Background: This qualitative study describes parents' and service providers' experiences in using the Family Goal Setting Tool (FGST). This article looks specifically at the tool's perceived clinical utility during annual, collaborative goal setting. Methods: Participants included eight parents and ten service providers involved in a Family and Early Childhood Service in Queensland, Australia. Participants were interviewed individually (parents and one service provider) or in a focus group (service providers). The transcribed interviews were analysed using standard content analysis techniques. Results: Four key themes emerged including: (i) the facilitation of goal setting, (ii) strengths-based focus, (iii) family centred processes and (iv) family empowerment. Conclusions: Both parents' and service providers' were positive about the FGST. Insights into barriers to holistic goal setting and the clinical utility of the tool are described. Further refinement of the tool and trial in a range of early intervention contexts is required.