Why Americans Fail to Meet Their Financial Goals

Kimberly Watson, Editor in Chief
April 16, 2012 /

 

An online study involving the polling of over 1000 participants, revealed reasons why the past five years have negatively affected the financial situations of many people. It also showed that three out of five of the participants failed to meet their financial goals.

However, the economic downturn is on a part of the problem, as 76 % of these people are making little effort to adjust their personal finance related to saving and spending behavior patterns. They are not accepting the reality of the existing circumstances, resulting in two thirds of them experiencing financial difficulties. Critically, a disturbing statistic was that only 6% of participants were maintaining their savings plans for retirement.

Advice for those who want to adapt to the current economic position and improve their personal finance circumstances is to exercise discipline and control. Keep a record of all your present spending and review your previous spending patterns. Reckless spending is a major cause of financial problems and awareness provides motivation for improvement.

Improve your financial knowledge, as new conditions require new techniques to cope with them. Be conscious of budgeting and reducing unnecessary expenses, including, buying replacement items for appearances sake! If you are part of a group, or indulging in activities that are money intensive and are draining your personal finance, consider discarding them and utilizing the savings to benefit your future.

Reward yourself and your family, by achieving short-term personal finance goals. This will make you all feel good but importantly, motivate you towards the next goal. It is realistic that everyone could reduce their current spending by 5 to 10 percent without difficulty. Achieve this by having less cable channels, reducing utility bills and all those other little money draining, so called needs, that that are affecting you financial stability.

 

 

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