Money Rehab with Nicole Lapin
Episode: Science-Backed Financial New Year's Resolutions That Work
Date: December 31, 2025

Episode Overview

In this special New Year’s episode, Nicole Lapin dives into science-backed strategies for setting financial resolutions that actually stick. Instead of vague and uninspiring goals like “make a budget” or “save more money,” Nicole gives listeners practical, research-driven resolutions designed around psychology and behavioral economics. These three fresh approaches—building friction, identity-based investing, and setting anti-goals—are framed as the path to real, sustainable financial progress in 2026.

Key Discussion Points & Insights

1. The Problem with Traditional Resolutions

• Outdated Advice: Nicole notes that every year we hear the same advice: make a budget, save 10%, track your spending, etc.
• Why They Fail: These resolutions are “vague, joyless and they require you to white knuckle your way through day to day decisions. Your brain hates that.” (04:15)
• The Need for Science-Backed Change: Nicole emphasizes using psychology and behavioral research as the foundation for more effective resolutions.

2. Resolution #1: Make Your Friction Your Financial Superpower

(Begins at 04:45)

• The Power of Friction: Willpower is unreliable; instead, Nicole suggests using friction (adding or removing small hurdles) to influence behaviors automatically.
• Behavioral Economics Backing: She references Nobel Prize winner Richard Thaler and suggests, “people naturally default to whatever is easiest, even if it's bad for them financially.” (05:23)

Ways to Add Friction to Spending

• Delete saved credit cards from shopping apps and sites.
• Turn off Tap to Pay on your phone.
• Implement a “$100+ cooling-off timer”: wait 24 hours before big purchases.

Ways to Remove Friction from Investing

• Keep investing apps prominent on your phone.
• Set up automatic monthly investments.

Quote:
"This is how you build wealth. Not by removing all the fun from your life, but by designing your environment so that the right decisions happen with less effort than the wrong ones." (06:35)

3. Resolution #2: Use Identity-Based Investing

(Begins at 07:01)

• Concept: Real change happens when you adopt the identity of the person you want to be, not just by setting goals.
• Self-Consistency Theory: “Once you believe something about yourself, you subconsciously act in alignment with that belief.” (07:12)
• Practical Examples:
  • Tell yourself: “I’m the person who doesn’t miss contributions.” Contribute to retirement accounts, even with small amounts.
  • “I'm a person who cares about how much money I have”—so you check accounts, read paystubs, etc.
• Why it Works: Identity-based behaviors become automatic, like a runner who just runs because it's who they are.

Quote:
"Identity-based behavior is automatic. If you tell yourself that you’re someone who runs, you don’t negotiate with yourself about a jog. You just go." (08:08)

4. Resolution #3: Set Anti-Goals

(Begins at 08:35)

• What Are Anti-Goals?: Instead of only setting goals for things you want to do, set hard boundaries for things you don’t want to do.
• Backed by Research: Stanford and Harvard studies show anti-goals remove decision fatigue and protect from self-sabotage.
• Examples of Powerful Anti-Goals:
  • "I will not let my checking account drop below $500."
  • "I will not carry a balance on high interest credit cards."
  • "I will not buy anything on sale that I wouldn’t buy at full price."
  • "I will not invest in anything I can’t explain to a friend."
• Benefits: Reduce decisions, create clarity and peace, and prevent financial mishaps before they start.

Quote:
“Anti-goals make money management easier because you’re not deciding in the moment, you already decided.” (10:05)

5. Why These Strategies Work

(10:35 – 11:30)

• Removes Willpower Dependence: “Friction, identity and anti-goals rely on structure, not self control.”
• Reduces Decision Fatigue: “The average adult makes 35,000 decisions per day. Your brain cannot debate every single purchase. Instead, you decide once with good information and live by it.”
• Aligned with Human Nature: “They work with human psychology, not against it.”
• Build an Environment for Success: “Design a life where good money decisions become the default.”

6. Bonus: The Power of Habit Hooks

(11:31 – End)

• Definition: A “habit hook” attaches a new financial habit to something you already do.
• Examples:
  • After I make coffee, I’ll check my transaction history.
  • After I get paid, I’ll move $20 to my investment account.
  • After I fill my gas tank, I’ll put $5 in savings.
• Reason It Works: “Your brain loves, loves, loves routines. Attach a financial habit to a non-negotiable part of your day and the money behavior becomes non-negotiable too.” (End)

Notable Quotes & Memorable Moments

• On willpower and friction:
  • “Willpower is a terrible tool for long term change. Friction, identity and anti-goals rely on structure, not self control.” (10:35)
• On anti-goals:
  • “Anti-goals create clarity, simplicity and peace. Three things we all need more of in our financial lives.” (10:20)
• On habit hooks:
  • “Attach a financial habit to a non-negotiable part of your day and the money behavior becomes non-negotiable too.” (End)

Timestamps for Key Segments

• Traditional Resolutions Critiqued – (04:08 – 04:45)
• Financial Friction & Practical Steps – (04:45 – 07:01)
• Identity-Based Resolution – (07:01 – 08:35)
• Setting Anti-Goals – (08:35 – 10:35)
• Science Behind the Strategies – (10:35 – 11:30)
• Habit Hooks Tip – (11:31 – End)

Conclusion

Nicole Lapin delivers a science-backed, practical blueprint for setting money resolutions that sidestep the usual willpower traps and align with real human psychology. By employing friction, identity, anti-goals, and habit hooks, listeners are encouraged to shift their default behaviors and build a financial life that’s both sustainable and automatic. Her accessible style and actionable steps make this a perfect listen for anyone aiming to truly rehab their wallet in the new year.