147: How to Achieve Your 2026 Money Goals

0:28You're about to make a trade.

0:44Hey everyone, and welcome back to the Rich Habits Podcast, a top 10 business podcast on Spotify brought to you by Public.com. By the end of this episode, you'll know exactly how to set financial goals that actually last past February or March. And more importantly, the behavior changes necessary to win with money in 2026. My name is Austin Hankwitz and I'm joined by my co-host Robert Croak. Robert is a seasoned entrepreneur with lifetime revenues of over 300 million and I'm a multi-millionaire in my late 20s with a background in finance and economics. As the show name might suggest every episode, we talk about rich habits as they relate to business, finance, and mindset.

1:26Now, Robert, I normally tee you up to talk about the episode and all the fun stuff here. But before we do that, because this is going to be a fun episode, we are filming this today on Wednesday, December 3rd. And we just got back this morning from a dinner we had last night in New York City that was sponsored by Stan Store and Gary Vee and all these other incredible content creators and entrepreneurs were there. We're firm believers in that gatekeeping. If I learn something, Robert learns something, I'm coming to the show and I'm going to talk about it on this microphone. So the biggest learning, I had a couple of big learnings last night from this dinner and around these creators and entrepreneurs and really insightful people like Gary Vaynerchuk.

2:03And a couple of things stuck out. The first one is if you are a content creator or an entrepreneur and you are not posting about your stuff on all the platforms, not just Instagram and TikTok, but like LinkedIn and Blue Sky and all these other like you got to post everywhere. And then another thing that was super insightful that Gary shared, do not say no for your customer. He was talking about how he was going to raise prices on some product or service he was offering. It was a service for social media, community management, I think, for the NHL and these other different types of big companies.

2:34Him and his brother were going back and forth on pricing, and he was like, I'm going to raise prices. And his brother's like, oh my gosh, I don't know, man. Everyone's going to say no to us. We're going to lose all this business. He raised prices, and no one batted an eye. Don't say no for your customer. Go do what you're worth. Go out there and get it done. Robert, what were your biggest takeaways? For me, I think the biggest takeaways were build a community and you really have to like become one with your audience. I know that sounds cheesy. So that was one of the biggest parts. But if you're building your personal, your business brand online, you really need to lean with value and authenticity and everything else will fall into place.

3:13That was the biggest takeaway for me, but it was a really incredible experience to be around Gary Vee, John Hu, and all of these other cool people that really know the world we live in. 100%. Now, with that being said, let's jump right into the episode, Robert. What are we going to be talking about in today's episode? In this episode of the Rich Habits Podcast, we're talking about why your New Year's money resolutions will probably fail. Now, before you get mad at us in the comment section, it's not because we think you're lazy or because we think you lack discipline, but your New Year's resolutions will probably fail because you're likely setting them up wrong in the first place.

3:50Every January, you write down a financial goal for the year, like save$10 ,000 or pay off$15 ,000 in debt or even max out my 401k, all of which are great goals, but also completely useless without the right systems in place. By February or March, April, these goals are long forgotten. You've broken your budget. And now you're beating yourself up and telling yourself, hey, I'll try again next year. I failed on these goals and I didn't do what I wanted to do. Now, the problem, Robert, that people do not realize is that goals alone don't work without the right systems in place to back them up. Right.

4:30Goals are outcomes. Save$10 ,000 is an outcome. but outcomes are the results of systems and rich habits. So without the right systems in place, a goal is just a wish. Wealthy people do not succeed because they set better goals than you. Wealthy people succeed because they build better systems than you. They focus on daily, weekly, and monthly behaviors that produce the outcome they're trying to achieve automatically. So in today's episode, we're breaking down why your money goals miss the mark, how to reverse engineer your money goals into daily, weekly, and monthly habits, and how to build a system that runs on autopilot.

5:09Because you don't rise to the level of your goals, you fall to the level of your systems. You're right. In today's episode, we're breaking down why your money goals miss the mark. So let's start there. Let's talk about why money goals usually fail. Goals are outcome-focused, not behavior-focused. I think we've all heard the phrase personal finance is 80 % behavior and 20 % head knowledge. you're fixating on the end result, which you do not control, instead of focusing on those daily actions, which you do control. And most of this starts with that mindset shift away from being a consumer and into being an investor.

5:43We talk about that all the time here on the show, taking control of your money beyond just writing down your goals on a piece of paper starts with understanding, wait a second, I'm not just part of the system, I can control the system. So let's say, for example, Robert, that your goal is to pay off$15 ,000 of debt in 2026. That's great. That's an awesome goal. But what's the actual plan to achieve the goal? Well, mathematically speaking, you would need to find$1 ,250 a month in your budget to allocate toward paying off this debt. And to find that money, you need to incorporate specific behaviors, right?

6:18Like meal prepping, maybe canceling subscriptions, taking on some overtime at work, or starting that side hustle to earn more income, but most people unfortunately just skip straight to the outcome and hope that they figure it out along the way. Goals don't work if you don't have the right systems to back it up. So Robert, walk us through how people can begin to build systems. So instead of just setting goals, set a goal, then build the systems that will enable you to achieve the goal automatically. So for example, a goal is say$10 ,000 this year, you want to save$10 ,000, but the system is automatically transferring$425 to savings the day after every paycheck.

6:59Another goal, max out my 401k, whereas a system is increase my 401k contribution by 1 % every time I get a raise. You see the theory here? It's all about setting up these systems. Because goals are outcomes, systems are behaviors. And behavior is what we're here to help you control. So instead of asking, what do I want to achieve? ask what kind of person do I need to become to be able to achieve those goals? That is the distinction. This is identity-based behavior change and is much more powerful than outcome-based goals. When your identity shifts, your behaviors follow. So if you see yourself as someone who saves money, spending$200 on something unnecessary feels wrong because it conflicts with who you are and your new identity.

7:44So let me just reiterate a couple of things that you said, Robert. Goals are outcomes. systems are behaviors. If we want to achieve goals, if we want to have an outcome, we have to change our behavior. We have to implement a system. And so essentially saying an outcome of I want to save $10 ,000 this year, that's a great goal to have. But the system, the behavior to implement to achieve that is to transfer some money automatically every time you get paid. Maxing out the 401k is like, cool, it's a cool outcome. It's a cool goal to have. You have to implement a system of behavior that's gonna allow you to achieve that.

8:17So now you're thinking, okay, wait a second, Austin. You told me about the goals. I understand what systems are, but how do I reverse engineer these systems and make these systems actually work for me and my money goals and my daily habits? Here's how you do it. Step one, you of course wanna start with that outcome. What is the goal you are trying to achieve? So let's say, for example, in 2026, your big money goal is to save$12 ,000. So step two now is to break it down to the smallest action possible. Because that small action is what you're probably going to do and comprehend, right? So$12 ,000 a year is actually just$1 ,000 a month or just$250 a week.

8:57Now the real question isn't how do I save$12 ,000? It now turns into how do I save$250 a week? Because$250 a week is much more manageable than$12 ,000. So step three now is to identify those specific behaviors, right? That system that's going to allow you to achieve your goal. What weekly actions can produce$250? Is it meal prepping every Sunday? Is it shopping for groceries at Aldi and maybe using AI to help you come up with some cost-effective meals? Is it canceling subscriptions? Is it not eating out for lunch every day, right? What are the systems and behaviors that you can build around yourself that's going to allow you to achieve this outcome?

9:38And make these behaviors very specific, right? Save money is vague, but transfer$250 to a savings account every Friday. Now that's specific, right? Pack lunch at 8 p.m. the night before I have to go to work. That's specific. You want to be as specific as possible. Step four here is to automate everything. By setting up an automatic transfer to a savings account, you will automatically be able to achieve this goal. And step five, and I like this one the most, Robert, is track the behavior, not the outcome, right? Did you actually transfer that money this week? Did you pack lunch for five days? Because if you're packing lunch every day, you're going to save that$250, right?

10:14That's going to contribute to the outcome you want to achieve. Did you try a new cheaper dinner meal because ChatGPT helped you come up with something? Did you track your consistency, right? Track the behaviors because we know if you stick to these behaviors, the outcomes will follow. I love that breakdown. And it really comes back to the root of a lot of the message we've been talking about for years. And that is people being more tactical with their money. And this episode is really powerful because it gets people to understand that these little changes that seem like nothing can really add up to a ton of compounding and get you to your financial goals.

10:50Because if your money is just in your account and it doesn't have a plan, we just don't like that. I want to see every dollar have a job and by being tactical and having your budgets and all of these things in order It puts you in a much better place overall Especially four or five years down the road and to add to that the pro tip for all of you Especially if you're new around here is habit stacking I've been talking about this one forever and that is taking a habit You already do and stack a new financial habit on top of it So what does that look like and what does that mean? So for me, I always like to tell people, if I'm gonna buy something online, I wanna transfer the same amount that I spent into my investments.

11:31So let's say you go buy that new pair of Nike shoes, you've been wanting to have their 200 bucks, you then transfer$200 into a stock or one of your ETFs. So that way you're not living like a consumer, you're living and investing like you should be an investor. Number two for me is after dinner every day, Spend five minutes reviewing your day's spending whether you're single married with a boyfriend girlfriend Whatever the situation is I think this one is critical because it prevents you from getting out of hand Going on a binge spending for a couple week during the holidays and then go Holy moly, what do we do now with all this credit card debt?

12:08And the last one for me that I think is really fun for everyone to practice After you go out with friends and you hit the bars the restaurants that concert you didn't plan to go to I like to balance that out the next weekend with three events to be able to offset and balance that spending. Then you're anchoring the new behavior to something you've already been doing with a new financial habit, which means you'll actually stick to it. Yeah, I feel like this term like habit stacking, it's kind of like buzzy. But I mean, at the end of the day, we've been talking about this for a while, right? Like, oh, if this, then that, right?

12:42We've seen this for like years now, Robert. oh, if I go buy something from Nike, I'm just gonna go buy the Nike stock, right? Just don't go shop at Amazon. Like every time you swipe that credit card for your$100 Amazon purchase, because you just needed that new lamp or whatever it was, right, go take that same 100 bucks and put it in Amazon stock. Like so like having these habits stacking actions, really powerful, very, very powerful, because you're already doing the things. It's not like it's a new habit you're trying to implement or stick to. And it's, you're already doing some of this stuff.

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14:27All right, Robert. So let's now summarize everything and help people understand how to build these systems that are going to actually last past March or April of 2026. One, make the right thing easy. and the wrong thing hard, right? Set up automatic transfers so saving is effortless. Delete the DoorDash app so there's friction between you and making that purchase. Two, focus on consistency, not intensity. Saving$200 a month is a lot easier to understand and comprehend and digest than saying, oh, I'm going to go save$2 ,400, right? Like just making it bite-sized, having that consistency. Don't focus on the big intense picture there.

15:05Consistency compounds, intensity causes burnout. Three, measure the inputs, not the outputs. Track how many times you executed the behavior, that system that you've been following. Because if you follow the system, the outputs, the goals, the outcomes, they will come automatically. That's what the system does. And finally, number four here is to design your future self. Right now, you are motivated. You're feeling good. It's December. January is right around the corner. We're feeling excited about 2026. There's a lot to be excited about. But in March or April, are you going to be just as excited as you are now?

15:39That's when that fatigue kicks in a little bit. So make sure that your system is so easy that even on your worst day, you can still stick to it and execute upon your system. Just think about it like this. If it requires daily motivation, it's probably going to fail. But if it runs on autopilot, it'll likely work. Yeah, I feel like we should build an app where it says, if you do this, this is the outcome. If you don't do this, this is the outcome. So people could really understand these hundred,$200 a month changes can really just compound like crazy over years and change their financial lives forever.

16:13So what a great episode. I like how tactical this was because we also hear so many fake gurus out there. I won't mention names that are always talking about. You just need to make more money because a hundred dollars a month here, $200 a month in savings here won't change anything in your lives. And this episode really spells out how dramatic the changes are if you do things right. New Year's resolutions fail because they're based on motivation and motivation fades. Systems work because they're based on behavior and behavior compounds. I hope you guys are taking notes here. You don't need better goals in 2026.

16:48You just need better systems. So stop asking, what do I want to achieve? And start asking, what kind of person do I want to become? And what daily behaviors does that person have? The person who builds wealth doesn't have superhuman willpower. They have a system that makes saving automatic, spending intentional, and investing consistent. They don't rely on motivation. They rely on habits. And not just habits, Robert. Rich habits. They rely on those rich habits. So forget about these big ambitious goals, focus on the tiny boring behaviors that nobody really notices because that's where all of the margin and the alpha and the compounding comes from.

17:28You do it consistently until it's automatic. By the end of 2026, you are going to have made so much more progress than you thought. It's not because you set a better goal than you did last year. It's because this year you built a better system. Remember, you do not rise to the level of your goals. You fall to the level of your systems. So just build better systems. What a mic drop episode. I really love this and I am excited to see how everyone reacts because I want to bring this episode up next year on the same date and ask our audience, okay, how much of this did you do? How long did you stick with it?

18:05How consistent were you all of the above and see the changes in their financial lives? I love it. Now, before we jump into the Q and a section, you've all heard us talk about the importance of diversifying your investments for a while now. And there could be an opportunity today in private market real estate, especially with the market timing right now. Because we know it's a lot of hassle to be a landlord and of course requires a ton of upfront cash. We were focused on finding an option that everyone could have access to. And you can now become a real estate investor, whether you've got$50 or$50 ,000, and you'll have an entire team looking for opportunities on your behalf to add to your portfolio with today's sponsor, the Fundrise Flagship Fund.

18:47You'll gain access to the potential returns of real estate without the headaches of property management or maintenance. Check out the link in the show notes below to become a real estate investor today. As always, carefully consider the Fundrise Flagship Fund's investment material before investing, including objectives, risks, charters, and expenses. This and other information can be found in the Fundrise Flagship Funds prospectus at fundrise.com slash flagship. All right, Robert, let's now jump to the Q &A section of this episode. As a reminder, if you have a question to ask us, you can email us at richhabitspodcast at gmail.com.

19:20You can DM us on Instagram at richhabitspodcast, or you can join the Rich Habits Network, our community for our biggest fans, and ask us face-to-face every Tuesday night during our two-hour-long live streams. You jump on a Zoom call, about 250 people, y 'all show up and we just chat. It's great. It's a good time. But this question is coming from Mark and Mark says, hey, y 'all, Mark here from Atlanta. I discovered your podcast earlier this year and it's been a game changer for my investing journey. I have other questions for another time, but I wanted to get your thoughts on this one specifically.

19:53I have an account with Fidelity. Within that account, I'm managing my traditional IRA. I'm contributing to the max in my Roth IRA, contributing leftover funds weekly to my bridge account and I have an emergency fund with$15 ,000 in it. My$15 ,000 emergency fund is invested into the ETF SGOV. It generates a small dividend every month and I'm currently reinvesting it back into the account. It'll probably produce six, maybe$700 a year on this$15 ,000. I had an idea of taking the small monthly dividends and investing them instead into FXAIX, which is the Fidelity S &P 500 fund. It's a small account, but it could turn more profit than just being reinvested back into the emergency fund with SGOV.

20:40The emergency balance itself remained the same. So my thought process would be to sell the oldest tax slots once a year and reinvest it back into SGOV within the emergency fund. What are y 'all's thoughts on this? Let's go. Okay. So Mark from Atlanta, thank you for being a supporter of the show here. I love where your head's at because I I do that. I do what you do, Mark. We are on the same wavelength, my friend. What I do is I've got $30 ,000 in my high yield savings account on public.com. Public.com is paying me every single month a nice little couple hundred bucks here or there, whatever it might be, right?

21:13Maybe it's not even that. And then I take that money that I get paid from my high yield savings account, which essentially you're doing the same thing with SGOV. It's a T-bill, right? So you're taking, and I'm taking that little monthly amount of money that we're making in our emergency fund. I I transfer it into my actual brokerage account there on public, and then I invest it in the index funds and ETFs we talk about. In your situation, Mark, it sounds like you're talking about the same thing. You're going to take a little bit of money from this SGOV, you know, income you're earning off these T-bills inside of your$15 ,000 emergency fund here, which you went a different route, which is fine.

21:49It makes a lot of sense. I totally understand what you've done here. But you're saying, hey, instead of buying more SGOV, why don't I just take that money and invest it in something that's actually going to grow more than 3 % or 4 % per year? I'm right there with you. I love the idea, Mark. You've got my blessing. And FXAIX, I'm pretty sure, has a really, really low expense ratio. So it's not like you're buying the wrong thing. No, I think it's a great breakdown and good coverage on your part. FXAIX, if I remember correctly, is 0.015 for their expense ratio, which is really good. And it tracks the S &P 500.

22:20so that's always a great place to be. The only thing I would add to what Austin said is without knowing your age, when you get to your desired amount for this emergency fund, then I would start taking all the rest of those funds in the traditional brokerage account and go straight into FXAIX. That's the only change I would make. Without knowing your age and what your emergency fund goals are, it's a little tricky, but I would say when you get to that three, four, five months of emergency funds set aside, then I would make that subtle change and earn more on the money than you would with the T-bills.

22:54That's the only change I would make. Yeah, I actually, that's a good call because I assumed the$15 ,000 emergency fund was fully funded, right? Three months or so of expenses,$5 ,000 a month, it looks pretty average for people. So if you are, if that's your fully funded emergency fund, like you don't need to add more money to it. You don't need like, you're good. You need to be investing that money. So yeah, I just want to reiterate what Robert said there. So our next question comes from Chad S. on Instagram. Chad says, hey guys, I love the show. If I own two rental properties in my personal name, but I have an umbrella policy that covers my net worth entirely, would you consider that safe enough?

23:29Or should I still transfer those rental properties into an LLC? These two rental properties used to be my primary residences. So if I transfer them into an LLC, the bank could potentially call the note, which is at a 3 % and a 6 % mortgage rate. Looking forward to your thoughts and any additional information. Robert, I will let you kick this one off. Yeah, Chad, this is a great question. And the answer is yes, I would still transfer these properties into an LLC. But before you do all of this, the first thing you're going to do is you're going to call your mortgage lender. You're going to say, hey, this is what I want to do.

24:02I'm going to continue to grow my portfolio, hopefully with you guys. But I want to get these out of my personal name and into LLCs so I can have further liability protection. Because always remember that when you have a policy, an umbrella policy,$2 million,$3 million, there still are limitations with that policy. And if a good lawyer is going to come after you, they can use a business pursuit exclusion. And this can then sometimes allow them to still go after you personally for if someone fell down the stairs or something bad happened on one of your properties. So I would still do the LLCs, Start with your mortgage lender because a lot of times they'll let you do a quit claim deed and just transfer them over, rock and roll, keep going, move them into the LLC and give yourself that additional protection and layering against personal liability.