We all have dreams for our future. Making them come true requires setting financial goals and building a plan to help realize them. However, if you’re like the 67% of Americans who, according to the 2024 Wells Fargo Money Study, wish they knew more about managing their money,* you may not know how to start this process. Here are some practical steps you can take that may help bring your vision to life.



Define your goal clearly:

The first step in your financial journey is to get specific about your goals. This can help you make informed decisions about spending, saving, and investing now. A well-defined goal should be:

  • Achievable. Base your goals on your current income. Avoid assuming that your financial situation will change dramatically, making something possible in the future that seems unlikely now. For example, avoid assuming you’ll receive a windfall to help cover your dream home renovations. Remember, different goals will follow different timelines. Don’t limit yourself—just make sure you plan accordingly for goals that might require more funds.
  • Specific. Aim for something clear with a specific dollar amount, like saving $50,000 for your child’s college tuition or saving 10 times your annual expenses for retirement.
  • Measurable. Set a timeline for your goals and come up with milestones along the way. If you are saving for college, for instance, how much money do you need to have by the time your child graduates from high school? And what milestones do you need to meet by the time they leave elementary school or middle school?

Figure out your time frame:

Breaking down your goals into short-term, medium-term, and long-term categories can provide clarity and direction. This approach can help you align your goals with suitable strategies and resources. 

  • Short-term goals are goals you want to achieve in the next one to three years. They might include a dream vacation, new car, or tickets to an upcoming concert. For short-term goals, consider savings options that may help preserve your funds from losing value.
  • Medium-term goals are three to five years away. These could include a down payment for a house or home renovations. Make sure your savings for medium-term goals allow access to funds when they’re needed, without penalties.
  • Long-term goals are more than six to seven years away. Major life goals like retirement fall into this category. For long-term goals, you might choose to consult a financial professional for guidance to help you find investments that may offer more potential growth over time. Keep in mind, with the potential for higher returns, you may be exposed to additional risk and have the potential to lose your principal. 
Once you’ve set your goals and a time frame for each, you can make a plan to get there. This plan may include a budget that helps you identify income you can save for the future and strategies that may help you grow your savings.
 

Monitor your progress:

Make sure you stay on track by regularly checking in on your progress toward your goals. Review your financial statements to see your progress against the timeline and milestones you've set. While you're checking in, ask yourself: Are my investments and savings performing as expected? Am I contributing enough to meet my goals? If the answer to either of these questions is no, you may need to adjust your plan or your goals. Pro tip: you can use LifeSync® in the Wells Fargo Mobile® app to create goals, see your progress, and help you stay on track.

If you have a financial advisor, discuss how often you should review your progress together. If you're managing your finances independently, set aside a regular time to assess your accounts. Monthly reviews work well for short-term goals, while quarterly or annual check-ins work for longer-term goals.

Empower yourself with financial knowledge

We're committed to helping with your financial success. Here you’ll find a wide range of helpful information, interactive tools, practical strategies, and more — all designed to help you increase your financial literacy and reach your financial goals.

Financial education and tools

Products to Consider:

*On behalf of Wells Fargo, Versta Research conducted a national survey of 3,403 U.S. adults and 203 U.S. teens age 14 to 17. Sampling was stratified and data were weighted by age, gender, race, ethnicity, income and education to achieve accurate representation of the current population based on estimates from the U.S. Census Bureau. The survey was conducted from September 5 to October 3, 2023. Most findings are reported based on the full sample of adults. Comparisons and data from teens are noted separately.