Did you know that you could reverse engineer your way to meeting your financial goals? Starting anything new can be scary. When you start something new that concerns your finances, it can be downright terrifying! I remember when I first tried to come up with a plan for how I was going to start paying off our consumer debt. The thought of even doing it paralyzed me into inaction. The fear of starting was so great that I would always just give up and walk away, thinking that over time it would get better on its own. Boy, was I wrong!
One of the ways to move past “Go!” when starting on a new but big financial goal is to reverse engineer your plan of action. Reverse engineering is the concept of taking completed work or product and picking it apart in such a way that it reveals how the products made or the plan of action you need to take to create the item for yourself.
Read: How to Tackle Large Amounts of Debt Without Getting Discouraged
This method is an excellent concept to incorporate into your finances.
For instance, let’s say your goal is to pay off $10,000 in debt this year. This goal is one you really want to accomplish, but you aren’t too sure how you’re going to make it happen, and honestly, the thought of even trying to take on this challenge stops you in your track.
To come up with a plan of action through reverse engineering, start by pulling the layers of the goal apart. Think of it like pulling the back the peel on a banana. Ask yourself probing questions like:
- how would one usually go about achieving a goal like this?
- how much will it take to pay this off in a certain amount of time?
- who do you need to call for more information or advice?
- which repayment method will work best?
- are there particular mindsets or habits required to achieve a goal like this, and if so, how can I make them a part of my life?
As you come up with the answers, write them down and order then in such a way that they create a path that will take you from the start, all the way to your end goal of paying off $10,000 of debt by the end of the year. This path is your plan of action. Display your plan of action in a prominent place so that you will always see it and be reminded of the goal you set and how you’re going to achieve it!
