Six financial spring cleaning projects to tackle on a rainy day

April 8, 2020   |   Financial Life Planning

Establishing a routine and having a project (or projects) to make progress on and check off the list can be helpful, motivating, and even therapeutic. For families, working together on projects that may have fallen to the back burner can create teachable moments, helpful conversation, and a shared sense of accomplishment.

So, for those days when weather doesn’t permit you to work outside, here are six financial spring cleaning tasks you should add to your rainy-day checklist:

  1. Review your financial foundation. Do you have an emergency fund? How is it holding up? Spend some time examining your expenses and income for the upcoming months. Look for ways to trim some fat: Are you paying for monthly subscriptions you no longer use or need? Have you participated in “retail therapy” during this time and need to dial back extra spending? If you need more cash on hand, you might consider perhaps temporarily pausing retirement plan contributions. Just don’t forget to start them again once you are able to do so.
  2. Check your credit. Identity theft and fraud are on the increase. Take time to review your credit reports: Have accounts been opened in your name that you did not initiate? Does anything look amiss? To help prevent others from opening fraudulent financial accounts in your name, you might consider locking your credit.
  3. If you have excess cash, consider investing it while markets are lower.  It could make sense for you to invest excess cash that is sitting on the sidelines earning little or no interest. Contact us if you have questions or would like to discuss an appropriate strategy based on your specific situation.
  4. Review your estate documents. When was the last time you updated your will? (You have a will, right?) Who have you named as your beneficiaries? Your POAs?  Does anything need to be changed or updated?
  5. Review your insurance policies. When was the last time you reviewed your policies with your advisor or agent? Are you paying too much? Are you protecting everything that’s important? Do you have too much? Too little? Has your situation changed?
  6. Organize your digital accounts. Take stock of your accounts. Do you need to update any information? Have you changed your passwords recently? If you don’t use one already, we encourage you to start using a password manager. Also, now is a great to clean out your files, shred outdated documents, and opt for paperless statements.

We’re here to help

The best part about this kind of spring cleaning is that you don’t have to walk it alone. If you have any questions or need any help with anything on the list above, just give us a call or schedule an appointment with your advisor. If you don’t currently have an advisor, we’d love to meet you and hear about your specific situation and needs. Schedule a no-pressure, complimentary introductory meeting today.

If you’re one for lists, check out this comprehensive list of physical and financial spring cleaning tasks created by our partners at Everplans.

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