Why Financial Resolutions Fail and How to Fix Them

Every January, South Africans make the same familiar promises. Save more. Budget properly. Finally get finances under control. By March, reality sets in. Unexpected expenses crop up, debit orders pile up and good intentions fade under the weight of real financial pressure.

The issue is rarely a lack of discipline. More often, financial resolutions fail because they are too broad to address the specific problem causing the most stress. According to Brett Caminsky, Director at Atlas Finance, meaningful financial progress starts when people focus on one pressure point at a time and approach it with a clear, practical plan.

In a climate where many households face rising living costs, high credit usage and unpredictable income cycles, reframing financial improvement as a targeted journey offers a more realistic route to stability. Instead of chasing the vague idea of “better finances”, Caminsky suggests identifying and addressing the single issue that has the greatest impact on daily life.

“Understanding what you owe and how to budget will help reduce money worries,” says Caminsky. “By creating a monthly budget, you can clearly see your financial commitments and plan for them. The path forward becomes far more manageable. Real progress comes from small, deliberate steps, not from trying to fix everything at once.”

Caminsky outlines a simple three-step approach to help individuals move from feeling overwhelmed to making measurable progress.

The first step is identifying the financial responsibility holding you back the most. Rather than listing multiple goals, individuals should ask a direct question: what is the single financial stress affecting my life the most? For some, it may be a retail account balance that never seems to decrease. For others, it could be the pressure of supporting extended family or servicing multiple debts. Pinpointing this priority makes it easier to budget intentionally and avoid overspending.

Spending beyond one’s means only deepens financial strain. Listing expenses and understanding exactly what is owed provides clarity and helps identify where the real pressure lies. Once this is established, budgets can be aligned with intention rather than guesswork.

The second step is mapping out a realistic, step-by-step plan. Once the problem is clearly defined, it can be broken down into manageable actions. Someone struggling with overdue accounts may need to restructure repayments or renegotiate payment terms. A budget becomes the guide, helping individuals stay within their limits and track progress without overcommitting.

This process shifts financial stress from an emotional burden to a practical roadmap. Knowing exactly how much is owed and what needs to be paid each month creates structure and accountability.

The final step is consistency and tracking small wins. Financial progress rarely comes from dramatic changes. It is built through steady, repeatable habits. Simple accountability tools such as reviewing a budget weekly, tracking outstanding balances or consulting a financial adviser when needed help keep plans on course.

Celebrating small victories is equally important. Paying off a single store account, completing a month without additional borrowing or sticking to a spending boundary reinforces positive behaviour. Over time, these moments build confidence and help individuals see themselves as capable of progress, rather than permanently behind.