{"id":1256,"date":"2024-12-20T05:46:07","date_gmt":"2024-12-20T05:46:07","guid":{"rendered":"https:\/\/www.soscip.org\/us\/?p=1256"},"modified":"2024-12-20T05:46:08","modified_gmt":"2024-12-20T05:46:08","slug":"4-money-experts-powerful-tips-finances-2025","status":"publish","type":"post","link":"https:\/\/www.soscip.org\/us\/4-money-experts-powerful-tips-finances-2025\/","title":{"rendered":"4 Money Experts Share Powerful Tips to Reflect on Finances and Set Winning Goals for 2025"},"content":{"rendered":"\n<p class=\"wp-block-paragraph\">As the year draws to a close, it\u2019s the perfect time to take a step back and reflect\u2014not just on personal achievements, but also on your <a href=\"https:\/\/www.soscip.org\/us\/4-money-experts-powerful-tips-finances-2025\/\" data-type=\"link\" data-id=\"https:\/\/www.soscip.org\/us\/4-money-experts-powerful-tips-finances-2025\/\">financial journey<\/a>. Amid rising costs of living and stagnant wage growth, many individuals find themselves feeling financially stretched.<\/p>\n\n\n\n<div class=\"wp-block-rank-math-toc-block\" id=\"rank-math-toc\"><h2>Table of Contents<\/h2><nav><ul><li><a href=\"#1-practice-self-compassion-build-a-better-financial-mindset\">1. Practice Self-Compassion: Build a Better Financial Mindset<\/a><\/li><li><a href=\"#2-audit-the-5-pillars-of-financial-stability\">2. Audit the 5 Pillars of Financial Stability<\/a><\/li><li><a href=\"#3-simplify-budgeting-keep-it-realistic-and-practical\">3. Simplify Budgeting: Keep It Realistic and Practical<\/a><\/li><li><a href=\"#4-focus-on-small-wins-for-lasting-change\">4. Focus on Small Wins for Lasting Change<\/a><\/li><li><a href=\"#5-balance-spending-with-emotional-wellbeing\">5. Balance Spending with Emotional Wellbeing<\/a><\/li><li><a href=\"#start-2025-with-a-fresh-perspective-on-finances\">Start 2025 With a Fresh Perspective on Finances<\/a><\/li><\/ul><\/nav><\/div>\n\n\n\n<p class=\"wp-block-paragraph\">A recent survey from Bank of America revealed that nearly <strong>half of Americans are living paycheck to paycheck<\/strong>, while Bankrate\u2019s Wage to Inflation Index noted that prices have risen <strong>20% since January 2021<\/strong>, outpacing the 17.4% increase in wages.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">With challenges like these, financial experts emphasize the importance of self-compassion and practical goal-setting as we transition into a new year. Here\u2019s how four financial experts suggest you evaluate your financial health and set actionable goals for 2025.<\/p>\n\n\n\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\">\n<p class=\"wp-block-paragraph\"><a href=\"https:\/\/www.soscip.org\/us\/costcos-membership-growth-fuels-revenue-increase\/\" data-type=\"post\" data-id=\"653\">Costco&#8217;s Robust Membership Growth Fuels Revenue Increase Amid Fee Hike<\/a><\/p>\n<\/blockquote>\n\n\n\n<hr class=\"wp-block-separator has-alpha-channel-opacity\"\/>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"1-practice-self-compassion-build-a-better-financial-mindset\">1. <strong>Practice Self-Compassion: Build a Better Financial Mindset<\/strong><\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">Many people feel ashamed or disappointed about how they managed their finances, especially during the holiday season. <strong>Vicky Reynal<\/strong>, financial psychotherapist and author of <em>Money on Your Mind<\/em>, emphasizes the importance of being kind to yourself when reflecting on your spending habits.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">\u201cIt\u2019s common to feel like you should be doing better,\u201d Reynal says. However, guilt and shame can prevent productive change. Managing money isn\u2019t an innate skill\u2014it\u2019s learned over time, often through trial and error.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Reynal advises reframing negative feelings into positive action. Ask yourself:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>What can I do differently?<\/strong><\/li>\n\n\n\n<li><strong>What do I want to achieve financially in the coming year?<\/strong><\/li>\n<\/ul>\n\n\n\n<blockquote class=\"wp-block-quote is-layout-flow wp-block-quote-is-layout-flow\">\n<p class=\"wp-block-paragraph\"><a href=\"https:\/\/www.soscip.org\/us\/new-york-new-minimum-wage-for-2025\/\" data-type=\"post\" data-id=\"573\">New York New Minimum Wage for 2025: Key Changes and Effective Dates<\/a><\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><a href=\"https:\/\/www.soscip.org\/us\/irs-announces-new-tax-brackets-deductions-2025\/\" data-type=\"post\" data-id=\"775\">IRS Announces New Tax Brackets and Deductions for 2025: Changes That Could Save You Money<\/a><\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><a href=\"https:\/\/www.soscip.org\/us\/new-counterfeit-proof-dollar-bills-coming-2025\/\" data-type=\"post\" data-id=\"658\">The Future of Currency: The New Counterfeit-Proof Dollar Bills Coming by 2025<\/a><\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><a href=\"https:\/\/www.soscip.org\/us\/ssas-22-8-million-payment-mistake\/\" data-type=\"post\" data-id=\"578\">SSA\u2019s $22.8 Million Payment Mistake: What Went Wrong and How It\u2019s Being Fixed<\/a><\/p>\n<\/blockquote>\n\n\n\n<hr class=\"wp-block-separator has-alpha-channel-opacity\"\/>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"2-audit-the-5-pillars-of-financial-stability\">2. <strong>Audit the 5 Pillars of Financial Stability<\/strong><\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">According to <strong>Sarah Coles<\/strong>, head of personal finance at Hargreaves Lansdown, taking stock of your finances begins with evaluating five key areas:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li><strong>Short-term debt management:<\/strong> Are credit cards or loans under control?<\/li>\n\n\n\n<li><strong>Family protection:<\/strong> Do you have essential safeguards like life insurance and a will?<\/li>\n\n\n\n<li><strong>Emergency savings:<\/strong> Have you saved enough to cover three to six months of essential expenses?<\/li>\n\n\n\n<li><strong>Pension progress:<\/strong> Are you on track with retirement savings?<\/li>\n\n\n\n<li><strong>Investment growth:<\/strong> Are you making your money work for you through investments?<\/li>\n<\/ul>\n\n\n\n<p class=\"wp-block-paragraph\">Understanding your standing in these areas provides a clear foundation for setting achievable goals and creating a sustainable budget.<\/p>\n\n\n\n<hr class=\"wp-block-separator has-alpha-channel-opacity\"\/>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"3-simplify-budgeting-keep-it-realistic-and-practical\">3. <strong>Simplify Budgeting: Keep It Realistic and Practical<\/strong><\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">A common reason financial resolutions fail is because they\u2019re overly complex, Reynal explains.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">\u201cPeople proudly show me 30-tab spreadsheets to track every expense, but that\u2019s not sustainable,\u201d she says. Instead, opt for simpler tools like budgeting apps or automated payment systems that streamline the process.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\"><strong>Tamara Harel-Cohen<\/strong>, co-founder of the financial wellbeing app RiseUp, suggests a quick, daily financial check-in. \u201cA five-minute morning review of how you plan to spend your money can improve decision-making without feeling overwhelming,\u201d she says.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Budgeting doesn\u2019t need to be a burden. Small, consistent actions can create a cycle of empowerment and confidence, making financial goals feel more achievable.<\/p>\n\n\n\n<hr class=\"wp-block-separator has-alpha-channel-opacity\"\/>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"4-focus-on-small-wins-for-lasting-change\">4. <strong>Focus on Small Wins for Lasting Change<\/strong><\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">Many people set overly ambitious financial goals for the new year, only to give up a few weeks later. Reynal highlights the importance of starting small.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">\u201cSmall, actionable goals build confidence, agency, and momentum,\u201d she explains. For instance:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Automate monthly transfers to a savings account for long-term goals like vacations or retirement.<\/li>\n\n\n\n<li>Start with saving just 1% more of your income or cutting back on a single unnecessary expense.<\/li>\n<\/ul>\n\n\n\n<p class=\"wp-block-paragraph\"><strong>Harel-Cohen<\/strong> suggests automating these changes where possible, so you can \u201cset it and forget it.\u201d<\/p>\n\n\n\n<hr class=\"wp-block-separator has-alpha-channel-opacity\"\/>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"5-balance-spending-with-emotional-wellbeing\">5. <strong>Balance Spending with Emotional Wellbeing<\/strong><\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">Spending money doesn\u2019t have to be anxiety-inducing, says <strong>Ylva Baeckstr\u00f6m<\/strong>, senior lecturer in finance at King\u2019s Business School. Instead, reflect on how your spending habits make you feel.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Ask yourself:<\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Did spending on certain things bring me joy?<\/li>\n\n\n\n<li>Did other purchases cause anxiety or stress?<\/li>\n<\/ul>\n\n\n\n<p class=\"wp-block-paragraph\">\u201cAllow yourself treats that make you happy,\u201d Baeckstr\u00f6m advises. \u201cBut cut back on spending that leaves you feeling anxious.\u201d<\/p>\n\n\n\n<hr class=\"wp-block-separator has-alpha-channel-opacity\"\/>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"start-2025-with-a-fresh-perspective-on-finances\"><strong>Start 2025 With a Fresh Perspective on Finances<\/strong><\/h2>\n\n\n\n<p class=\"wp-block-paragraph\">Taking time to reflect on your financial habits doesn\u2019t have to be daunting. By practicing self-compassion, auditing key areas of your finances, and setting realistic goals, you can create a roadmap for 2025 that\u2019s both practical and empowering.<\/p>\n\n\n\n<p class=\"wp-block-paragraph\">Remember, financial wellbeing is a marathon, not a sprint. Small, consistent steps today can lead to meaningful progress tomorrow. Start the year with confidence and take control of your financial future.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>As the year draws to a close, it\u2019s the perfect time to take a step back and reflect\u2014not just on personal achievements, but also on your financial journey. Amid rising costs of living and stagnant wage growth, many individuals find themselves feeling financially stretched. A recent survey from Bank of America revealed that nearly half&nbsp;<a class=\"read-more\" href=\"https:\/\/www.soscip.org\/us\/4-money-experts-powerful-tips-finances-2025\/\">Continue reading<\/a><\/p>\n","protected":false},"author":1,"featured_media":1258,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[4],"tags":[],"class_list":["post-1256","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-finance"],"_links":{"self":[{"href":"https:\/\/www.soscip.org\/us\/wp-json\/wp\/v2\/posts\/1256","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.soscip.org\/us\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.soscip.org\/us\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.soscip.org\/us\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.soscip.org\/us\/wp-json\/wp\/v2\/comments?post=1256"}],"version-history":[{"count":2,"href":"https:\/\/www.soscip.org\/us\/wp-json\/wp\/v2\/posts\/1256\/revisions"}],"predecessor-version":[{"id":1259,"href":"https:\/\/www.soscip.org\/us\/wp-json\/wp\/v2\/posts\/1256\/revisions\/1259"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.soscip.org\/us\/wp-json\/wp\/v2\/media\/1258"}],"wp:attachment":[{"href":"https:\/\/www.soscip.org\/us\/wp-json\/wp\/v2\/media?parent=1256"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.soscip.org\/us\/wp-json\/wp\/v2\/categories?post=1256"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.soscip.org\/us\/wp-json\/wp\/v2\/tags?post=1256"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}