Why 2025 could be the perfect time to start investing
Prioritizing your present happiness doesn’t need to come at the expense of your future financial prosperity.
4 min read
As Europeans look forward to 2025, many are looking to prioritize their present happiness and day-to-day expenses, over growing their wealth. However, many are already making investments a regular part of their plans, proving that you don’t have to sacrifice one for the other. With a balanced approach, you can make the most of the present while setting yourself up for a more secure financial future.
Why many don’t invest
For many, investing might feel like venturing into uncharted territory, fraught with risk and uncertainty. According to this recent survey more than half of those interviewed (56%) don’t feel knowledgeable enough to confidently manage their money, let alone invest it. Without a solid understanding of finances, investing can seem like a labyrinth, with an added fear of losing money adding to the hesitation.There’s also the information overload factor: With so many financial products and strategies out there, it can be overwhelming to know where to begin. Compounding this is a tendency to equate investing with quick and risky gambles rather than steady wealth-building. Plus, it’s impossible to ignore the financial pressures of our times. With rising costs affecting basic living expenses, the idea of putting money into long-term investments might seem like an unaffordable luxury.
Live in the now or invest in the future?
When it comes to financial priorities, it’s perhaps little surprise that many Europeans are leaning toward spending on experiences over investments. A survey carried out by YouGov for N26 revealed that travel, leisure, and new experiences are high on the financial priority list for 2025: nearly half (44%) of respondents plan to dedicate more of their monthly budgets to these pursuits. This is understandable, if the value of investing isn’t clear, spending money to create memories in the here and now feels much more satisfying than stashing it away for a hypothetical tomorrow.However, it appears that while many are focused on enjoyment, there’s also a practical side emerging: across all surveyed countries, almost 4 out of 10 respondents (37%) want to save more or dedicate funds to everyday expenses. But prioritizing your lifestyle and investing in your future don’t have to be mutually exclusive. You don’t need to stop traveling or cut back on necessities to start investing. Instead, it’s about finding a balance that fits your life.
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Even small changes, like opting for a trip closer to home or choosing more affordable accommodation, can free up funds to set aside for investments. Investing isn’t about how much you contribute, but forming habits that allow your money to grow steadily over time.
Why 2025 is the ideal time to start investing
If you’ve been waiting for the “right time” to start investing, 2025 might just be it. The beginning of a new year is a natural time for fresh starts. It’s an ideal moment to reflect on your financial habits and set new ones that support your goals. Unlike the misconception that there’s a “perfect time” to invest, the truth is that the best time to start is now. Every small step you take, no matter how modest, can bring you closer to financial security.Investing isn’t about perfection or accumulating vast wealth quickly, it’s about progress and consistency. The new year offers a clean slate to build habits that can grow your money without compromising your current lifestyle. Whether it’s setting aside a small portion of your income or increasing existing investments, 2025 is your opportunity to make financial growth a regular part of your life.
Small habits, big results
You don’t need to overhaul your lifestyle to begin investing. Instead, focus on small, consistent actions, like setting aside a modest portion of your income each month. These micro-habits can have a compounding effect, building a foundation for long-term financial growth. According to the YouGov survey, 1 in 5 Europeans are already investing regularly, with 15% planning to increase their investments in 2025, so you’d be far from alone if you took the leap.A great approach towards building new habits is to tie them to your identity. Try thinking of yourself not just as someone who wants to save money, but as someone who actively wants to invest in their future because they are an investor. By aligning your actions with this identity, the habit becomes more natural, and 2025 becomes the year you confidently say, “I’m an investor.” By joining the growing movement of Europeans who are making regular investments, you can take a manageable first step or build on what you’ve already started, turning investing into a sustainable habit that aligns with your financial goals.
Grow your money with N26
You don’t have to be a financial expert to start investing. N26 offers straightforward, reliable options for all risk levels from ETFs to crypto. Our platform is designed to meet you at your comfort level, helping you invest in a way that fits your goals. There’s really no better time than now to take the first step toward growing your wealth and building a secure financial future!
