An annual financial checkup is as important for your finances as a physical is for your health. You can review your financial goals, determine where you are in reaching them, and make necessary adjustments. Key elements of a review include:
Identifying Your Goals
The first step is setting and evaluating your financial goals. Did you reach the goals you set for yourself last year? If not, do you need to save more money? Reduce debt? Both? Write down your goals so you can track your progress in reaching them throughout the year.
Reviewing Your Budget
If you don’t have a monthly budget, this is the perfect time to make one. If you do have one, is it realistic? If you’re never able to stay within your budget, it can defeat the purpose of having one. (Review Why Isn't My Budget Working?) Other useful articles:
Calculating Your Debt
Look at your loan and credit card balances. Check your interest rates - is it time to refinance? Combine balances? Request a free copy of your credit reports and review them for accuracy. You can also contact your lenders to discuss lowering your rate or making other, more favorable, arrangements.
Evaluating Your Retirement Plan
Are you taking advantage of your employer’s 401(k)? Would you benefit from opening an IRA? Is it time to get expert advice?
If you’d like help, just let us know. We can help you review your financial position – no strings attached.
The views, information, or opinions expressed in this article are solely those of the author and do not necessarily represent the views of Citizens State Bank and its affiliates, and Citizens State Bank is not responsible for and does not verify the accuracy of any information contained in this article or items hyperlinked within. This is for informational purposes and is no way intended to provide legal advice.