Maintain a Financial Plan for Yourself
You may not realize it, but April is National Financial Literacy Month — the same month as the tax deadline. During this month, you may want to take the opportunity to brush up on your financial knowledge and plan of action.
So, if you’ve never made a formal financial plan for yourself, what are some of the top items you should consider?
Budgeting
Do you have a household budget? If not, now is a great time to establish one. If you do have a budget, examine it regularly to ensure that it still reflects your financial reality and goals.
Debt
Take stock of your debt: Are you managing it responsibly and paying it down? You can always adjust your strategy for paying off debts. For example, if your income increases, you could start repaying more aggressively to avoid spending extra money on interest.
Credit Score
Do you know your credit score? It can play a big role in your financial outlook. Lenders consider your credit score when you apply for loans of all kinds, and it can affect your prospects for jobs and places to live, too.
Retirement Savings
It’s a good idea to check in on your retirement strategy semi-annually. What are your goals, and are you on track to meet them? Check to see if there are any employer benefits, like a 401(k) match, that you aren’t taking advantage of yet.
Investments
Do you have a diversified investment portfolio? Do you have cash that could help fund more investments? If you’re unsure of where to start, you can talk to a qualified financial planner to start building a strategy that works for you.
Insurance
Insurance is an important piece of financial planning. Take the time to review your auto, home and life insurance policies to ensure you have the right coverage for your current stage in life.
As you build out your financial profile, feel free to get in touch for answers to any questions you may have about choosing the right insurance coverage.
