at the same time their absence in her life has been difficult.
LISTEN: Barbara joined us on the HerMoney Podcast, and taught us all how to train our brains for financial success. You don’t want to miss it!
For others, a lack of meaning or purpose in the day-to-day has caused a reassessment of career goals, which has played a role in adjusting money goals. And some are realizing how important their freedom was to them, and are longing for some of that back. But in addition to these more personal value shifts, in many cases, people’s money values have also done a 180. Just look at all of the ups and downs of the last year. With such uncertainty in our investments and in the economy, it’s hard to have stayed consistent with how our money was being handled from year to hear. For example, we know that at the same time savings rates have increased, women have lost jobs in huge numbers.
So how do you even begin to process these value changes and implement them into your new life as fresh goals? Start by identifying which of your financial values is most important to you. From there, take a look at your goals and adjust them to match those values. Here are a few common money values that have changed in the last year, and how you can implement them into your life just. Like. That.
SAVING MORE TO ADJUST MONEY GOALS
“People are really attuned to saving,” Huson says. Anecdotally, we know people are saving more, and we want to save more, too. It makes sense, right? Investments are shaky and job stability is not guaranteed at the moment, so our emergency savings accounts need to be in the green. But the thought of actually putting aside money is … overwhelming.
Try it this way. Our very own Jean Chatzky says she likes to budget backwards. She pays her bills and puts money into savings before she spends for the month, guaranteeing her savings account will get the love it deserves. Huson recommends automatic transfers to your savings account, which goes hand-in-hand with Jean’s famous technique. “Even if it’s just $20, $10, spare change in a jar at the end of the month,” Huson says, “it’s important to emphasize small savings.”
So, start there. Then work your way up when you can. A little is better (so much better!) than nothing at all and doing so can help to adjust your larger money goals when you find you’re valuing different things.
EARNING MORE
Yes, we’re in the middle of a global pandemic. But no, it’s not crazy to think you deserve a raise, and taking the steps to get there can play a role in adjusting money goals. You are probably working harder and longer hours than ever, and an increase in pay is not off the table in 2021. We laid out some steps to get yourself there, but Huson also recommends strategizing for that raise. You have to connect the bigger puzzle pieces while also looking inward to find out what’s holding you back from asking in the first place, she says.
Once you have that worked out, it’s time to put on your game face and present your case to your boss. Be sure to include the what (as in what you have been doing and what you will continue to do to deserve it) as well as the why (as in why you are a kick-ass employee who deserves to be compensated as such). Hey, the worst they can say is no.
READ: HerMoney’s official guide to getting a raise during the pandemic
GAINING MORE FREEDOM
The pandemic has left us feeling stifled, personally and professional, physically and emotionally, and gaining “freedom” in all respects is at the top of many people’s list. But freedom comes in all shapes and sizes. Maybe that means you are loving the flexibility of your WFH schedule and want to keep it that way. Or maybe that means getting the pay bump you more than deserve so you have some financial wiggle room.
To gain the freedom you want (and need), you first have to focus on what kind of freedom you’re looking to achieve. Then, make getting there your main priority, taking steps internally and externally toward living the life you want to live, even if some of those steps seem uncomfortable. And remember, Timm says, “values lead to goals. Goals lead to actions. Hopefully, those actions help us achieve those goals.”
READ MORE ON HERMONEY:
- 4 Couples On How Working Together To Meet Financial Goals Brought Them Closer Together
- 3 Tips For Setting And Reaching Your Financial Goals
- How To Crush Your 2021 Financial Goals
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