New year, new savings: How to kickstart your financial goals

Make new year financial resolutions that stick

A lot of people make New Year's resolutions to save more or cut back on spending, but vague goals can be tough to stick to. Instead, try setting clear, realistic targets. For example: "Save £500 for a holiday by June" or “Pay off £1,200 of credit card debt by mid-year". It’ll make it easier to stay on track! To make real progress, frame your financial ambitions around SMART goals: Specific, Measurable, Attainable, Relevant, and Time sensitive. This helps you move from vague intentions into action.

Here are a couple of examples you might try:

• "Save £600 for an emergency fund in six months by putting aside £100 every month."
• "Complete the 1p saving challenge to build up £667.95 by the end of the year."

Setting these kinds of clear and achievable goals gives you a concrete target to focus on, and a reason to celebrate when you reach them. A lot of current accounts have built in features like savings pots. You can customise your pots with goals, names and even pictures to help you easily track how your savings are growing.

If you’re unsure on how to start saving read our how to start saving guide!

Review your past spending

Before planning ahead, look back at last year’s spending. Reviewing bank statements, receipts, and regular payments can reveal where money is going and highlight areas where you can cut back.

Little changes, like cancelling subscriptions you don’t use or cutting back on extras, can help free up money for the goals you care about.

Create and stick to a budget

A budget is your roadmap to achieving financial goals, not a list of restrictions. Start by listing essential expenses like rent, bills, groceries, and transport, then include non-essentials such as subscriptions or hobbies. Seeing the full picture helps you spot where you can save.

Consistency is the name of the game here, so treat savings like a regular monthly "bill" and consider automatic transfers to make it easy. This takes the effort out of saving and keeps you on track without thinking about it. Using budgeting apps can also make it easier to monitor your spending and stay within your limits.

Review your budget regularly to adjust for changes in income or expenses. For extra tips and tricks, have a read of our blog on how to build savings.

Build an emergency fund

Life can be unpredictable at the best of times, and an emergency fund can provide peace of mind when you really need it. It protects you from having to rely on credit cards and add to your debt when unexpected expenses arise, whether that be a car repair, unforeseen bill, or home emergency.

Compare our savings accounts* to find the best fit. And if it’s your first fund, our article tips on how to save money is a great place to begin.

Take a regular look at your finances

Your initial New Year plan is just the beginning. To stay on track, it’s important to build regular check-ins into your calendar. Monthly or quarterly ones would work well. Revisiting your plan gives you the chance to celebrate progress, spot any areas where things are slipping, and make small adjustments before problems grow.

If you need a practical way to do this, our blog on how to organise your finances offers great advice, and if you need extra guidance, feel free to reach out to us via our Help & Support page.

Take action

The new year is a fresh start to take control of your money. Setting clear goals, creating a budget, trying a savings challenge, and building an emergency fund can put you on the path to financial confidence.

Start today by finding out how to get started with savings and exploring our handy Help & Support page for more advice. Small, consistent steps will lead to bigger financial success over time.

*You need to be 16+ and UK resident to open most of our savings accounts with the exception of Savings Pots and TSB ISAs.

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