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

While January is the perfect time to strengthen your financial well-being, you're more likely to succeed if you set realistic goals and bring on board an accountability partner or two.

By Tony Drake, CFP®, Investment Advisor Representative published 9 January 2026 in Features

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A dart sticks in the bull's-eye of a target.

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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.

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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.

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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.

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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.

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Drake & Associates is an independent investment advisory firm registered with the U.S. Securities & Exchange Commission. This is prepared for informational purposes only. It does not address specific investment objectives, or the financial situation and the particular needs of any person who may view this report. Neither the information nor any opinion expressed it so be construed as solicitation to buy or sell a security of personalized investment, tax, or legal advice. The information cited is believed to be from reliable sources, Drake & Associates assumes no obligation to update this information, or to advise on further development relating to it. Past performance is not indicative of future results.

Disclaimer

This article was written by and presents the views of our contributing adviser, not the Kiplinger editorial staff. You can check adviser records with the SEC or with FINRA.

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Tony Drake, CFP®, Investment Advisor RepresentativeSocial Links NavigationFounder & CEO, Drake and Associates

Tony Drake is a CERTIFIED FINANCIAL PLANNER™ and the founder and CEO of Drake & Associates in Waukesha, Wis. Tony is an Investment Adviser Representative and has helped clients prepare for retirement for more than a decade. He hosts The Retirement Ready Radio Show on WTMJ Radio each week and is featured regularly on TV stations in Milwaukee. Tony is passionate about building strong relationships with his clients so he can help them build a strong plan for their retirement.