Start the year right: financially speaking

Most people start the new year with the intent to realign and reset their lives. There’s something uniquely inspiring about a fresh set of 365 days that motivates goal-setting and positive change. Financial resolutions, like saving more, spending wisely, or improving investments, are often at the top. But as the months roll by, the initial motivation tends to fade.

How do you stick to these resolutions and truly start the year? It all boils down to taking intentional steps.

Here are four strategies to ensure your financial resolutions last all year, and it all begins with starting the year right.

1. Reflect on the previous year

Remember the goals and resolutions you set at the start of last year? It’s time to evaluate why they succeeded or failed. Did you achieve what you set out to do, or are you restarting some of those goals?

Asking these questions is crucial for clarity and helps you understand how to set and achieve better goals this year.

So this year, ask yourself the right question about your finances.

What expenses hit you the hardest?
Did you reach your savings targets? If not, what stopped it?
Most importantly, what solutions can you do better this year?

Reflection is a powerful tool, as it provides the clarity you need to refine your approach and move forward with a better chance of progress than the previous year.

2. Identify and commit to a strong “why.”

You need to commit to a compelling driving force to stay motivated. Financial discipline often requires more than just willpower; you need a strong sense of purpose.

Why do you need to save? Is it rent? Is it having a strong financial backbone? Whatever it is, hold on to it. And if possible, write it down. Studies show that written goals are more likely to be achieved. A constant mental picture can be a motivation that never fades.

When you commit to a strong “why,” your financial decisions will become easier to make and stick to because they’re tied to a meaningful purpose.

3. Save Like You Owe Money

Savings are the easiest financial move for anyone to make. It might seem overdone, but it works. Savings should be non-negotiable for you as you start the year. You can start small, stay consistent, and ensure you have the habit and saving culture. You can save for general purposes, specific goals, and so on.

An easy way to get into saving easily is to apply the 50/30/20 rule.

Allocate 50% to needs, 30% to wants, and 20% to savings.

Take advantage of your Stellas vault. It is a savings plan that locks your funds for the year while offering an impressive 15% return. With this plan, you’re not just saving; you’re earning

4. Set Clear Goals

You should know the numbers, how much you earn, how much extra you have when you have settled bills, and your incomings and outgoings.

Start by identifying the amount you have at the beginning of the year and visualizing your desired end-of-year total. Set a target number and commit to it. For major purchases like a car or a TV, create specific savings plans for each based on what remains after covering your bills and contributing to your general savings.

Regularly track your progress to ensure you stay aligned with your financial goals.

Reflect on your financial journey in 2024 and identify a strong “why” to anchor your commitment. Save with urgency, as if you owe money, and set clear, actionable goals.

With these steps, you’ll be well on your way to beginning 2025 on a solid financial foundation.