Will Your New Year’s Financial Resolutions Survive? Let’s Be Honest…

Every year, right on cue, we create a shiny new set of financial resolutions. “This is the year I’ll save more!” “I’ll finally stick to a budget!” “No more impulse buys… probably.”

And every year, somewhere between January’s enthusiasm and February’s reality, things start to get a bit shaky.

Up to 80% of resolutions are abandoned by February, often by the second or third week of January, a day sometimes called “Quitter’s Day” (around Jan 12th or 19th). The initial enthusiasm fades as vague, overly ambitious goals clash with daily life like returning to work, making them feel they were too ambitious and maybe not so relevant, leading most people to quit.

When They Fade:

• First Week: 77% still trying.
• By Mid-January: Many start to quit.
• January 12th/19th: Often cited as “Quitter’s Day” when many abandon goals.
• By February: Up to 80% have given up.

So… what are the chances you’ll actually break your New Year’s financial resolutions? Let’s take a light-hearted (but slightly painfully accurate) look.

January: Motivated, caffeinated, unstoppable

January is your financial glow-up era. You’re tracking expenses, highlighting goals, deleting shopping apps and looking for what you could return or sell on marketplace, making spreadsheets that would impress the ATO.

For these glorious weeks, you are a budgeting unicorn.

Chance of breaking resolutions: Basically zero. You’re invincible. (…For now.)

February: Life happens

The sun is still shining, the social events are still loud, and the leftover holiday mood is still lingering. Your budget is holding up… mostly. Except for that one weekend away. And brunch. And maybe the shoes. But it was all on sale, so it doesn’t count, right?

Chance of breaking resolutions: Growing steadily… like your Afterpay temptations.

March–April: “I’ll restart next month”

This is where many resolutions go to… retire early. Work gets busy. Kids go back to school. Unexpected bills pop up like they’ve been waiting for the exact moment you got organised.

Your budget starts looking less like a plan and more like a distant memory.

Chance of breaking resolutions: High. Very high.

Mid-year: The Plateau

By winter, you’re either:

• Actually doing pretty well and feeling smug OR
• Pretending your resolutions never happened and avoiding opening your banking app at all costs.

There is rarely an in-between.

Chance of breaking resolutions:

• If you’re in the smug group: Low.

• If you’re in the avoidance group: Already broken. It’s fine. We’ve all been there.

August/September – Spring: The Comeback Season

There’s something about warmer weather that makes you want to get your financial life back together. Suddenly, you’re motivated again. You reset your budget, set new goals, and quietly ignore everything that happened between February and August.

Chance of breaking resolutions: Moderate, but improving. Blossoming, even.

December: Reflection and… déjà vu

And then you hit December. The season of festivities… and financial mayhem. You start thinking about how next year will be different. Fresh start. Clean slate. You know the drill.

It’s a circle. A financial circle of life.

Chance of breaking resolutions: 100% — but only because you’re already planning your next set.

So, what does this all mean?

Most people do break their financial resolutions at some point, but the good news? It doesn’t matter.

Resolutions aren’t meant to be perfect. They’re meant to give you direction. If you fall off the wagon, you just get back on again — ideally before the wagon rolls into Afterpay territory.

Financial progress isn’t linear. It’s more like a zigzag drawn by someone who’s had too much coffee. And that’s completely normal.

How to get your financial goals back on track:

Financial Reset Checklist

✔ Review without judgement Look at where the money actually went — no guilt, just facts.

✔ Set realistic goals for THIS month Specific, small, and doable beats huge and vague.

✔ Plug the leaks Cancel unused subscriptions, review bills (when is the last time you compared phone or electricity plans?), cut easy expenses first.

✔ Automate the important stuff Savings + bills = set and forget (in a good way). Pay your known bills every payday – BPay a little and when the bill arrives it will either be already paid or a smaller balance.

✔ Create a buffer Emergency fund + “life happens” fund = fewer surprises.

✔ Do a 30-day reboot One main goal such as fewer impulse buys or less coffee runs. Simple categories.

✔ Review monthly Adjust what didn’t work. Keep what did.

✔ Celebrate small wins Progress is progress — even $20 counts.

Final thoughts

You don’t need a perfect year. You just need to have a few more good decisions than bad ones and an improvement on last year. Top tip – set a realistic budget you’ll actually look at more than twice. Try the budget tool at Moneysmart.gov.au its thorough and will annualise all your bills for you.

For the really big life changes – home purchase, debt management, retirement etc seek professional assistance.

And hey, if you break your financial resolutions… there’s always next New Year.