Small Money Habits to Start Now

One of my goals for 2026 is to increase my net worth. Setting strong objectives and breaking them down into actionable steps helps attain them.

If your goals for 2026 include paying down debt, increasing your savings, and enhancing your financial position, take action today. Establishing small money habits now can have a significant impact over time. The following tips can help.

Develop Your Spending Plan

A spending plan allows you to track where your money should go throughout the year. Understanding how much money is coming in, paying yourself first, and knowing where your money is going helps you attain your goals.

Review your spending plan monthly to ensure it is realistic and you are staying on track. Adjust as needed to find what works for you.

Pay Yourself First

Set up a direct deposit from your paycheck or checking account to your emergency fund, savings account, and retirement account(s). Automating these payments enables you to make progress toward your goals:

• Set aside at least 3-6 months of income in your emergency fund to cover car repairs, medical bills, a job loss, or other surprise expenses without taking on debt.

• Consider saving for a down payment on a home, a car, a vacation, or other desires.

• Invest for the future so you can retire one day.

Automate Your Bill Payments

Automated bill payments ensure your monthly debts are paid on time, avoiding late fees and potential interest charges. Some insurance companies, student loan servicers, and other billers offer discounts for setting up autopay, which can further decrease your debt load.

Give Yourself Small Rewards

 Treat yourself weekly to coffee, fresh flowers, a cocktail during happy hour, or other activities that bring happiness. These small purchases make life more enjoyable without impacting your long-term financial success.

Check Your Account Balances  

Look at your checking, savings, and other account balances daily to ensure they are accurate. Review yesterday’s spending to ensure there are no surprise charges or extreme balances. Contact your financial institution if you uncover any issues.

Organize Your Receipts

Filing relevant receipts for flexible spending account (FSA) reimbursements, tax deductions, and other needs makes year-end tax planning easier. These activities increase the amount of money you have for saving and spending.

For instance, keep physical receipts in a container, or divide them into envelopes or folders by month. For digital receipts, set up inbox rules to be sorted into specific folders or labels.

Track Your Small Wins

Create a spreadsheet, put a sticky note on your computer monitor, or write in a journal to recognize your weekly achievements. Checking your account balances daily, not spending money on a given day, or saving a bit more than planned are reasons to celebrate. These activities boost your motivation and confidence as you modify your money habits to reach your goals.

Avoid Lifestyle Creep

Set quarterly financial health checks to monitor your lifestyle as your income increases. Although you should reward yourself when you receive a monetary gift, tax return, bonus, or pay increase, avoid letting your expenses increase at the same rate as your income. Keeping your fixed costs down as your income grows enables additional saving and investing for the future.

Keep a Money Mindset Journal

Journaling daily or weekly about your money mindset helps recondition your thinking and improve your financial habits. These activities are essential if you are deeply in debt or were conditioned to believe you are bad with money.

Journaling about your past and present relationship with money helps you unlearn myths and toxic thought patterns. These steps let you reclaim your financial power and move confidently toward a more secure future.

Consider using these prompts when journaling about your money mindset:

• What money lies have I been told and bought into?

• How often do I worry about money?

• Are there any money moves I can make to feel financially prepared?

• How can I become more comfortable talking about money?

Review Your Core Values

Your values are your most important beliefs that make your life purposeful and meaningful. You can use your beliefs to guide your financial decisions, make intentional choices, and feel aligned with the outcomes.

Reevaluate your core values annually to determine whether they changed. Modify your money habits to ensure they align with your core beliefs.

*This information is for educational purposes only.

Which personal finance topic would you like me to cover in the next post? Let me know in the comments!