From paying down debt to making sound financial decisions
As 2024 comes to a close, many are turning their attention to financial resolutions for 2025.
Whether you’re aiming to save for a major milestone, tackle debt, or build an emergency fund, experts agree that the start of a new year is a great time to reevaluate and reset your financial habits.
“Entering a new year doesn’t erase all our financial challenges from the prior year,” says Courtney Alev, consumer advocate for Credit Karma. “But it can really help to bring a fresh-start mentality to how you’re managing your finances.”
If you’re ready to improve your financial health in 2025, here are expert-backed strategies to consider.
Changing how you think about money is the first step toward achieving financial success. According to Ashley Lapato, a personal finance educator for YNAB, this is the year to reshape your relationship with money.
She advises moving away from seeing money as a burden and instead focusing on how it can help you achieve your goals.
“Ask yourself, ‘What do I want my 30s or 40s to look like?’ and use money as a tool to get there,” Lapato suggests. Liz Young Thomas of SoFi Investment Strategy adds that forgiving yourself for past financial mistakes is key to moving forward with motivation.
Financial Tips for 2025
Experts emphasize setting clear, realistic goals for sustainable success.
Courtney Alev recommends starting small. “Instead of planning to save thousands, aim to save $20 per paycheck,” she says. Along
- Create a budget: Track your spending and align it with your income. Adjust for changes and redirect savings into a high-yield account.
- Tackle debt: Prioritize paying off high-interest debt and explore 0% balance transfer offers or negotiating lower credit card rates.
- Automate savings: Set up automatic transfers to retirement accounts or dedicated savings to stay consistent.
- Build an emergency fund: Aim to save enough to cover unexpected expenses, ensuring financial stability.
Build Financial Resilience
With inflation and economic uncertainty, protecting your finances is vital. A Fidelity survey revealed that 79% of Americans plan to increase their savings in 2025. To ensure your financial safety:
- Avoid scams by slowing down and consulting trusted individuals before making decisions.
- Monitor your credit score monthly to stay on top of your financial health.
- Take advantage of consumer-friendly rules, such as reduced overdraft fees.
With the economy on stable ground, 2025 offers a fresh opportunity to strengthen your financial habits.
From rethinking your relationship with money to setting achievable goals, these strategies can pave the way for a financially healthy year. By staying disciplined and focused, you’ll be well-prepared to navigate the challenges and opportunities ahead.
