How to get back on track financially before the year ends

AsDecember approaches, people tend to reflect on various aspects of their lives, including their financial habits, shortcomings and goals. Finance coach and advisor Margaret Njeri believes that it is not too late to make changes.

According to Margaret, near-year-end fatigue is a real phenomenon. Life gets busy throughout the year, new priorities emerge and motivation can wane.

Many people start strongly in January, she says, but lose track when emergencies, lifestyle upgrades or unplanned expenses creep in. She advises focusing on consistency rather than perfection, as even small, regular check-ins with your finances can prevent end-of-year slippage.

Many people assume that the final quarter of the year is too late to make meaningful progress, but Margaret disagrees.

“The last quarter is the best time to reset. Think of it as a financial rehearsal for the new year. Small wins now, like sticking to a budget or automating your savings, can give you a confident head start in January,” she says.

She encourages you to ask yourself what worked, what didn’t, and what you can adjust. The purpose of this is to learn about your relationship with money rather than to self-judge.

Her first recommendation is to pause and take stock of your finances. Review your income, spending, and debts from January to now. Also, identify where your money went vis-à-vis where you intended it to now.

Track your money

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Start with a 30-day spending detox by tracking on a weekly basis. Cut non-essentials like multiple subscriptions or impulse buys. Automate savings, even if it’s a small amount. Reviewing your debt and negotiating lower payments where possible can also help restore financial balance faster than expected.

To best track your spending habits, she advises using simple tools like Money Manager, Mint, or even a spreadsheet. Categorise expenses — food, rent, entertainment, etc. — and identify leaks.

“Many people are shocked by how much small expenses add up; tracking helps you redirect that money toward your priorities,” she says.

Signs that someone has fallen off track with their finances are relying on credit to get through the month, avoiding their budget, or feeling anxious when money topics come up. You might also notice irregular saving habits or impulse spending.

“The moment you realise you’re reacting to money instead of planning around it, it’s time to realign,” she says.

For anyone who’s made financial missteps this year, Margaret emphasises seeing that as lessons instead of failures. Revisit the reason you want financial freedom and maintain it to achieve mini-goals and celebrate small wins. The more positive experiences you create with money, the more confident you become, she says.

Set new goals

Once you’ve set a clear picture through reflection and tracking, she advises setting one or two short-term goals you can realistically achieve before the year ends, such as paying off a small debt or rebuilding your emergency fund.

When deciding whether to prioritise saving or debt repayment, Margaret suggests finding a balance. If you don’t have an emergency fund, start there by saving some amount to prevent future borrowing. Then focus on clearing high-interest debt first.

In this final quarter, short-term savings should come first, especially for emergencies or upcoming expenses like school fees, holidays, or January bills. Once you’ve secured that safety net, redirect any surplus toward long-term investments.

“If you do only one thing before the year ends, create and stick to a simple spending plan. When you control where your money goes, you control your future,” she concludes.