Here are some goals Shmoop has had throughout our life:

• Pass an impossible math test
• Get a date—literally, any date—to prom
• Perform at the Super Bowl half-time show
• Play for the Knicks
• Beat Final Fantasy XV
• Run a 10K
• Buy a house

Goals require time, money, or (usually) both.

If you want to play for the Knicks, for example, you're going to have to put in some major practice time on the court, plus you'll need to pay for coaches, training, and a new pair of shoes every three months. And that's assuming you even have the skillz to get it done. (Which, BTW, you almost certainly don't. Sorry, dude.) Even if you just want to pass a math test, you'll have to put in hours of studying and maybe even pay for a tutor or some Shmoop prep.

Before you start spending your money in all the wrong places, you'll want to be sure that your spending habits align with your goals.

P.S. What's the difference between values and goals? Values are usually abstract ideas that are important to you, whereas goals are things you want to do or achieve.

Setting Goals: Short-Term and Long-Term

Goals come in two flavors: peanut butter cup and double fudge brownie. Oh wait, no: long-term and short-term.

For example, your granny might have a short-term goal of shaving the hair off her knuckles by Tuesday (that's when grandpa is taking her out to the movies). A long-term goal for Grams, though, might be to pay for your college education. What about for you?

Here are examples of short-term goals:

• Pass next week's history quiz
• Train for a 5K
• Have time for a nap on Saturday
• Win employee of the month at your job
• Get an A in English

And here are similar, but more long-term goals:

• Have a family
• Graduate from college
• Live a healthy lifestyle
• Get enough sleep on the regular
• Have a fulfilling career

You'll need both short-term and long-term goals in life, and both will help you figure out where to spend your money. For instance, if your short-term goals involve training for a 5K, you'll want to set aside some dough for new sneakers and maybe a fancy training app. And if your long-term goals involve a healthy lifestyle, you'll need to budget for healthier foods—cheap fast food won't cut it.

Pro Tips for Achieving Your Goals

• Write down your goals. What do you want to have happen within the next week? The next month? The next year? The next 5, 10, 20 years? If you write them down—and share them with friends and family—you'll feel more accountable to them. Plus, it'll probably be funny to look back on your goals in a few years and see how they've changed.
• Break down your big, lofty goals into more doable goals. For example, if you want to win an Oscar someday, what needs to happen before then? Well, you'll probably want to try out for your school play and maybe take a drama class to learn how to act. Maybe you can sign up for an actor's studio at your community center. Regardless of the goal, it won't be achieved all in one fell swoop.
• Decide which of your goals you're going to work on first. Are some of your goals more important to you? Get started with those ones.
• Know what it will take. How much work will you need to put into your most important goals? How much money will you need to start saving right now to make your goals a reality?

Once you've got your list of goals, it'll be a lot easier to figure out where to spend your money. Anything that doesn't help you achieve your goals—or doesn't map on to your values—will take a backseat.