What does short-term even mean?
In today's current climate short term can mean anywhere from 1 week to a year, although this is flexible based on who you ask and what you're asking about. Let's look at the 5 key reasons though why you should avoid thinking short-term or at least exclusively short term about your money
- You're likely to keep changing your focus - While occasionally changing focus, especially where things aren't working with your budget, business etc can be good, most people are an overnight success 10 years in the making
- You'll sacrifice the longer term goals - When your focus is solely on the next 3 - 6 months, this may in the long term end up hurting you. Sure gambling at the casino may have a short term pay off however longer term usually the house doesn't lose
- You are unlikely to learn due to continually shifting focus - Instead of reflecting upon your progress a short term goal likely means you'll keep charging on towards the next bright shiny object without checking out the errors you've made with your current goals
- You could be seduced by sales pitches - You know all of those get rich quick schemes? Sure these may be well meaning however on occasions most are out there to promise you how to make a million $ in 6 months starting from $0. Ask some more questions before you consider signing up for this
- It's probably not sustainable - Have you ever pulled 2 or 3 all nighters in a row? Imagine you reaching your money goals in the short term but then suffering from sleep deprivation, having no friends to share it with or not being able to "shut-off". Sure hard work is necessary although taking time out is necessary too.
It's not all about the longer term
While the focus has been on why not to look at the short term, focusing only on the longer term is generally not the answer either. Having big & grand goals is great however it can be challenging, daunting and lead to you not getting anywhere near those goals. Starting with some clear goals and the "end in mind" is likely to mean you avoid the 5 reasons discussed above.
How have you found short term financial goals?
How are you going with your money so far in 2016?
Any questions, comments or content suggestions let us know
Remember to live your Money Glee! :)