These Are Americans' Top Financial Resolutions for 2024

There's something about the start of a new year that tends to motivate people to focus on their personal finances. A recent survey by The Ascent found that 67% of Americans are making financial resolutions for 2024. Here are some of the most popular goals your peers are trying to achieve.

1. Paying off debt

For 22% of respondents, paying off debt is a key goal for 2024. But if you're going to tackle your debt, aim to do so strategically.

First, focus on your debt that's costing you the most. If you're juggling a $2,000 credit card balance at 24% interest and a $400 personal loan balance at 7%, chip away at the former first.

You may be inclined to pay down smaller debts ahead of larger ones, but you'll reap the most savings by first tackling your debts with the highest interest rates. Plus, remember that too much credit card debt relative to your credit limit can hurt your credit score, whereas a personal loan balance may not hurt your credit score at all if you make your payments on time.

2. Saving for a big milestone

A good 16% of Americans are saving for a big event this year, like buying a home or having a baby. If you're saving for a near-term milestone, your best bet is to keep your money in a regular savings account, where you won't have to worry about your principal balance shrinking unless you take a withdrawal.

If you're saving for a big milestone like retirement, though, that's far away, then an IRA or 401(k) is generally a better bet. That way, you can invest your money and, ideally, grow it into a much larger sum over time. Plus, IRAs and 401(k)s offer tax benefits that a regular savings account doesn't.

3. Saving for a large purchase

While many Americans are saving for a specific milestone, 12% are aiming to sock away money for a larger-than-usual purchase, like a TV or phone. And there's nothing wrong with going this route if you've tackled your more pressing expenses.

But before you splurge on something like new electronics, make sure your home doesn't need repairs or your car doesn't need work. You're better off saving for a new water heater than a new gaming system.

4. Boosting income

A good 11% of respondents want to see their earnings increase in 2024. And you can tackle that goal a couple of different ways.

First, you could try to boost your skills and set yourself up for a promotion at your current job that might come with a raise. Or, you can embrace the gig economy and take on a side hustle you do at your own pace. Your side gig could run the gamut from waiting tables at a local restaurant to house-sitting to driving for a ride-hailing service on weekends.

5. Building an emergency fund

You never know when life might throw you a curveball, whether it's a sudden home repair or a medical bill. That's why it's important to have money in savings at all times.

A good 8% of respondents say they're focused on building an emergency fund in 2024. You can do so by cutting your spending or boosting your income -- whichever is easier.

It also pays to look at setting up an automatic transfer from your checking account to your savings account to stay on track with this goal. If you're hoping to have $1,000 more saved for emergencies by the end of the year, arrange for about $83 to hit your savings each month off the bat. That automatic transfer could spell the difference between you spending that $83 on a whim versus banking it.

And there you have it -- these are the financial goals Americans are targeting in 2024. Whether yours overlap or not, remember that meeting financial objectives is a marathon, not a sprint. Don't get discouraged if your savings efforts, for example, happen to get off to a slow start. The key is to work toward your goals steadily and consistently throughout the year so you can end 2024 in a much better place.