ACHIEVING YOUR FINANCIAL GOALS

 

ACHIEVING YOUR FINANCIAL GOALS

Baaba Okai

"A feast is made for laughter, And wine makes merry; But money answers everything." (Eccl. 10:19)

Money, the Bible says, is a defense (Eccl. 7:12). Without money, a person's worth, health, and dreams would be at risk. There is no glory in poverty, and there is no hope in living without money. The Bible affirms that 'money answers all things'. There are several issues in life that money would solve in a matter of minutes. And there are certain struggles that would be avoided if we have the financial resources. That's why setting and achieving your financial goals is indispensable.

Don't let anyone fool you into thinking money is evil and that you cannot serve God if you have money. The fact is that you need financial stability to contribute more significantly to the Kingdom of God, to take care of your family, and to leave a good inheritance for your generations. The Akans say, 'Sika yɛ mogya', to wit, money is blood. That's why without money you may look and feel like a sick person. But immediately money hits your hand, your spirit lights up, and you become filled with joy and confidence.

The only problem with money is that while it is a good servant, it is also a bad master. If you make money serve you, you will live a fulfilled life. But if you serve money, you will live a miserable life. Jesus said,

“No one can serve two masters; for either he will hate the one and love the other, or else he will be loyal to the one and despise the other. You cannot serve God and mammon [money]." (Matt. 6:24).

Therefore, make sure your financial goals are not emanating from the love of money, seeking to make money for self-gratification, social acceptance, and vain glorification. Paul warned Timothy,

"But they that will be rich fall into temptation and a snare, and into many foolish and hurtful lusts, which drown men in destruction and perdition. For the love of money is the root of all evil: which while some coveted after, they have erred from the faith, and pierced themselves through with many sorrows." (1st Tim. 6:9-10)

"For we brought nothing into this world, and it is certain we can carry nothing out." (1st Tim. 6:7)

PRACTICAL APPROACH

With that foundation set, let's dive into how to practically achieve your financial goals.

You must first of all understand that goals are the objectives and aims we intend to achieve through meticulous PLANNING, PREPARATION, and PRAGMATISM. To plan is to decide what, when, where, who and how of a goal or a dream. To prepare is to make yourself ready and available for the opportunity that is likely to meet the plans for execution and achievement. And then pragmatism is simply putting plans to work in a proactive manner. That means you take actions without living at the mercy of others, situations and circumstances. Your life is not a dice of chance. It is a purpose-driven life. And so must be your financial dream - Purpose Driven Finance (PDF).

Therefore, if you want to achieve your financial goals, you must:

1. Plan your finances

2. Prepare yourself to become capable to achieve that goal

3. Practice or act towards the goal.

PRINCIPLES TO FOLLOW:

Going further, I would want to give three basic practical principles to achieve your financial goals:

1. EARNING (INCOME).

The first and basic principle to start achieving your financial goals is to start earning. If you are not earning, you are burning out. You can get but you can never make and multiply money by gifts, donations, begging, careless borrowing, etc. However, the most honourable and reliable way to start making money is to be earning. Whatever you earn you deserve. Whatever you earn comes from your effort. Thus, without your personal input, it is not possible to earn.

There are two basic ways to earn:

1. Wages and Salary - the first way to earn is to find employment and receive wages or salaries. Wages are the amount you receive for work done. It is usually short-term and immediate. If you complete a task and you are paid, it is not salary but wages. On the other hand, salary is a more structured way of earning, and it's usually calculated over a longer period such as 30 days. Formal employees earn salary, but the majority of people earn wages. Therefore, as much as you desire to start achieving your financial goals, start by becoming a wage earner of a salary earner.

2. Profit - The second way to earn money is to make a profit from trading or business. If you buy and sell, you will make a profit from sales. If you engage in business also, you will make a profit. While buying and selling are not formal ways of earning, business is a more complex and structured way of earning. The simplicity and flexibility of buying and selling, as compared to setting up a formal business, make it easy for several people to start earning in a quicker and simpler way. With the rise of the internet, especially social media engagement and marketing, it is easier these days to start a buying and selling venture to earn some profit. You can also trade your idea, skill, and talent to start earning. Earning this way is usually called Self-employment or Entrepreneurship. It can also be a company setup depending on your approach and arrangements.

HOW TO EARN

In order to earn,

1. You must BUILD CAPACITY. To build capacity is to improve and develop yourself. Go to school. Take courses. Read books, Learn and better your skills, improve your talents, build strategic networks and relationships, take chances, serve, leverage opportunities, and try your hands on stuff. Be conscious of your goals and set yourself up in such a way that you will be well capable not only to earn but also to increase and grow your earnings.

2. You must offer a SERVICE or sell a PRODUCT. All earnings come from products and services. What is in your hand is the gateway to starting your financial journey.

3. Be willing to SOLVE PROBLMS. Everyone who earns money does so by solving someone's problem. The doctor solves the problem of the patient. The teacher solves the problem of ignorance. Look around you, find and problem and offer your service, wisdom or skill to solve it. And you will earn money.

2. SAVINGS

The second principle needed to achieve your financial goals is savings. Savings are putting some percentage of your earnings (wages, salaries, or profit) into an account for a future purpose. That purpose could be for emergencies, foreseeable expenditure such as bills, or any kind of investment that the current earning cannot take care of. This means savings in itself does not give you your financial goals but it helps you to achieve it. It is a part of the starting point.

In order to save, you must be SELF-DISCIPLINED. This means you must build the attitude and character needed to control money. If you don't have a strong attitude towards the usage of money, you cannot save. This is because at the level of earning, your needs or wants may be over and above your earnings or income. And the temptations to want to solve all your problems or pay all your bills as long as you have money are high. That's why it is advised that you must pay yourself first. To pay yourself first means to consider yourself as an employee and put money aside for yourself in the light of your effort in earning. You don't pay yourself to spend on your pleasures, pay bills, or buy something habitually. You pay yourself to make room for savings. And that money, as soon as you take out for savings, does not belong to you again but to the future. Until that future comes, don't spend it.

To be discipline in order to save also means that you cut down on expenditures. Avoid unnecessary spending, impulse buying, and living above your means. Don't say we live by grace so you will live a careless financial lifestyle, hoping money will return automatically or magically. Don't also waste your life just trying to please the public or solve everybody's problem. Have boundaries and live according to budget and plans.

TWO BASIC WAYS TO SAVE:

1. HOME SAVINGS:

You can save part of your earnings or profit at home. You do so by putting money in a 'susu' box or any safe place you deem appropriate. However, this is an insecure way to save. For it gives you quicker and easy access to your money, causing temptations to fall on it when your needs or wants overwhelm you. Remember, one of the purposes of savings is to ensure you don't have access to the money until the future or purpose for which it was saved arrives. Hence keeping your savings in your home or even your mobile money account is not safe. Besides, someone may have access to the money and steals it.

2. BANK SAVINGS:

The second and most secure way to save is to give your savings in trust to a bank or a reliable financial institution. The banks have different savings plans that can help you.

A lot of insurance and banking schemes and plans are actually means of letting you save. The incentives attached are meant to attract you and also give you benefits of having your money with them. This is because the bank doesn't keep your money. They borrow them out to make profit. Therefore, you can look for the most beneficial and profitable saving opportunity your bank can afford. You can also simply keep the money in your bank. Meanwhile, don't frequent the bank to take money out of your savings. Learn to be disciplined enough to allow your savings to make room for your future.

3. INVESTMENT

The third principle to achieve your financial goal is through investment. Once you start earning and saving, you have positioned yourself for investment.

Investment is putting your effort, money, or resources into a venture to multiply your money. Thus, investment is all about multiplying. The Bible says,

"Then God blessed them, and God said to them, 'Be FRUITFUL and MULTIPLY; fill the earth and subdue it; have dominion over the fish of the sea, over the birds of the air, and over every living thing that moves on the earth.'" (Genesis 1:28).

When you start earning you become fruitful. When you start saving, you become capable of multiplying. But when you start investing, you practically start multiplying. God doesn't want you to only be fruitful. He wants you to also multiply. This is because whatever you earn cannot be enough to meet your needs and dreams. You need to multiply so that you can solve both your financial problems and those of others, the Kingdom of God, your community, and the nations as a whole.

HOW TO INVEST.

Just as what you need to earn is capacity, and what you need to save is attitude, so what you need to invest is information.

Without adequate and proper information, you are taking an irresponsible and irredeemable investment risk. Therefore, never go into any investment without knowing, understanding, and having adequate information and readiness. This is because investment is the biggest financial risk and the most vulnerable venture your life and money can go into.

Investment ignorance will expose you to scammers, leading to the ruining of your entire life earnings and savings.

While there are several investment portfolios, I would want to break investment into two major categories:

1. ACTIVE INVESTMENT - This is the type of investment where you are directly and actively involved in the process. For example, if you set up your own company or business and you personally get involved in the day-to-day affairs of the business, you are in an active investment portfolio. This type of investment is highly encouraged if you have the entrepreneurial spirit and attitude. If you don't have that spirit and inner tenacity, time, and passion, don't try it, be an employee. An active investment portfolio needs you as a person, not just your money. So you don't start a business, employ someone, and then you go and sleep, chill, or attend to other matters. You must be fully involved. If you don't, the very person or people you employ may ruin your business and waste your investment. This is because people don't do what you expect; they do what you inspect.

2. PASSIVE INVESTMENT - Passive investment is where you put your money, product, or resources into an investment portfolio where you are not physically required or needed to be involved. This includes Treasury Bills, bonds, shares, copyright from your intellectual property such as music or books, etc. This type of investment brings you money while you are asleep. The risk involves would depend on the type you engage in.

You can also have passive investment by putting your money into a partnership business where your partner runs the business and only pays you your part of the profit or dividend.

The greatest attitude investment requires is integrity. You must be an upright businessperson, an honest partner, and a faithful team player. Never try to outwit anyone or fraud your way into financial breakthrough. After all, your financial goal can never be most important than your life-fulfilment and spiritual goals.

STREAMS OF INCOME:

One of the purposes of investment is to give you streams of income - both active and passive income. Streams of income means that your earnings do not come from a single source. Through streams of income, you will be able to more appropriately multiply your finances and achieve your financial goals. The river that watered the Garden of Eden broke into four streams and watered every part of the Garden (Gen 2:10). That creates an excellent image of investment. If the water did not part into four heads, it would be greatly limited in watering the Garden. Similarly, if you don't have different streams of income, you may be limited in achieving your financial goals. You may also find yourself in great lack and frustrations if something bad happens to your single source of income. The Bible says,

"Invest your money in foreign trade, and one of these days you will make a profit. Put your investments in several places—many places even—because you never know what kind of bad luck you are going to have in this world...Do your planting in the morning and in the evening, too. You never know whether it will all grow well or whether one planting will do better than the other. (Eccl. 11:1-2,5 Good News Bible)

GENEROSITY

"One gives freely, yet grows all the richer; another withholds what he should give, and only suffers want. " (Prov. 11:24)

Having discussed the basic ways to achieve your financial goals, it is important to mention the timeless spiritual principle of giving or generosity. Giving is an indispensable principle in the life of anyone who wants to achieve his or her financial goal. This is partly because the purpose of God for our finances is also to support the needs of the Kingdom of God, the poor, the needy, the vulnerable, and widows.

The financial muscle of the church depends on believers' generosity towards Kingdom matters. If you are not generous towards the church, you are actually living according to your flesh and sowing to the flesh. The Bible says,

"Do not be deceived, God is not mocked; for whatever a man sows, that he will also reap. For he who sows to his flesh will of the flesh reap corruption, but he who sows to the Spirit will of the Spirit reap everlasting life." (Gal. 6:7-8)

Having been saved, we must sow our seeds towards the salvation of others. We must help ministers and ministries to do the work of the Kingdom. We must be involved ourselves. And our resources must also always be involved. In this way, you make yourself available to God for God to use you as a medium by which He would bless the church and meet the needs of believers.

Besides, there are always people around us who may not have the capacity, opportunities, and privileges we have. And it is our responsibility to take care of them and solve their financial needs. Thus, if God wants to reach out to them, because you are generous towards them, God would use you as a point of contact to bless them.

1. God will always reward you abundantly for that service so you can have more to help:

"But this I say: He who sows sparingly will also reap sparingly, and he who sows bountifully will also reap bountifully. So let each one give as he purposes in his heart, not grudgingly or of necessity; for God loves a cheerful giver. And God is able to make all grace abound toward you, that you, always having all sufficiency in all things, may have an abundance for every good work." (1st Cor. 9:6-8).

2. God will repay you for whatever you give.

"He who has pity on the poor lends to the LORD, And He will pay back what he has given." (Prov. 19:17)

3. You will be more blessed and happier.

"I have shown you in every way, by laboring like this, that you must support the weak. And remember the words of the Lord Jesus, that He said, ‘It is more blessed to give than to receive." (Acts 20:35)

4. God will keep and protect your health so that you will always have the strength to help them.

"Blessed is he who considers the poor; The LORD will deliver him in time of trouble. The LORD will preserve him and keep him alive, And he will be blessed on the earth; You will not deliver him to the will of his enemies. The LORD will strengthen him on his bed of illness; You will sustain him on his sickbed." (Psalm 41:1-3)

NOTE: Meanwhile, it is important to note that the purpose of generosity is not to get back or make money. You don't give so that you will receive. You give freely and out of love. Generosity is not a business venture, it is a spiritual sacrifice. The reward attached to giving is to empower you to continue to give, not to feed anyone's greed. You cannot exploit the goodness of God. For God doesn't bless selfishness.

CONCLUSION In conclusion, achieving your financial goal is important and very possible. But it is not a

simple walk-over process. It comes with several challenges and difficulties. However, with DISCIPLINE, DEVOTION, DETERMINATION, and DILIGENCE (4D), you will surely achieve it.

1. Earn by building capacity

2. Save by being disciplined

3. Investment by acquiring adequate information.

4. Be Generous to the Kingdom of God and the vulnerable in society.

Thank you all.

Baaba Okai

CEO - Thallo Business Network