Setting goals, be they financial or otherwise, entails the same easy process.

Yet, after my most recent article I received many enquiries from readers wanting to know how to set goals for the new year. Where does one start? most of them asked.

I believe you need to start with a dream.

Dreams are nice places to be and normally paint a picture of an ideal situation, state or place.

Some people like Martin Luther King, the man who popularised the phrase "I have a dream", have really big dreams. Fortunately, we don't need big dreams, little dreams are fine. Just start with a dream.

As it is easy to forget a dream, it is important to take time to ponder about a dream. When you think of a dream home, you need to give it substance by describing the details of the dream home: count the number of windows, see it as a double or single story, see lawns and gardens and the surrounding area.

The dream is the motivator; your thoughts give it substance; and, your desire will fulfil it.

And this is where you can start setting goals and targets toward achieving your dreams.

Goals are thus no more than the definition of the steps you need to follow in realising a dream.

You can start with small dreams such as being a good golfer or becoming trim and slim.

It is to get going, so start the dream with a small, safe goal that may look like this: for being a good golfer, start with reducing golf handicap by one shot; for becoming trim and slim, aim at getting your weight down by 5kg.

You're finding it easy up to this point, no doubt. Now you need to commit to your small dream - give it a date and a time - and then start doing whatever is needed: set a time to practice, exercise, prepare healthier meals and, if necessary start getting up earlier in the morning to fit it all in.

After deciding on the start date, you will also have to define interim and repeat dates when you can assess your progress. Do not worry too much staying motivated - your dream will urge you on.

The other important date to set is the realisation date by when you need to have completed all the tasks or steps and the dream is fulfilled at last.

Having such a date will create excitement and prevent you from feeling as though you are serving a jail sentence.

Lets now apply the above steps to a dream that has strong financial implications:

You want to travel overseas. You're not sure when but it will probably be in 10 years' time, once the children have left home, you're retired but are still young enough to enjoy travelling.

Describe the features of your dream: envisage a country, indicate places to be visited, events to be attended and activities to enjoy. Visit a travel agent, get a brochure and estimate what such a dream costs.

For illustration purposes, set the cost at R36 000.

Now you can define the goal in workable terms:

1. "I will go to the UK in the summer of 2020 for a two week vacation that will cost me R36 000."

2. "I need to save R3 600 per year (R300 per month) to afford this without incurring any debt."

3. "I will start saving R300 per month in a special vacation account at ABC bank and will sign a stop order from my salary account to make sure I do not spend it."

Because it is a long-term dream stretching over a few years you will need to keep it alive and make it feel real. So, create positive affirmations; cut pictures from the travel brochure and stick to walls and doors you see every day; and indulge in some daydreaming about the overseas trip.

If you stick to it - and continue saving the monthly payment - the 10 years will go by effortlessly and you will go on your dream trip. It's that easy to fulfil a dream when you define the goals and steps involved in getting to said dream.

Deon Hattingh is an authorised financial services provider. Visit www.makingsense.co.za, or e-mail deon@makingsense.co.za.