4 Reasonable Financial Goals for the New Year


Aside from all the celebrations and good cheer, another thing that comes with the holiday season is the promise of new beginnings. Once the parties are over, people now refocus their attention on their goals for the coming year. Often, these resolutions include living a healthier lifestyle, spending more time with loved ones or exerting more effort to reconnect with them, and taking up a new hobby.

Another popular goal for the new year? Setting financial goals. However, this can be trickier to accomplish than others because there are plenty of beliefs and habits that are difficult to break. That said, you can make financial goals more achievable by making them more reasonable. This way, you won’t get overwhelmed and eventually feel discouraged.

If you’re ready to be smarter about your finances in the coming years, here are some reasonable goals you can set for yourself:

Establish a Budget

This is an oft-repeated financial advice and it bears repeating yet again: in order to reach your financial goals, you need to establish a budget. This will show you exactly where your money goes and where there are “leaks” you can patch up. Once you’ve seen the bigger picture of your spending, you might be surprised by just how much you overspend on “little” things like food deliveries and service subscriptions.

To make the process easier, you can use a budgeting app or program. Many are free to download from your respective smartphone’s OS app stores, although paid ones do come with a lot of handy features. You can also use a spreadsheet or even a notebook, then manually log your income, bills, and other expenses to tally them up. Some people prefer this option because it makes the numbers easier to appreciate.

Whichever method you choose, the key is to truly commit to establishing a budget. All your other financial goals will be more difficult to achieve without it.

Minimize Debts

A common financial goal among Filipinos, new year or not, is to pay off their debts. On the one hand, it’s easy to accomplish this goal in a sense because you already know how much you owe. On the other hand, this is not possible for most people due to various circumstances that can be unique to each individual.

Indeed, it’s challenging to wipe out all your loans, especially if you have several; at best, this can be a mid-term goal. A more realistic goal perhaps is to minimize your debts. If you have to borrow money for whatever reason, you can opt for a quick cash loan Philippines’s trusted fintech companies offer. This way, the payments are easier to handle. Then, be diligent about paying off the rest of your debts. Commit to paying over the minimum amount so you can clear them faster.

With regard to credit card debt, you can choose between two popular strategies: prioritize the biggest or prioritize the smallest. There are certain benefits and downsides to both, so choose which one works the best for you depending on your situation.

Find an Additional Source of Income

To help you pay off your debts, weather the effects of inflation, and achieve your financial goals faster, it’s a good idea to find an additional source of income. It can be a freelance job that you do on the weekends, or perhaps a small business that you can manage on the side. There are also plenty of passive income streams you can try, like putting some of your savings into high-yield bank accounts.

Whatever you choose, the main thing to remember is that having multiple income streams ensures that you won’t be completely dependent on your main source of income. In case something happens, your cash flow won’t be severely affected.

Start Saving for Your Retirement

Finally, one of the best financial goals that you can set for yourself this year is saving for your retirement. It’s a long-term goal, so you can work on it slowly but still see great results by the time you’re ready to access the money. Of course, it’s best to start on this financial goal as early as possible so you can save more.

The first thing you have to do is to determine your needs when you retire. Your basic necessities will remain the same, of course, but there will definitely be additional costs of living when you’re older. For example, you may end up needing maintenance medications. This means that your usual monthly budget may not be enough.

Then, you also have to account for your wants. You worked hard for your money, after all, so it’s only logical to want to enjoy it. Do you want to travel more when you’re older, perhaps? Do you want to spoil your would-be grandkids? These things are all extra expenses, so you have to be realistic about your savings goals.

Obviously, not everyone wants to retire early. Maybe you’re passionate about your career and want to continue working for as long as you can and that’s perfectly fine. However, you might eventually change your mind. Your circumstances may also change, forcing you to retire. With a retirement fund already set up, the transition will be easier.


Some people end up not fulfilling their New Year’s financial resolutions because of impracticality. With these reasonable goals, you may be able to accomplish more. Try these for yourself this coming year. Good luck!