Despite the uncertainty that comes with changing times, one piece of personal finance advice remains eternal: Don’t let emotions take over your financial planning. Investors need to shift gears smoothly and comfortably adapt to change, says Rob Williams, managing director of financial planning, retirement income, and wealth management at Charles Schwab. 

“The reality is that economies and markets are always uncertain,” Williams tells Fortune. “There is never a time where they are not and that is normal, that is human, and that is part of being a successful investor is to be aware of that and to navigate that emotion and to take a long view.”

Three key considerations for 2025: Taxes, inflation, and risk management

According to Williams, preparing for a new tax environment, managing concerns about inflation, and bracing for higher risk management costs are three key considerations for the new year. The incoming administration will surely impact all three areas, but having a wealth management plan will help you navigate them smoothly and keep on track to retire comfortably.

“The best way to manage risk and achieve goals is to know your time horizon,” says Williams. “Have a financial plan, or for more affluent investors, a wealth management plan, that’s designed to continue to grow, but also preserve and use your wealth regardless of what occurs in 2025.”

Erin Cox, associate extension specialist for family and community economics at Virginia Cooperative Extension, says no matter your income or financial standing, having an active relationship with your money is paramount. That means setting goals and boundaries sooner rather than later.

“The sooner you can take an in-depth look at your finances and really understand where you’re at and where you want to go, the better,” Cox tells Fortune. 

Fight inflation with a diversified portfolio

Inflation was top of mind for many Americans in 2024 and will likely remain this year. Charles Schwab’s advice for maintaining inflation in 2025 includes:

• Stay invested in stocks: Equities have historically defended against inflation.
• Consider building buffers: Treasury Inflation-Protected Securities (TIPS) and bond ladders are two potential cushions.
• Don’t forget to maintain reserves: Keeping cash in a high-yield savings account or money market account can provide some peace of mind and extra cash to spend.

“The best way to manage inflation is to stay invested in a diversified portfolio of stocks that represents ownership of the US and global economy,” says Williams. “It will rise and fall in fits and starts at times, but on average, the diversified portfolio has continued to grow, and we believe is the most likely way to outpace inflation over time.”

And while no investor should ever completely shut the door on new technologies, like cryptocurrencies, more focus should be spent on areas where growth can happen for a long-term portfolio, he says.

“We believe that there’s a difference at this time between investments and speculation,” Williams says. “And speculation is a healthy thing in an economy, but we’re not suggesting [cryptocurrencies should be] part of the long-term investment portfolio at this time.”

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Treat your finances the way you treat a healthy business

A well-managed portfolio is profitable and stable, like a healthy business. Cox emphasizes that people need to avoid signing themselves up for more than they can manage. Taking on too much debt, for instance, is the number one mistake she sees clients make all the time.

“People should really view their personal finances in the same way that they view a business,” says Cox. “If your business is making no profit each month, and you set yourself up to where all of your payments are going out, nobody would call that a successful business.”

A growing number of families—including those earning six figures—are living paycheck to paycheck, according to Bank of America. But, instead of worrying about the market, Cox says people need to focus on covering the basics before trying to impress others. 

“People worry about the economy and they worry about things but, but really, where people need to be is they need to be so prepared within their own household and with their own finances that it doesn’t really matter,” she says.

For those struggling, though, she cautions against anything that says it is a quick fix—and be wary of “buy now, pay later” options. “We’ve made it so accessible that it doesn’t look like a bad thing,” Cox says. “It looks like it’s an easy way to get a nice pair of sneakers.”

In the end, actions as simple as paying with cash or talking about finances with people who have learned it “through the hard knocks” can be an effective way to boost one’s financial awareness, she adds.