Simple Ways to Strengthen Your Finances in 2026
Could you have used an extra $5,000 this year? It may surprise you to know that spending just $13.69 a day adds up to $5,000 over 12 months. That’s one quick stop at the gas station or a coffee before work…small expenses that add up fast. Without a plan, it’s easy to let hard-earned dollars slip away. Luckily, with a new year comes fresh opportunity for financial growth. Now’s the time to create a vision, make a plan, and start budgeting toward long-term stability.
Create a Vision
When exploring the definition of success, I came across: “the accomplishment of an aim or purpose.” To succeed financially, you must first define your aim and outline a plan to reach it.
One of my college professors often challenged us to “think about the better version of ourselves.” I took that advice to heart—visualizing where I wanted to be in the future and identifying what goals would get me there.
For instance, if I aspire to be a leader, I must show up consistently for my team today while learning from those already in leadership roles. If I want a life free from money worries, I need to build a budget, make a plan, and surround myself with financially wise individuals.
You’ve probably heard the saying, “You become who you hang out with.” It’s true—we adopt the habits of those around us. If you’re focused on saving but your circle loves to spend, that contrast can make financial discipline harder. Surround yourself with people who inspire you to reach your goals and reflect the future self you want to become.
Start Using Sinking Funds
A sinking fund is a smart money-saving strategy where you set aside a small amount regularly for specific expenses you know are coming. This proactive approach allows you to pay cash instead of turning to credit later.
You can build a sinking fund with an envelope system or by creating a separate savings account at your bank. For example, our family has a dedicated checking account for Christmas. Even though the holidays have just passed, January is the perfect time to start saving for next year, putting away $100 each month creates $1,200 of stress-free holiday spending.
Other helpful sinking funds might include car maintenance, vacations, or an emergency fund. Even small, consistent contributions make a big difference over time. Planning means avoiding financial surprises and reducing stress throughout the year.
Try a “No-Spend” Month
At first glance, spending $13.69 a day seems minor, but by year’s end, it totals thousands. I’ll admit it: I’m a spender. I love grabbing a coffee or small treat while running errands, but eventually I realized those quick purchases were satisfying short-term cravings while hurting long-term progress.
To reset, I commit to No-Spend Months—periods where I limit spending only to essentials like groceries, gas, and bills. During that time, any extra money goes directly toward my savings goals.
Here’s what that looks like: while out running errands, I might crave that latte and breakfast sandwich. Instead of spending $13, I transfer that same amount to my Roth IRA or another savings goal. By redirecting even small purchases, I keep my financial priorities front and center.
Of course, this approach should be realistic for your lifestyle. Maybe your “no-spend” period focuses on dining out or shopping. The point is to grow awareness of your habits and challenge yourself to make intentional choices.
Challenge Yourself with Small Steps
If budgeting feels intimidating, start small. A simple coin jar for spare change can become fun motivation when you cash it in at year’s end. Or try a single no-spend week or month on categories like takeout, entertainment, or clothing.
You’ll be surprised how quickly small efforts add up. As your confidence builds, stretch the challenge—turn one month into two, or three. Consistency matters more than perfection; with time and practice, you’ll strengthen your financial resilience and mindset.
Celebrate Your Progress
When you reach financial milestones—no matter how small—celebrate! Stay within your budget, of course, but reward yourself for following through.
When our family paid off our car, we celebrated with a short overnight trip. It wasn’t extravagant, but it recognized the teamwork and discipline it took to reach that goal. Financial freedom isn’t just about restriction—it’s about creating room for joy and peace along the way.
Ready to Strengthen Your Finances?
If you're ready to take charge of your finances in 2025, KerberRose Wealth Management is here to help. Whether you want to build a budget, start investing, or develop smart saving strategies, our experienced advisors can help you align your plans with your goals.
Cheers to a financially confident and beautifully frugal new year!
