How To Create Powerful Income Goals

In my last post, I talked about why I’ve begun to trade goal-setting for visioning, and how to create compelling 3-year visions that propel you into action.

I find visions to be so much more exciting than goals. But I haven’t given up on goals entirely! Income goals remind me that ultimately, I’m in charge of my income. And you know what they say - what you focus on expands.

Here’s how to set income goals that get results:

1. Be realistic. I will be completely straight up here and admit that when I first quit my job, I “intentioned” a lot of ridiculous numbers within even more ridiculous time frames. Not only was I completely frustrated by not meeting them, I was also confused (”wait, why isn’t it happening?” *wail*).

Don’t get me wrong - it’s important to pick a number number outside of your comfort zone (see next point). And my numbers weren’t entirely unrealistic, just unrealistic for right then. But the result was a lot of emotional energy down the drain. Very counter-productive, needless to say.

Here’s what I completely failed to take into account: the growth-value-income equation. Your fees and income are all about what VALUE you provide to your clients. Want bigger fees and more money? Add more value. And sometimes that means you have to grow, both as a practitioner and a person.

2. At the same time, pick something that will be a bit of a stretch. You don’t grow when you’re in your comfort zone. What number would make you a little bit uncomfortable… make you wonder, “Hrm, could I?”… inspire you to push yourself… and most importantly of all, invite you to grow?

If you pick a number that’s a little higher than you’re used to, you’ll s-t-r-r-r-etch a little to get there. Ask yourself, “What kind of person do I need to be in order to (charge X / serve Y clients / offer Z)?”

3. Pick an emotional number. I learned this one from SEO expert Colin McDougall, who spoke at The System earlier this year. When Colin quit his job as a systems administrator (ie, computer geek) to pursue Internet Marketing full-time, he set a goal of earning $5,000 per month. Why? That was the monthly income at the “day job from hell.” A goal of replacing the day job income kept him focused on never going back, and kept him motivated.

4. Work backward. Once you have a ballpark number, now it’s time for brass tacks: how many clients/sessions/classes will you need in order to meet that goal? Is it realistic, but a bit of a stretch? If yes, hooray! If not, go back and adjust.

5. Think averages. Income goals are kind of like losing weight - it takes time to see results. Just as you wouldn’t hop on the scale every day when you’re on a diet, thinking in averages is more realistic and will help keep you from getting discouraged. You may not make your target number for a given month, but if you divide up your entire income for 3 months and divide by 3… you get the picture.

6. Review your goal regularly. Post it where you can see it, put it in your day planner, or work it into your scheduling and/or time management system. Whatever you do, make sure you review your goal regularly. In this case, “out of sight, out of mind” might as well also mean “out of bank account.”

And remember: your goal is not set in stone. If later you find that you need to tweak it down, that doesn’t mean you failed! Success never comes in a straight line. It’s those little adjustments that count. The more you focus on what you want and implement the marketing to get there, the sooner you’ll find yourself “tweaking” your income goals in the “right” direction: up, up, up!