How To Do a Year-End Financial Review

As the year comes to a close, many of us start planning holidays or setting New Year’s resolutions. However, there’s one year-end habit that can be more rewarding than any sale or trip: a personal financial review.

Just as a medical check-up helps you spot early signs of trouble, a financial review helps you understand what’s working, where money might be slipping away, and how you can do better in the year ahead.

This guide outlines seven practical steps that are simple, specific, and suited to life in Singapore. You’ll find no financial jargon or vague “save more” advice, just clear, actionable steps to help you strengthen your finances before 31 December.

Step 1: Spot spending patterns and hidden leaks

Before you can start growing your money, it helps to see where it’s currently going. Spend about 15 to 20 minutes reviewing your spending over the past year. Don’t just look at monthly summaries, focus on patterns.

Open your banking or finance app and switch to a 12-month spending view. You might notice a few surprises, such as a gym subscription you no longer use or frequent food delivery charges that have quietly added up.

Pay attention to these areas:

Recurring costs: Subscriptions or memberships you don’t use.
Emotional spending: Impulse buys or food delivery treats that didn’t add much value.
Overlaps: Duplicate services, such as two cloud storage plans or two music apps.

Once you find a recurring cost you can do without, cancel it straight away. Even if it’s only S$10 a month, that’s S$120 a year saved, money that could support your next goal or investment.

Try apps like Fortune City or your bank’s spending tracker to make the process more engaging. You can also set category alerts, for example, to cap dining-out expenses at S$300 a month, so you’ll know when you’re close to your limit.

Step 2: Review your financial goals and measure progress

Now it’s time to ask yourself: did you move closer to your goals this year?

Whether you aim to save for a holiday, build an emergency fund, or clear a debt, take a moment to see how much progress you’ve made. Open your goal tracker, or start one on Notion or Google Sheets, and note down:

The goal: For example, save for BTO down payment – S$20,000
Your progress so far: For example, “S$12,000 saved”
The remaining amount needed to reach the goal

If you’ve achieved around 70% or more, take a moment to acknowledge your progress. If you’re not quite there yet, don’t worry.

Break the remaining target into smaller, more manageable steps. Instead of “save S$6,000 next year,” try “save S$500 each month.” Smaller milestones make the process easier and help you stay consistent.

Set up a standing instruction to transfer money into your savings or investment account right after payday. This “pay-yourself-first” approach helps you stay on track without relying on willpower.

Step 3: Review your insurance coverage

A person in white dress holding a white pen and paper

Insurance may not be the most exciting topic, but it’s the safety net that protects everything you’ve worked for. As life changes, your insurance needs can change as well.

Make it a habit to review your policies once a year and consider the following questions:

Have your responsibilities changed? (Marriage, a new child, or elderly dependants?)
Has your income or lifestyle shifted? (A higher income may call for more coverage)
Are your beneficiaries still up to date?

If you bought your policy a few years ago, it might no longer match your current needs. You may, for instance, require higher hospital coverage or better critical illness protection.

If you have a financial adviser, set up a short review to discuss any updates. If you prefer to handle it yourself, use comparison tools such as MoneyOwl, Planner Bee, and CompareFirst to see if your coverage is still suitable and competitively priced.

You can also use an insurance calculator to get a quick snapshot of your current protection gaps and identify areas that might need more coverage.

Some insurers offer lower premiums if you pay annually instead of monthly. This is also a good time to review your beneficiaries for life insurance, CPF nominations, and bank accounts, so your loved ones remain protected.

Step 4: Review your accounts and net worth

Now it’s time to look at the bigger picture: your net worth. This shows what you own compared to what you owe.

Start by listing your assets:

Cash and savings
CPF balances (OA, SA, MA)
Investments (stocks, ETFs, unit trusts, robo-advisors)
Property equity (home value minus mortgage balance)

Next, list your liabilities:

Home loans
Car loans
Credit card balances
Education or personal loans

Subtract your total liabilities from your total assets to find your net worth. Even if the result is not what you expected, it’s an important reality check and a useful point to build from.

Many local banks now let you link several accounts on one dashboard for a clearer overview. Set a reminder every three months to update your figures. You’ll start to see your progress more quickly than you might expect.

Step 5: Review and rebalance your investments

Your investments need regular attention too. Market conditions change over time, and your portfolio may become unbalanced without you noticing.

For instance, if stocks have performed well this year, they might now make up a larger share of your portfolio than you planned. Rebalancing helps you return to your original allocation, such as 70% stocks and 30% bonds.

Here’s how to review your investments:

Compare your current allocation to your target mix. If one area is overweight, move funds to bring it back in line.
Check your fees. High management fees can reduce your returns over time. Platforms such as FSMOne or Endowus let you compare expense ratios and switch to lower-cost options if needed.
Review your goals. Make sure your investments still suit your risk level and time horizon. For example, if you plan to buy a home soon, consider shifting part of your portfolio into safer assets.

Set a reminder every three months to review your performance. This simple routine helps you stay disciplined without tracking the market too often.

Step 6: Make year-end tax-smart moves

White ceramic mug with coffee on top of a planner

Timing is important here. In Singapore, 31 December is the deadline for top-ups and contributions that qualify for tax relief in the next assessment year.

Here’s what to review:

CPF top-ups: You can top up your CPF Special or MediSave Account for yourself or your loved ones. These top-ups may qualify for tax relief while helping you build your retirement savings with guaranteed interest.
SRS (Supplementary Retirement Scheme): If you have extra funds, consider contributing to your SRS account before 31 December. Contributions are tax-deductible and can also be invested for long-term growth.
Other deductions: Keep receipts for any courses or professional development programmes you paid for this year, as some may qualify for tax deductions under IRAS.

Before making your next move, you can estimate how these contributions and deductions might affect your taxable income using the IRAS Tax Calculator. It’s a quick way to visualise potential savings and plan your year-end actions more effectively.

Create a simple checklist of these actions and set a reminder around mid-December. This helps you avoid the year-end rush when banks and platforms tend to get busy.

Step 7: Refresh your budget for next year

With inflation and changing living costs, it’s a good idea to review your budget before the new year begins.

Update your spending categories to reflect current prices. For example, groceries and transport costs have risen slightly in 2025, so you may want to include a five to 10% buffer.

Instead of tracking every expense in detail, consider using the 50-30-20 rule:

50% for needs (bills, rent, groceries)
30% for wants (entertainment, travel)
20% for savings and investments

The aim is not to be perfect but to stay aware of where your money goes. A flexible, realistic budget is much easier to maintain.

Bonus: Smart Singapore-specific moves most people overlook

Here are a few simple but effective actions that can make a real difference:

Update your CPF and insurance nominations. Check that your dependants are listed correctly. It’s free and only takes a few minutes to do.
Request fee waivers. Many banks are willing to waive annual fees or late charges if you ask. Be polite but firm, it often works.
Close unused accounts. Dormant brokerage or trading accounts can sometimes incur hidden maintenance fees, so tidy them up if you no longer use them.
Optimise your emergency fund. Divide it between an instant-access savings account, a high-interest account, and short-term T-bills. This helps you earn more while keeping your funds accessible.

Wrap-up: Start your new year with clarity and confidence

A year-end financial review may seem daunting, but it’s one of the most effective ways to begin the new year with a clear plan.

By spending a few hours reviewing your spending, goals, insurance, investments, and taxes, you’ll gain a solid understanding of where you stand and what to prioritise next.

Your finances don’t need to be perfect, they just need direction. Make one small improvement today, and your future self will be glad you did!