Start these 3 things from the new year 2026, and you'll never have to borrow money again

Financial planning tips 2026: The year 2025 is now in its final stages, with only two days left in December. At the start of a new year, we often make many resolutions, but we often neglect our financial well-being. No one knows when trouble might strike, and it is during such times that people fall into the trap of debt or loans. Also Read: Country's Banking Sector Strengthened, RBI Report Reveals

If you make some basic but crucial financial changes at the beginning of the new year, you can easily face even the biggest problems in the future. Today, we are going to tell you about three important habits that, if adopted from the beginning of 2026, will prove beneficial for both your finances and your peace of mind.

Creating an Emergency Fund

Financial experts believe that every person's first priority should be to create a strong 'emergency fund'. Often, people don't understand the difference between investment and an emergency fund and consider their savings as emergency funds, which is a misconception. Investments are for future goals, while an emergency fund is for unexpected emergencies.

Adopt these three habits from the new year 2026

Try to create a separate fund in the new year that is equal to at least six months of your monthly income. For example, if you suddenly lose your job or there is a slowdown in your business, this fund will help you run your household for the next six months without having to ask anyone for help. This habit also keeps you away from mental stress. Also Read: Secret SIP Formula: How to Raise 1 Crore? An Easy Way to Become Rich in the New Year

Focus on Smart Investing, Not Just Saving

Simply saving money is not enough in today's world, as inflation constantly erodes the value of your savings. Therefore, make a resolution for 2026 to not only save at least 20 percent of your salary or income but also invest it wisely. Instead of keeping all your money in one place, it's wise to invest in different avenues. You can create a diversified portfolio with a mix of options like Fixed Deposits (FDs), Recurring Deposits (RDs), PPF (Public Provident Fund), and SIPs (Systematic Investment Plans). Diversification reduces risk and increases the chances of better returns. This disciplined investment can make you the owner of substantial capital in the future.

Safety Net for Your Savings

It is often observed that people save every penny to build a large fund, but a medical emergency in the family can wipe out all their savings in an instant. Sometimes, the situation becomes so dire that people have to take out huge loans for treatment. To avoid this situation, don't make the mistake of considering health insurance an unnecessary expense.

Summary

Insurance is a kind of safety net that protects your hard-earned money. In the new year, ensure that you and your family have adequate health coverage. This small premium can save you from future expenses and the burden of debt worth lakhs of rupees. Additionally, invest 20% of your salary in an FD or SIP. Also, be sure to get health insurance to protect your savings from medical expenses.