My Approach to Saving in 2025

As we head into 2025, saving more money is at the top of my personal priorities. If you’re like me, you’ve probably thought about how to get better at managing your finances and setting aside more for the future. According to a recent survey by Bankrate, only 43% of Americans set financial resolutions, and saving money tops the list for many of them. Yet, on average, Americans save just 7.7% of their disposable income, which is far below the recommended 15%-20%.

If I were starting fresh or looking to improve my habits, here’s exactly how I’d approach saving more in the new year. (Note: This isn’t financial advice, and you should always consult a professional for your specific situation.)

The first thing I’d do is sit down and reflect on the past year. I’d ask myself a few key questions:

• Did I meet any of my savings goals?
• What unexpected expenses came up?
• Where did my spending go off track?

For me, this process is about being honest but not overly critical. If unexpected expenses hit hard, I’d focus on building or strengthening my emergency fund. Personally, I aim for at least three to six months of living expenses in a dedicated savings account, but even $1,000 can be a great starting point.

Instead of vague resolutions like “save more money,” I’d create specific goals. For example, I’d commit to saving $100 from each paycheck or putting away $50 a week into a high-yield savings account. Breaking it down into smaller, actionable steps makes the process feel achievable.

Automation is a game-changer for me. I’d set up an automatic transfer from my checking account to my savings account every payday. This way, I’d save first and spend what’s left. Personally, I’ve found that automating savings makes it feel effortless and ensures I stay consistent.

I’d track my expenses for a month to see where my money is going. If I notice areas where I’m overspending, like eating out or unused subscriptions, I’d make adjustments. Cutting back doesn’t have to be drastic. Small changes, like cooking more meals at home, could free up extra cash for savings.

If I were planning for retirement or a major purchase, I’d prioritize contributing to tax-advantaged accounts like a 401(k) or IRA. I’d also look into whether my employer offers a match on retirement contributions—that’s essentially free money.

For long-term stability, I’d aim to eventually save 15%-20% of my income. I’d start small and increase my savings rate over time.

Life happens, and I know it’s impossible to predict every financial challenge. That’s why I’d build flexibility into my plan. If I had a tight month, I wouldn’t beat myself up over saving less. Instead, I’d focus on getting back on track as soon as possible.

Every few months, I’d review my progress. Am I sticking to my savings goals? Have my priorities changed? For me, these check-ins are essential for staying motivated and adjusting as needed.

Saving more money in 2025 is a goal that requires focus, consistency, and small, actionable steps. By automating savings, setting clear goals, and keeping track of my progress, I know I can make meaningful changes to my financial habits.

That said, everyone’s financial situation is unique. What works for me may not work for you, and it’s always a good idea to speak with a qualified financial professional before making major changes to your money management strategy.

Let’s make 2025 the year we all feel more secure about our finances!