The highlights
- Setting financial resolutions can help you reach your goals and stay motivated to work on your personal finances throughout the year.
- Some of the most common financial resolutions that can make a difference in your well-being include budgeting, building an emergency fund, paying down debt, raising your credit score, increasing your income, and saving for homeownership.
- Making room for fun and finding affordable ways to treat yourself while working toward your financial goals can help you stick to your resolutions.
You may have resolutions for the new year related to health, fitness, or your relationships. But have you thought about ways to improve your financial well-being in 2026? If so, you’re not alone. Ninety-seven percent of Americans have yearly financial goals, with paying down debt being the most common.Disclosure 1
No matter what your goals are or where you are with your personal finances, the close of one year and the beginning of another is the perfect time to reflect, refocus, and get a fresh financial start. Start by picking one or two of these financial resolutions for 2026, and use the tips to help you work toward them. Making progress on even one resolution throughout the year can help you feel more financially confident and ready for whatever the future brings.
1. Build your emergency fund.
Can you cover an unexpected expense or a temporary loss of income? Having money set aside just for emergencies can help you create a financial safety net. And knowing it’s there can help your peace of mind.
Create a short-term emergency savings goal—like $1,000 to $2,000—and save money consistently every week or month. Deposit the funds in a separate, high-yield savings account, and soon enough, you can start making progress. For a longer-term goal, aim to have three to six months’ worth of living expenses saved in your emergency account.
Make saving even easier by automatically paying yourself first with direct deposit or automatic transfer. Every little bit of savings can help when you find yourself in need financially.
2. Budget based on your priorities.
Have your spending or saving habits changed in the past year? Although it takes discipline, budgeting can help you find ways to afford more of the things you care about most.
The first step of budgeting is to take a good look at your spending to determine where your money is going. Then, use those insights to create a spending plan that reflects your priorities and values—and do your best to stick to the plan. While everyone’s situation is different, budgeting can help you stay on track to reach your individual financial goals.
Read more: A guide to budgeting: 7 steps to get started
3. Pay down debt and help to raise your credit score.
This is one of Americans’ top goals.Disclosure 1 Although some types of debt can be considered “good debt”—like a mortgage, which can help you build long-term wealth—you should prioritize paying off credit cards and other high-interest debt.
Improving your credit score can also help you position yourself better when you borrow. Reducing your outstanding balances—especially credit card balances—can be one way to get a score boost. If you don’t have much credit history, you may need to start building credit from scratch.
Are you managing multiple debts? Consider different approaches you can take to pay them down, like the snowball method or avalanche method.
Read more: 3 steps to help you ease debt stress
4. Make sure you’re properly insured.
An emergency fund is a great step to prepare for the unexpected. But making certain that you’re properly insured can be just as important in different scenarios. If you’re not sure where to start, get a basic understanding of the fundamental types of insurance—like health, auto, homeowners, renters, and life insurance. To help you save on insurance costs, shop around to make sure you’re not overpaying for what you need.
If your will isn’t already in place and up to date, take time this year to meet with an experienced estate planning lawyer to help you prepare or update it. This can help ensure your loved ones are taken care of no matter what.
5. Save for retirement.
Consider checking into your retirement readiness as part of your financial resolutions for the new year. If you aren’t already investing for your retirement, research options like opening an individual retirement account (IRA) or contributing to a 401(k) through your employer. If it’s available to you, taking full advantage of employer matching on your 401(k) can have a significant impact over time.
Aim to put at least 10% of your pretax income in your retirement savings—or more if you can afford it or need to catch up to a target retirement account balance.
The end or start of the year may also be a great time to check in with a financial advisor or rebalance your investment portfolio. Rebalancing can help you stay diversified, which can help protect your investments over time and ensure your investments align with your financial goals and risk tolerance.
Read more: 5 key retirement planning tips from real retirees
6. Keep housing expenses manageable.
No matter if you own or rent, a general best practice is to spend no more than 30% of your take-home pay on your total housing costs. Common strategies for keeping your housing expenses in check include reducing your utility costs, shopping around for lower insurance and internet prices, or moving to a more affordable area or apartment.
Buying a home could also be a financial resolution for the new year. No matter what’s happening in the housing market with supply, demand, prices, and interest rates, if you’re a first-time homebuyer, look to have a few key things covered:
- Work to improve your credit score
- Save for a down payment and closing costs
- Build a healthy emergency fund
If you haven’t made progress toward these goals yet, consider renting somewhere affordable or, if it’s an option, living with family as you build your savings and cred history. Taking on a mortgage that you aren’t fully prepared for can lead to financial regret. “One of the biggest financial mistakes people make is taking on too much mortgage debt because they were approved for more than they could truly afford,” says Brian Ford, head of financial wellness at Truist.
7. Take steps to increase your income.
Whether you’re currently looking for a new employer, hoping to get a raise, or thinking about turning a hobby into an income-generating side hustle, increasing your take-home pay is another way to improve your financial confidence and well-being. You can increase your income potential—and keep that new year’s resolution energy going—by developing your skills, seeking career support services from your alma mater, and networking with a focus on professional relationships.
Career advancement isn’t only about negotiating a higher salary, though. It’s also about feeling great about your work. While not everyone can score the job of their childhood dreams, you can still prioritize your own happiness by aligning your career choices with your personal values.
8. Remember to give back when you can.
Giving back can feel good and feed your sense of purpose. In the coming year, giving back could be one of your financial goals. There are plenty of ways to keep paying it forward year-round, whether it’s a financial donation to a charity or sharing your time and talents to support your local community. Consider asking a friend or family member to get involved with you to make giving back even more connected and consistent.
9. Make room for fun.
While hitting financial goals can be rewarding, saving for retirement or paying down debt aren’t most people’s idea of fun. Incorporating short-term goals that support your happiness and bring you joy can be just as important as your more practical long-term goals. This can include saving for a new TV, for a vacation, or for that backyard swing set for the kids. It can also mean simply budgeting for your weekly tea or coffee date with your friend.
“If you don’t address the emotional aspects of money, it won’t matter how well your budget is built.”
–Brian Ford, Head of Financial Wellness, Truist
If you’re making progress toward your other savings goals, budgeting for something you want, but don’t necessarily need, can be a great way to keep you motivated and reward yourself.
The coming year will look different for everyone, but the more of these tips you follow, the more confidence you can gain. Even focusing on just one or two of these financial resolutions for the year can help you feel better and get closer to your goals.
Tips to help you stick with your financial resolutions
Setting financial resolutions is a great way to start the year. But sticking to them is easier said than done. One way to stay on course is to write down your financial resolutions and other goals you hope to achieve in the coming months.
Referring back to the goals you’ve written down can help you stay motivated and on track. You can also stay on top of your goals by creating routine check-ins, including setting weekly or monthly reminders to review your budget. Consider asking for help with some of your goals, too.
“Enlisting help is another great way to hit your new year’s financial resolutions, especially for more complex goals like investing for retirement,” Ford says. “Consider working directly with a financial advisor or counselor. But you can also get help from a friend or family member you trust, even if they’re just helping as an accountability buddy. Talking about your goals might help.”
Continually monitoring your progress and taking moments to acknowledge and celebrate your wins and milestones along the way—even the small ones—can also help you stick to your financial resolutions.
Next steps
- Want more help setting your financial resolutions for the new year? Try listening to this podcast that features bestselling author Caroline Adams Miller, an expert on goals and happiness.
- Use our savings goal calculator to figure out how much you need to save each month to reach your goals by year-end.
- Try not to be too hard on yourself if you have trouble sticking with your resolution. Life is unpredictable, but writing down your goals, creating a routine, and checking in along the way can help you stay on track.
This content does not constitute legal, tax, accounting, financial, investment, or mental health advice. You are encouraged to consult with competent legal, tax, accounting, financial, or mental health professionals based on your specific circumstances. We do not make any warranties as to accuracy or completeness of this information, do not endorse any third-party companies, products, or services described here, and take no liability for your use of this information.