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13 Best Money Moves Retirees Can Make in January 2026

Simple ways to reset your finances after the holidays for a fresh start.

By Stacy Garrels

Edited by Amanda Machado

Updated Jan. 2, 2026

January has a way of bringing financial reality into focus. After the holidays, many retirees are now taking stock of where spending went overboard and what they'd like to do differently moving forward.

The good news? January is one of the best months to hit pause and assess your current situation. With fewer distractions and a full year ahead, it's an ideal time to make small, thoughtful money moves that can ease stress and stretch your retirement dollars further.

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Assess the damage of holiday spending

Start by looking honestly at what the holidays cost you. Review your credit card statements, bank accounts, and receipts to see where money went — gifts, travel, hosting, or last-minute extras.

Knowing where spending crept up helps you decide what adjustments, if any, are needed going forward.

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Return what you can

If you received duplicate gifts, items you won't use, or purchases that no longer make sense, January is the time to act. To accommodate holiday gift-giving, many retailers extend return windows through January. Turning unused items back into cash or store credit can help offset holiday costs and prevent clutter.

Scale down spending where able

January is a good month to pull back on spend. You don't need to eliminate all entertainment, but dialing down dining out, impulse shopping, or convenience purchases can help restore balance.

Even short-term cutbacks can create breathing room while you reassess your priorities for the year.

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Create or revisit your budget

If you already have a budget, review it. If you don't, January is a natural starting point. Focus on what you want your money to support — comfort, flexibility, travel, family, or peace of mind.

A retirement budget doesn't need to be rigid, but it should reflect your current lifestyle, not the one you had ten years ago.

Create a plan to attack any lingering debt

Holiday balances or ongoing debt don't disappear on their own. January is a good time to set a clear strategy. Whether it's focusing on one balance at a time, consolidating payments, or simply committing to consistent progress, make a plan.

Any plan, even a modest one, often feels far more manageable than avoidance.

Try a no-spend challenge

A short no-spend challenge can be surprisingly helpful. For a week or even a month, limit purchases to essentials only.

The goal is to notice habits, reset expectations, and discover how little you may actually need to spend to feel content.

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Get reacquainted with your local library

Libraries offer far more than books. Many provide free access to movies, audiobooks, classes, museum passes, workshops, and even financial or technology resources.

Replacing paid entertainment with free options can quietly save money while adding structure and enjoyment to your routine.

Shop off-season for next year — only if needed

January can be a good time to buy certain items at a discount, but the key is intention.

Off-season shopping works best when you're selecting something you'll specifically need or use — and not stocking up on tin garland and holiday slipper socks because they're 90% off.

Be open about gift expectations

If holiday spending felt stressful, consider talking with family and friends now. Many people secretly want to scale back but don't know how to start the conversation.

Setting expectations early about next year — such as drawing names, limiting gift exchanges, or focusing on experiences — can ease financial pressure for everyone.

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Plan ahead for next year's charitable giving

January is a good time to think about how and when you want to give. Planning ahead can help you avoid rushed decisions later and align giving with your values.

Many structured options offer enhanced tax benefits and greater flexibility on timing. Quarterly gifting, donor-advised funds (DAFs), or charitable remainder trusts (CRTs) may be smarter options for your finances.

Required minimum distributions deserve attention

If you must take required minimum distributions (RMDs) from retirement accounts, January is a smart time to confirm deadlines and logistics.

Missing a required step can wreak havoc later in the year. Even if you've handled RMDs before, a quick check-in with your advisor helps ensure nothing slips through the cracks.

Shop insurance rates

Insurance costs have a sneaky way of creeping up on you. January is a good time to review policies for auto, homeowners, renters, and other coverage.

You may find opportunities to eliminate unnecessary add-ons or nab better rates — all without sacrificing protection.

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Do a streaming services audit

Like insurance premiums, monthly subscriptions stack up fast. Review your streaming and digital services and cancel anything you no longer use or truly enjoy.

Apps like MoneyPilot or Rocket Money can automatically find and cancel unused subscriptions on your behalf, potentially freeing up thousands of dollars each year.

Bottom line

January isn't about a resolution for perfection. It's about moving in the right direction with intentionality. Small, thoughtful money moves made early in the year can set the tone for 2026, helping you reduce stress, improve cash flow, and feel more confident about your retirement finances.

And the new year may be a great time to try a fresh, new side hustle, so you can pay off debts or build up your nest egg.

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