NEW YORK (AP) \u2014 The start of a new year usually brings new motivation to achieve goals like eating healthier or finally cleaning your basement. Many resolutions also focus on financial goals, such as paying off credit card debt, saving for a new house, or simply getting more educated about money.<\/p>\n
\u201cNew Year\u2019s is a really good time to review and realign your financial goals overall,\u201d said Erica Grundza, certified financial planner at Betterment, an investing and savings app.<\/p>\n
When building your goals for 2026, Grundza recommends focusing less on the past and more on an optimistic, yet realistic, vision for the future. She recommends that you focus on reestablishing the \u201cwhy\u201d behind your approach to money and how you want to make it work for your life. This can be as simple as saving $10 each week in a savings account, or a bigger goal like saving to buy a house in the coming years. It\u2019s all about your own journey.<\/p>\n
The Associated Press spoke with people who are making financial resolutions for 2026. Here\u2019s a look at what they\u2019re planning and how you can draw inspiration for your own resolutions:<\/p>\n
Making achievable plans<\/p>\n
Resolutions can easily turn into unattainable goals that feel more like a dream, said MarieYolaine Toms, a coach and founder of Focused Fire, a financial coaching company. To avoid setting unrealistic expectations, Toms follows a \u201cno resolutions\u201d mindset and instead focuses on making an actionable plan.<\/p>\n
\u201cWhat I say every year is that I am not making resolutions, I\u2019m making plans that can be tracked forward, traced back, and tweaked until completion,\u201d Toms said.<\/p>\n
Recently, Toms encouraged her clients to check their credit report with the three credit bureaus and, based on their credit reports, make an attainable plan to start a savings account. For example, adding $25 to their savings account every week.<\/p>\n
Whether you\u2019re trying to pay off debt or save for a vacation abroad, the first step towards making a plan can be creating a budget. When making a budget, it\u2019s best to find a technique that works for you, whether it\u2019s the classic 50\/30\/20 plan or another budgeting style.<\/p>\n
If you\u2019re building a budget for the first time, you can find some expert recommendations here.<\/a><\/p>\n Paying off debt<\/p>\n After losing her job as a magazine editor in September, Rachel Pelovitz, 33, had to take a closer look at her finances<\/a>. Having acquired a significant amount of debt<\/a> over the last few years due to her husband\u2019s year-and-a-half-long unemployment, Pelovitz explored several options to pay it off. Ultimately, Pelovitz and her husband chose to sell their house and work with a debt consolidation organization.<\/p>\n Story Continues <\/p>\n \u201cRather than rely on getting more debt, we are currently selling our house,\u201d Pelovitz said.<\/p>\n Pelovitz\u2019s main goal for 2026 is to pay off half of her credit card debt<\/a>. And, with some of the money from selling the house, start investing moderately.<\/p>\n If you\u2019ve also experienced a layoff, you can read expert recommendations to help you take care of your finances and your mental health here<\/a>.<\/p>\n Building a savings account<\/p>\n For Jenni Lee, 27, this is going to be the year when she gets strict about building her savings account. While Lee considers herself generally good with money, over the last six months she has overspent and wants to rein it in. The long-term goal for her savings journey is for Lee to buy a house.<\/p>\n \u201cI\u2019m now in my late 20s, I\u2019m starting to really think about where I pinch now so it won\u2019t hurt later when I finally decide to purchase and own a place,\u201d said Lee, a tech worker and lifestyle TikTok creator based in Chicago.<\/p>\n As she saves for her future home and possibly a trip to South Korea, Lee wants to cut unnecessary spending on clothing items and eating out.<\/p>\n Social media microtrends are a common influence on people\u2019s shopping decisions, and this can lead to overspending. If you\u2019re looking to avoid spending money on microtrends, you can find experts\u2019 recommendations here<\/a>.<\/p>\n Building an emergency fund<\/p>\n If you are in a position to do so, having multiple financial goals you\u2019re working towards at the same time can be a great way to speed up your progress. For Worcester resident Melanie Duarte, 23, her New Year\u2019s money goals include paying off her student loans and credit card debt while building an emergency fund.<\/p>\n \u201cI made sure to include it in my budget, even if it\u2019s something as small as like $50. I just want to make sure I still put something in (my emergency fund) so that it eventually multiplies,\u201d said Duarte, who owns a marketing agency.<\/p>\n Duarte\u2019s family didn\u2019t speak openly about finances when she was growing up. But, since she opened her own business, Duarte has been slowly working on rewriting her relationship with money.<\/p>\n If you\u2019re looking to start an emergency fund or create better habits while you save, you can read some experts\u2019 recommendations here<\/a>.<\/p>\n Finding balance<\/p>\n Finding a balance between saving for your long-term goals while also making sure you enjoy your money is important, but it can also be challenging. After the death of her grandfather just a few years after retirement, Tiana Stewart, 26, felt that he didn\u2019t get to enjoy the fruits of his labor. So, this past year, Stewart decided to enjoy her life and travel.<\/p>\n \u201cI do understand saving for retirement is important, but I also want to enjoy my life and the money that I work for at this time, especially being in my 20s,\u201d said Stewart, who lives in Maryland<\/a>.<\/p>\n But now, as she reflects on her financial future, Stewart wants to focus on paying off debt, saving, and investing. Having a healthy balance between enjoying life and saving for the future is what she wants to work toward.<\/p>\n