The beginning of 2026 is the ideal time to set goals and make changes for the year ahead. That’s why we often set resolutions at this time of year. Having a specific goal could help you stay motivated and focus on what’s important over the next 12 months.
But simply having a target isn’t enough. The quality of your goals makes a big difference to your chances of success.
According to Founder Jar, 9 in 10 people who set specific and sufficiently challenging goals perform better than those who set easy goals, or none at all.
You may want to keep this in mind when setting financial or general lifestyle goals. Often, looking to the past could help you make more effective plans for the future.
Reflecting on the past year gives you more direction when setting goals
If you struggle to decide what your priorities should be in the coming year, reflecting on 2025 could be a good place to start.
Think about the targets you set this time last year and whether you reached them or not. In instances where you fell short, consider what went wrong. Equally, if you easily achieved certain goals, it’s worth thinking about whether they were too simple and if you could stretch yourself further next year.
This could benefit you in several ways:
- Understanding what worked and what didn’t – Knowing which goals you achieved and which you found more challenging gives you perspective. Moving forward, you can use this to direct your behaviours, leaning into your strengths and focusing on areas for improvement.
- Learning from your mistakes – Reviewing your mistakes helps you make improvements for the future. For instance, if you failed to meet your savings goal, is it perhaps too ambitious? Or maybe you need to make cutbacks in other areas of your budget so you can save more?
- Celebrating your successes – It’s equally important to see what went well and celebrate your successes. This gives you motivation for the year ahead.
If you continue to do this at the start of each year, you get into the habit of reflecting and improving each time you set new goals.
Four steps to set effective financial aims for 2026
1. Consider your overall priorities
Before thinking about the specifics, it’s important to consider your wider aims in life. For instance, is supporting your family financially important, or do you have big travel plans? Do you want to continue working for a long time, or would you rather retire as soon as possible?
These big-picture priorities will direct the more specific choices you make about what to focus on in 2026.
2. Revisit specific targets
When looking back at 2025, there may be certain goals you reached easily and others you struggled with. Now is a good time to revisit and adjust those aims, if necessary.
You might increase your savings targets if you reached them easily and could comfortably save more. Alternatively, if you were stretched, consider whether you are trying to save more than you can comfortably afford.
We can help you here by reviewing your savings, investments, and pensions and considering whether you’re on track to reach your long-term goals. Using this information, you can decide on a realistic amount to save each month.
3. Write down your new goals
Once you have set your most important goals, it’s worth writing them down, as this could improve your chances of success. According to Founder Jar, those who write them down are 42% more likely to reach them than those who don’t.
Having a written list to refer to can help you stay focused and motivated throughout the year.
4. Check your progress regularly
Finally, it’s important to check your progress regularly. Watching your savings and investments build over time reminds you that you are on the way to achieving your aims and can help you stay motivated.
We will conduct annual reviews with you to check the status of your financial plan, but we’re always on hand throughout the year should you need updates or have any questions about your progress.
Get in touch
We can help you achieve your goals in 2026 and beyond.
Please get in touch or email us at advice@mlifa.co.uk for more information.
Please note
This article is for general information only and does not constitute advice. The information is aimed at retail clients only.
All information is correct at the time of writing and is subject to change in the future.
A pension is a long-term investment not normally accessible until 55 (57 from April 2028). The fund value may fluctuate and can go down, which would have an impact on the level of pension benefits available.
The tax implications of pension withdrawals will be based on your individual circumstances. Thresholds, percentage rates, and tax legislation may change in subsequent Finance Acts.
The value of your investments (and any income from them) can go down as well as up and you may not get back the full amount you invested. Past performance is not a reliable indicator of future performance.
Investments should be considered over the longer term and should fit in with your overall attitude to risk and financial circumstances.