4 Simple Money Targets to Aim for in 2026 (And How to Hit Them), From a Financial Planner

The start of a new year is a time to reset and focus on healthy habits, whether that means a new exercise routine or eating more healthily. It's also an excellent time to check whether your finances are in a good place your financial health is in a good place.

In particular, those nearing retirement need to understand their finances and the impact their decisions have on their financial future.

But regardless of your age, a solid financial plan will help you navigate the different stages of life. It can help you budget to buy a house, start a family and save for your children's college education.

From just $107.88 $24.99 for Kiplinger Personal Finance

Become a smarter, better informed investor. Subscribe from just $107.88 $24.99, plus get up to 4 Special Issues

CLICK FOR FREE ISSUE

Sign up for Kiplinger’s Free Newsletters

Profit and prosper with the best of expert advice on investing, taxes, retirement, personal finance and more - straight to your e-mail.

Profit and prosper with the best of expert advice - straight to your e-mail.

Sign up

So, as you start a brand new year, you should add your financial health to your list of goals. Here are four easy steps I suggest all of my clients take.

1. Make sure your plans are doable

Setting measurable and realistic goals is a key part of making any meaningful life change, and financial planning is no exception. I will often recommend that my clients think about their goals in three separate time frames: short, mid and long-term.

Your short-term goals are things that you want in the next year or two, such as an overseas family vacation. These short-term goals are great momentum builders and can inspire you to achieve even bigger goals.

While midterm goals may take around eight or 10 years to accomplish, the outcome can have a lasting impact, such as remodeling a part of your home.

Long-term goals are those that require the most patience and planning. They are often tied to the retirement lifestyle you envision for yourself.

While waiting 20 years or more to see these goals pay off may feel daunting, they're designed to push you toward a more secure financial future.

2. Invest in yourself

On the surface, it may seem simple, but many people overlook the importance of giving themselves and their finances the care and attention they deserve.

One of the most effective ways to strengthen your long-term financial well-being is to make sure that you are consistently contributing to your retirement accounts. Your future self will be grateful for the important work you put in for your finances today.

I often tell my clients to set aside 10% to 15% of their income in a 401(k), Roth IRA or other retirement savings vehicles. You'll want to find out if your employer provides matching contributions to your 401(k).

At the very least, be sure to contribute enough to capture any employer match offered through your workplace plan — otherwise, you're leaving free money on the table. Some companies offer a partial match, such as 50 cents on the dollar, up to 6%. Others offer a 100% match, typically up to 3%.

Despite these offerings from employers, one in four couples say they are not taking advantage of the company match being offered for their employer-sponsored 401(k) plan. Many people don't want to reduce their take-home pay. It can be hard to save for tomorrow when you want or need the money today.

3. Prepare for unexpected expenses

No matter your age or financial situation, an emergency fund is crucial to your financial security, as an unexpected emergency can often derail any progress you are making.

This is money set aside in an easily accessible account that can be used at any time to pay for the unexpected, such as missing a paycheck, getting laid off or an emergency medical bill.

Ideally, your emergency fund should have enough cash to cover three to six months of expenses. Without this safety net, many people are forced to turn to credit cards or even their retirement accounts to help make ends meet.

Credit card debt sits at a record high in the United States, which means you could be paying off that bill for months. And withdrawing from your retirement account before age 59½ can trigger a 10% early withdrawal penalty and put your future retirement at risk.

If you don't have an emergency fund, start by putting away $10, $50 or $100 a month in a separate savings account.

Remember, if you use part of your emergency fund, you'll need to replace it. If your monthly expenses increase, you'll also want to increase the amount saved in your emergency fund.

4. Build a solid team

Surrounding yourself with accountability partners can help you stick to and achieve your financial wellness goals. Pick someone that you trust to share these goals with, such as a friend, spouse or family member.

If you are struggling with where to start, a financial professional can take a fresh look at your plan and create one that tailors to your needs.

Related Content

• 8 Practical Ways to Declutter Your Life in 2026: A Retirement 'Non-Resolution' Checklist
• I'm a Financial Pro: You Really Can Make New Year's Money Resolutions That Stick (and Just Smile as Quitter's Day Goes By)
• 7 Retirement Planning Trends in 2025: What They Mean for Your Wealth in 2026
• Spring Is a Good Time to Clean Up Your Finances, Too
• Worried About Your Retirement Income? Four Questions to Ask Yourself, From a Financial Planner