Knowing how to set financial goals is the first step to building real wealth. It is not about vague wishes or surface-level ambitions. It is about taking control of your future with clarity, strategy, and commitment.
Whether you’re an entrepreneur, real estate professional, or business owner, your long-term success hinges on your ability to define, calculate, and pursue goals that build financial freedom. In this blog, I’ll walk you through a proven process for setting and achieving powerful financial targets, a system I share with thousands of coaching clients every year.
Why Financial Goals Matter
Most people say they want to make more money. But “more money” is not a goal. It is a fuzzy intention that lacks clarity and direction. If you want real freedom, the kind where you can confidently retire or live life on your terms, then you need to set financial goals with intention.
The sad truth is that 80 percent of people retire broke. That does not have to be your story. Let’s change that, starting now.
What Are Financial Goals?
Financial goals are clear, measurable targets that guide your earning, saving, investing, and spending decisions. Examples include:
-
- Saving $100,000 for retirement
- Paying off debt within 24 months
- Investing in real estate
- Building a 6-month emergency fund
- Creating passive income streams
These goals give you direction and make your financial planning actionable. Now let’s walk through the steps to set yours.
Step 1: Calculate Your Cost of Living
Start by determining how much it takes to live each month. Tally up:
- Rent or mortgage
- Utilities and subscriptions
- Business expenses and marketing
- Groceries and dining
- Transportation and insurance
- Taxes
- Emergency buffer
This is your Survival Goal, the income required to keep things afloat. But we are not here just to survive…
Step 2: Define Your “Good Life” and “Dream” Goals
Now envision the next level. What does a better, more comfortable life look like for you? A nicer car? More travel? Private school for your kids?
Price out those dreams and add it to your monthly calculation. This becomes your Good Life Goal.
Then take it further. Picture your ultimate success: your dream house, multiple income streams, financial freedom. Calculate this number and you now have your Dream Goal.
Step 3: Forecast Your Financial Future
This is where most people stop… but we are going long term. Multiply each of your monthly goals by 12 for an annual number, then multiply that by 10 for a decade-long projection.
Now subtract estimated expenses:
- 35 percent taxes
- 25 percent business operations
- 25 percent living expenses
That leaves just 15 percent for savings or investment. Will that carry you into the next chapter of life? If not, it is time to adjust your strategy or raise your targets.
Step 4: Choose Strategies That Support Your Goals
Your current business model might not get you to your dream life. That is why we give away Ultimate Real Estate Playbooks at Tom Ferry’s real estate Success Summit – real case studies with real strategies from top earners. Each one includes:
- Business models and lead sources
- Exact income breakdowns
- Step-by-step action plans
Do not just wish for success. Reverse engineer it.
Step 5: Create Accountability and a Strong “Why”
You are more likely to keep promises to others than to yourself. That is why accountability is essential.
Choose your “who,” your spouse, coach, or teammate, and commit to your goals with them. Let your reason for success go beyond just you. Make it about family, freedom, or impact.
Our real estate coaches can help you stay on track.
Step 6: Organize Your Banking and Money Flow
Set up separate bank accounts that reflect your goals. Consider:
- Income account
- Tax account
- Savings account
- Investment account
- Business operations account
- Fun or lifestyle account
Money that stays in one pot tends to disappear. Structure creates clarity.
Step 7: Make a Public Commitment
Write it down. Say it out loud. Share it with someone who will hold you accountable. Let your commitment be seen and felt.
You now have the tools to set financial goals that work, you know the numbers. You have a strategy. You’ve got a support system. Now the only thing left is action.
Start Your Path to Financial Freedom
Wealth is not about luck. It is about making smart decisions consistently. When you learn how to set financial goals and follow through with discipline, you create a future of security, abundance, and freedom.
Need help crafting your strategy? Talk to a real estate coach today and start building your plan.