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High inflation in recent years continued to wreak havoc on many Americans’ wallets in 2024, but the start of the new year provides a great opportunity to set new financial goals to get back on track.
“As we approach 2025, the country’s financial landscape demands proactive resolutions to address growing concerns such as inflation and debt,” said WalletHub analyst Chris Lupo. fox business. “Top financial resolutions for 2025 should focus on smart budgeting, saving, and paying down debt.”
Many Americans Set New Financial Goals at the Start of the New Year (iStock/iStock)
Here are some of the top New Year’s financial resolutions for 2025: according to WalletHub:
1.Make a realistic budget and stick to it
“With Americans carrying nearly $1.3 trillion in credit card debtIt is essential to establish realistic budgets,” said Lupo.
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2. Save more money
Lupo says savings is also key, as many households lack emergency funds. He suggests starting small with the goal of saving two months’ worth of take-home pay and working your way up to a year’s worth.
“Don’t forget to maximize your earnings: 5%+ APY on online savings accounts makes switching banks worth it,” he noted, adding that high-yield certificates of deposit (CDs) are also worth considering.
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3. Explore ways to refinance high interest rates
High-interest debt is expensive, so Lupo recommends considering tools like balance transfer cards or debt consolidation loans to reduce costs.
4. Pay off 25% of your credit card debt
The average American currently has more than $10,000 in credit card debt, and the sooner it can be addressed, the better. WalletHub says it’s important to take this seriously, but suggests it’s probably best to start small, setting a goal of cutting a quarter of the money over the course of the year.
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5. Fight inflation
Look for ways to cut costs on everyday expenses, such as comparing prices on everything you buy, taking advantage of deals and coupons, lowering the thermostat, buying in bulk, and cutting back until prices drop.
WalletHub suggests fighting high prices by shopping around and finding the best price on everyday items. (Paola Chapdelaine for The Washington Post via Getty Images/Getty Images)
WalletHub has 10 other tips for financial resolutions for 2025, including paying bills immediately after you receive your paycheck, making sure you have safe enough for a disaster, protect your identity, brush up on your financial knowledge, and even look for a better job.
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“Focus on financial education and health money habitssuch as paying bills immediately after payday,” Lupo said. “These measures will help make 2025 a financially healthier year.”
