By Aaron Allen, The Seattle Medium
If the financial goals you set in January have been derailed by rising grocery prices, higher utility bills or unexpected expenses, financial experts say now, not next January, is the time to regroup.
With inflation continuing to strain household budgets and the cost of everyday necessities remaining high, financial educators are encouraging people to treat the middle of the year as an opportunity to reassess their spending, adjust their goals and build healthier financial habits without the guilt that often comes with abandoned New Year’s resolutions.
Rather than striving for the “perfect” budget, Verity Credit Union is encouraging people to focus on creating a financial plan that reflects their current circumstances and personal priorities.
“Shifting or changing a financial goal in July is actually a sign of smart financial adaptation, not a setback,” said Tierra Bonds, community financial education specialist at Verity Credit Union. “The reality is life changes, and our financial plans have to change with it.”
For many families across the Puget Sound region, higher housing costs, grocery prices, insurance premiums and utility bills have forced difficult financial choices this year, making budgets created in January increasingly difficult to maintain.
Financial educators say many households are confronting an important reality: a budget that no longer works is not necessarily the result of poor planning or a lack of discipline. Rising living costs have changed the financial equation for many families, making a mid-year adjustment a practical response rather than a sign of failure.
Instead of viewing those changes as personal setbacks, Bonds encourages people to see them as an opportunity to make intentional adjustments.
“I think the idea behind the mid-year reset is giving us a chance to have some self-reflection and self-awareness,” said Bonds. “We often might think it starts with the budget, the spreadsheets, and the apps, but before we can even get to that, it starts with the inner reflection.”
Bonds teaches Verity Credit Union’s Pathway to Wealth and Resources financial education curriculum, where she works with individuals and families on budgeting, saving and preparing for long-term financial goals, including homeownership. She says meaningful financial change begins with understanding the motivations behind spending habits rather than simply tracking numbers.
“We spend too much time asking, ‘Where did my money go? Why didn’t I do what I said I wanted to?’ but we don’t ever ask, ‘What was my money trying to do for me?'” said Bonds. “Sometimes it was helping us feel safe, helping us care for our families in an unexpected way, or just finding a little joy during stressful seasons. Money isn’t just math; it’s also emotion and experience.”
Once people understand their spending habits, Bonds recommends making thoughtful adjustments instead of overhauling an entire budget.
She encourages families to begin by reviewing the previous 60 days of spending to determine whether their money is supporting the things that matter most. If parts of the budget are already working, she says there is no need to change them.
Another helpful strategy is separating expenses into three categories: fixed monthly bills, occasional or non-monthly expenses such as school supplies, car registration or holiday shopping, and flexible spending. Whatever remains after covering essential costs becomes the amount available for discretionary purchases, giving households a more realistic picture of how much spending flexibility they actually have.
From there, Bonds recommends making one or two manageable changes rather than attempting a complete financial overhaul.
“Every recurring expense represents a decision that you made at one point in time,” says Bods. “The question is to ask whether that decision still fits your life today. If you got a subscription to watch one movie and you haven’t watched it in six months, does it still support the person you are becoming? Make the decision intentionally instead of letting the habit make it for you.”
Small adjustments, such as canceling an unused subscription, packing lunch one extra day each week or increasing an automatic savings transfer by just a few dollars, can create meaningful progress over time without disrupting a family’s entire lifestyle.
Bonds also recommends setting aside 15 to 30 minutes each week for a personal or family “money date” to review recent purchases, discuss upcoming expenses and make small course corrections. Regular check-ins, she said, can help prevent financial challenges from becoming overwhelming.
Planning ahead is another important part of a successful reset. Rather than waiting until back-to-school shopping or the holiday season arrives, Bonds encourages families to estimate those costs now and begin setting aside small amounts from each paycheck.
She also believes people often overlook the importance of celebrating small victories along the way.
“If someone’s ultimate goal is homeownership, but they don’t have the home yet, it’s important to acknowledge the little steps, checking your credit report, meeting with a lender, starting a savings account,” said Bonds. “At Verity, we ask participants to identify their next ‘power step’ and decide how they will celebrate it. It doesn’t mean a trip to Jamaica because you checked your credit report! Keep it creative and budget-friendly like an hour to do nothing, a walk, or ice cream after dinner.”
Recognizing those incremental milestones, Bonds said, helps people stay motivated and reinforces positive financial habits that lead to long-term success.
As families prepare for the second half of the year, Bonds believes the most important adjustment is not necessarily to a budget spreadsheet but to the way people think about money and financial success.
“Don’t confuse today’s economy with your financial capability,” she said. “Rising costs have created challenges for almost every household, regardless of income. Instead of asking ‘What’s wrong with me?’ ask ‘What’s changed, and how can I respond to it?’ That shift moves us from the shame game to the strategy game.”
For households feeling the pressure of today’s economy, the message is simple: it’s never too late to reset. By taking an honest look at where their finances stand today, making small, intentional adjustments and focusing on progress instead of perfection, families can finish the year on stronger financial footing without waiting for another New Year’s resolution.
