New Years always feels like a natural reset.
Whether you set New Years resolutions for yourself or not, January is the perfect time to review your financial plan and make sure it still supports what matters most to you, whether that’s saving for retirement or purchasing a new home.
💡Here are 5 things to review at the start of each year:
- Take inventory
- Revisit your goals
- Review your savings strategy
- Check your investments
- Review your risk management
If you’re not confident your current strategy is fully aligned, or you’d simply like a second opinion, we’re happy to help.
▶️ Watch the full video below for more details!
The 5-Step Financial Checkup You Should Do Every Year Video Transcript:
When was the last time you reviewed your entire financial picture? For most people, it’s been longer than they think. And early in the year is the best time to fix that. So today, I want to share five smart things to review to make sure your money is truly working for you.
First, take inventory.
Know your take-home pay, where your money went last year, what debt you have and the interest rates on it, and what assets you’ve built, like bank accounts, investment accounts, and retirement accounts.
Second, revisit your goals.
Are you saving for retirement, education or a future home purchase? More importantly, do your current strategies still align with those goals?
Third, review your savings strategy.
If you have a 401(k), are you contributing enough to get the full employer match? Do you have access to an HSA or an FSA, and are you using it? And if you have extra cash flow, could you be saving or investing more efficiently?
Fourth, check your investments.
After such a strong market last year, your portfolio may no longer match your risk tolerance or your time horizon. Rebalancing is key and helps keep your plan on track.
And fifth, review your risk management strategy.
That means emergency savings and insurance. You want liquid funds to help for the unexpected and coverage that fits your life today, and not years ago.
Whether you’re managing your finances on your own or working with an advisor, it’s important to have a sound, up-to-date financial plan. And if you’re not confident your strategy is fully aligned, or you simply just want a second opinion, I’m happy to help. You can reach out to me directly at [email protected]. Let’s make this year a strong one for you and your finances.
