With 41% of Americans saying they are more stressed about their finances now than a year ago, more Americans say they intend to focus on financial stability in the coming year than they have in the last decade.
According to the 2025 New Year’s Resolutions Study, released this week by Allianz Life Insurance Company of North America, “financial stability” was ranked as the No. 1 focus area in the next year by 38% of Americans in the annual study. Millennials lead the charge, with 44% prioritizing financial stability, compared to 37% of Gen Xers and 33% of Boomers.
“With the rising cost of living, Americans are prioritizing financial stability as part of their New Year’s resolutions in 2025 to achieve greater security in the coming year,” said Kelly LaVigne, VP of consumer insights, Allianz Life. “The new year is an ideal time for Americans to examine the status of their finances, write down their goals, and create a financial plan for the year ahead.”
The Allianz Life study findings mirror a similar new study from Fidelity, which found Americans are looking ahead to a year of “living practically” when it comes to their finances for the next year, with top goals of saving more, paying down debt and spending less.
Health and wellness was the most common priority in the Allianz Life study, with 45% of Americans ranking it as their top focus for the coming year.
About one in four (24%) say building up an emergency fund is the top way they could improve their finances in the next year. This is up from 17% in 2023. Many also say they could improve their finances by paying down credit cards (15%) and increasing retirement savings (15%).
Day-to-day expenses causing stress
Financial stress levels are similar to last year for Americans with 44% saying their stress about finances is about the same as it was the prior year. Just 16% said they are less stressed while the aforementioned 41% said they are more stressed. More than half of Millennials (52%) say they are more stressed, compared to 37% of Gen Xers and 23% of Boomers.
What’s causing this financial stress? Americans say cost of day-to-day expenses (54%), their income or retirement income being too low (49%), not saving enough for an emergency fund (35%) and too much debt (35%) is contributing to their financial stress.
The majority of Americans say they have bad financial habits. Most of those habits include excessive spending and lack of savings.
• 30% spend too much money on things they don’t need
• 28% don’t save any money
• 27% save some money but not as much as they could
• 23% aren’t paying down debt fast enough
• 21% say they spend more than they make
Looking ahead to 2025, many Americans anticipate their finances will improve in the coming year. More than one in three (35%) say they think their overall financial situation will be better in 2025. At the same time, 25% say their overall financial situation improved in 2024.
“Americans who are looking to improve their financial health in 2025 can work with a financial professional who can help them create a strong financial strategy for their future,” LaVigne added. “That strategy can help decrease stress by providing a guide for how to curb excessive spending and prioritizing saving.”
The 2025 New Year’s Resolutions Study was conducted via an online survey in November 2024 with a nationally representative sample of 1,105 Respondents age 18+.
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