Breaking the Paycheck-to-Paycheck Cycle: Setting Financial Goals

Sarah Brumley

Sarah Brumley

Ready to take control of your finances and finally move beyond paycheck-to-paycheck living? In today’s episode, we’re building on last week’s progress by diving into the game-changing strategies of budgeting, goal-setting, and getting the whole family involved. If you’re ready to turn your money mindset into actionable results, stick around—this one’s for you!

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I promise I won’t clutter your inbox—just valuable insights to help you thrive! If you’d like to join our community, head over to lemonblessings.com/news or click the link in the show notes.

Together we can transform those small actions into significant results!

Breaking the Paycheck-to-Paycheck Cycle: Setting Financial Goals

Hey there, and welcome back! I’m your host, Sarah Brumley, and I’m so glad you’re here for another episode in our series on breaking the paycheck-to-paycheck cycle.

So far, we’ve tackled the foundational steps of taking control of your finances—tracking your spending, creating a budget, and building a starter emergency fund. If you’ve been following along, you’re already laying the groundwork for a more secure financial future, and I hope you’re starting to feel empowered!

But here’s the thing—when you’re working to fix your finances, it’s tempting to want to fix everything all at once. Pay off debt, save for emergencies, plan for big expenses—the list can feel endless, right? I’ve been there—looking at all the things I wanted to fix and feeling completely stuck because I didn’t know where to start.

The truth is, trying to tackle everything at the same time is a fast track to frustration and, honestly, exhaustion. That’s why, in today’s episode, we’re going to cut through the overwhelm and talk about focusing on just one financial goal at a time.

Your budget gives you the foundation, but your goals are what keep you moving forward. I’ll help you figure out which goal to tackle first, break it down into manageable steps, and share ideas to keep you motivated along the way. By the end of this episode, you’ll have the tools to make progress confidently—and maybe even celebrate a few wins along the way!

So without further ado, let’s just jump right in.

Focus on One Financial Goal at a Time

Once your budget is in place and you have a clear understanding of your finances, it’s time to shift your focus to goals. Your budget is like the map, but your goals are the destinations you’re working toward. And here’s the thing—you don’t have to fix everything all at once. In fact, trying to do it all at the same time can leave you feeling stuck, frustrated, and overwhelmed. Trust me, I’ve been there, and it’s not fun.

But the good news? You don’t have to stay stuck. Today, we’re going to break it all down so you can take your first confident step forward.

Why Focus Matters

Let’s start with why it’s so important to focus on just one financial goal at a time. Think of it like juggling. If you try to keep ten balls in the air, it’s overwhelming—and let’s be real, most of those balls are going to hit the ground. But if you focus on just one or two, you can find your rhythm, gain confidence, and actually make progress.

The same thing happens with your finances. When you try to pay off debt, save for emergencies, and plan for big expenses all at the same time, it’s easy to lose focus. But if you direct all your energy toward one clear priority, you’ll see faster results and start building momentum.

Here’s the best part: that momentum isn’t just about hitting your goal. It’s about the confidence you gain with every small win. That confidence motivates you to keep going, even when things get tough. And when you’re celebrating progress along the way, it’s a whole lot easier to stay motivated.

Choosing Your First Goal

So, how do you decide which goal to tackle first? Start by asking yourself two simple questions:

  1. What will have the biggest impact on my financial well-being?
  2. What will give me the most peace of mind?

Let’s look at a few examples:

  • Paying off high-interest debt:Debt with high interest rates—like credit card balances—can drain your finances faster than anything else. Let’s say you have $1,500 in credit card debt with a 20% interest rate. That interest is draining your finances. In fact, you’re likely adding $25 in interest each and every month. Eliminating this kind of debt is a great way to free up extra money and feel more in control.
  • Building your emergency fund:We talked about this in the previous episode, but it’s important enough to bring up again here. Having that starter emergency fund can make a huge difference for your financial situation as a whole. If you’ve ever been blindsided by a car repair or medical bill, you know how stressful it can be to scrape together money. Having a starter emergency fund—$500 to $1,000—gives you the peace of mind that the next unexpected expense won’t completely derail your finances.
  • Saving for predictable expenses:If you know back-to-school shopping is coming up, or the holidays are around the corner setting aside money now can save you the stress of last-minute spending—or worse, relying on credit cards. The same goes for other annual or semi-annual expenses like car registration fees, oil changes, insurance premiums, garbage pickup and more. By setting money aside, you’ll be able to maintain your financial progress when that big expense arrives.

For example, when my family started budgeting, we decided our first goal was building a $1,000 emergency fund. Just knowing we had that cushion for unexpected expenses brought us so much peace of mind. Later, we shifted focus to paying off our smallest credit card balance, which gave us an even bigger win. It’s all about choosing the goal that makes the most sense for where you are right now.

Create a Plan of Attack

Alright, now that you’ve chosen your priority goal, let’s talk about breaking it down into simple, actionable steps. Because let’s face it—big goals can feel overwhelming. But when you break them into bite-sized pieces, they become a lot easier to tackle.

Here’s how you can do it:

  1. Start with the Total:First, write down the total amount you’re working toward. For example, if your goal is to pay off a $1,000 credit card balance, start there. Seeing that number gives you clarity and a clear target.
  2. Break It Down:Instead of focusing on the full $1,000, divide it into smaller, bite-sized chunks. Maybe you decide to pay off $200 a month for the next five months. Breaking it down like this makes the goal feel achievable and keeps you motivated.
  3. Find Extra Funds:Next, think about where you can find some extra money. Can you cut back on takeout for a few weeks? Maybe sell something you don’t use anymore or put any cashback rewards toward your goal. Small adjustments can add up quickly.
  4. Celebrate Milestones:And don’t forget to celebrate along the way! When you reach your first $200, do something fun—but inexpensive—like having a homemade pizza night or a cozy family movie marathon. Celebrating these smaller wins will keep you excited about your progress and make the journey more enjoyable.

Breaking your goal into these smaller steps keeps things simple and helps you stay focused. And before you know it, you’ll be hitting those milestones and building momentum!

How Will You Set Financial Goals?

And there you have it—the power of focusing on just one financial goal at a time and breaking it into smaller, manageable steps. Tackling everything at once can feel overwhelming, but when you simplify and prioritize, progress becomes not only possible—it becomes inevitable.

So, your action step for this week is simple: choose that one goal. Whether it’s paying off debt, saving for an emergency, or preparing for a big expense, pick the goal that will make the biggest difference for you and your family. Write it down, break it into bite-sized steps, and plan out those milestone celebrations.

Remember, progress doesn’t have to be perfect—it just has to be consistent. Every small step you take is moving you closer to financial freedom, and I couldn’t be prouder of the work you’re doing.

And if you’re wondering how to keep that momentum going, you won’t want to miss next week’s episode. We’ll talk about the power of teamwork and collaboration, whether that’s getting your family involved, partnering with your spouse, or finding someone to keep you accountable. Trust me, it’s a game-changer.

Whatever you decide, though just know that I’m cheering you on every step of the way. You’ve got this! Have an amazing day, and I’ll chat with you next time.

Whatever you decide, just know that I’m cheering you on! You’ve got this! Have an amazing day and I’ll chat with you again next time!

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