Setting Goals

What do you want from your money—a down payment on a house, a new car, or a comfortable retirement? Take time to think about what's most important to you and what you want your money to achieve.

Once you've determined your goals, write them down. Think of them as a road map—and then take one step at a time toward your destination.

Here's a simple two-step approach:

1. Divide your goals into three categories: short term (less than one year), medium term (one to five years), and long term (more than five years).
    
2. Attach a dollar amount to each goal. For instance, a short-term goal might be a vacation. How much will it cost? The more specific you are about your goals, the more motivated you'll be to work toward them.

Decide how much you can put toward each goal per month. Then use our tools to help you estimate how long it will take to reach each goal.

Be sure to track your progress regularly. It can be very gratifying to watch your savings build toward a goal.