Every year, millions of people make financial resolutions with fresh optimism surrounding their goals of saving more, spending less and finally taking control of their finances. While a reported 50% of Americans make New Year’s resolutions each year, only about 8% succeed. As a result, the budget spreadsheet sits unopened and credit card balances may quietly climb with no solid plan in place.
Why is it so difficult to stick to financial goals, even when we know how important they are? Maybe it’s not about willpower—but about how we set the goals in the first place. Vague aspirations like “save more” or “spend less” lack clarity and structure, making them hard to stick to.
Financial habits are deeply tied to behavior and emotion. When goals feel overwhelming or unrealistic, we default to old patterns. For example, setting a goal to save $10,000 this year without a plan can feel daunting. Instead, breaking it into smaller, actionable steps creates momentum and confidence. Behavioral science suggests that success comes from making goals specific, measurable, achievable and aligned with your lifestyle. A more specific and measurable goal in this scenario may be something like saving $250 each paycheck or reducing dining-out expenses by $100 per month. Aligning goals with your lifestyle is equally important—cutting out something like dining out entirely is more than likely too restrictive. It is important to create smaller wins that slowly add up over time.
Our brains are wired to seek immediate gratification, which makes long-term financial goals challenging. When we set vague or overly ambitious goals, they feel unattainable and we lose motivation quickly. Instead, break your goals into smaller, more actionable steps to create momentum and confidence. For example, if your goal is to save $10,000, start with a short-term goal of saving $1,000 in three months. Celebrating these milestones can reinforce positive behavior and keep you engaged.
Outlined below are a few practical tips that you can implement to help make your resolutions stick.
This is an extremely simple, proven method. Automation removes the need for constant decision-making and reduces the temptation to spend. For example, setting up an automatic $100 transfer from your checking account to a high-yield savings account every payday can add up over the course of a year—all without you lifting a finger.
If you’re hoping to save and invest more toward retirement, increasing contributions to your employer’s 401(k) plan, for example, is a simple and effective way to grow savings automatically before it even hits your bank account. This strategy also helps reduce the urge to spend the money. There are other accounts and strategies that can complement your 401(k) to help you reach your goals. A financial advisor can help guide you to ensure you’re on the right track.
Instead of vaguely saying you want to “pay off debt,” choose a method that works well for you and your situation. One popular strategy is the avalanche approach which involves attacking high interest debt first and once repaid, rolling those extra funds towards the next item on your list. For example, you can pay an extra $100 toward your highest interest rate balance each month while making minimum payments on others. Once that debt is gone, you can begin focusing on the item with the next highest interest rate. The avalanche approach is just one of many strategies to consider when it comes to reducing debt quickly and effectively. As always, carefully consider what works for you and your specific situation.
Whether you’re saving for retirement, building an emergency fund or planning for a major purchase like a home or car, one of the most effective savings strategies is to increase your contributions over time. A practical approach is to raise your savings rate by 1% each year or even increase contributions when you receive a raise to avoid lifestyle creep. This method is relatively painless because the adjustment is small and spread out, yet it can have a significant long-term impact on your financial health. By consistently applying this strategy, you’ll build momentum and create a habit of saving more without feeling deprived.
One of the most effective ways to stay on track financially is to build a habit of regularly reviewing your goals. Set a recurring calendar reminder for monthly, biweekly or weekly reviews to evaluate your progress and adjust as needed. Ask yourself key questions such as: Did I stick to my savings plan? Did I overspend in any category? Do I need to prepare for any upcoming expenses? These check-ins help you identify small issues before they become major setbacks. Regular reflection not only keeps you accountable but also builds confidence and momentum toward achieving long-term financial success.
Summary
Sticking to financial resolutions isn’t about sheer willpower, it’s about creating a system that works with your habits and lifestyle. Broad goals such as “save more” or “spend less” often lead to failure because they lack clear direction and actionable steps. Instead, focus on small, measurable steps, automate where possible and regularly review your progress.
Financial success is built on consistency, not perfection. Start with achievable actions like saving a little each paycheck or reducing one expense category and letting those wins compound over time. By aligning your goals with your reality and leveraging tools that make saving effortless, you’ll transform good intentions into lasting habits and long-term financial security.
With experienced guidance and tailored solutions, Busey Wealth Management can help you create a financial roadmap designed around you. Learn more about our holistic services and find an advisor near you at busey.com/wealth-management.
This is not intended to provide legal, tax or accounting advice. Any statement contained in this communication concerning U.S. tax matters is not intended or written to be used, and cannot be used, for the purpose of avoiding penalties imposed on the relevant taxpayer. Clients should obtain their own independent tax advice based on their particular circumstances.
This material is provided for educational purposes only and should not be construed as investment advice or an offer or solicitation to buy or sell securities.
This presentation is for general information purposes only. It does not take into account the particular investment objectives, restrictions, tax and financial situation or other needs of any specific client.