Happy Half Year! Time flies and first 6 months of 2018 are already here and gone! With the second half of the year fast approaching, it’s important to know how your finances are stacking up compared to your goals when the year began. What better way to that then to check out these quick tips for a mid-year financial check-up:
- What’s your credit? Your credit report is basically your permanent record. Your credit score shows how your spending, the frequency of your spending, and how you have repaid money owed. Therefore, it is so important to know where you stand. Check out annualcreditreport.com for a free report to see what you can qualify for and to check for signs of identity theft.
- Are you over paying Uncle Sam? Last year alone, millions of people overpaid on their taxes by thousands of dollars. Make sure your W-4 accurately represents your financial status so you don’t overpay or underpay on your taxes. Head over to irs.gov to see what your withholding allowance should be.
- Do you have savings growth? Life happens, and sometimes you need a safety net when it does. Often those who are struggling the most with finances are those who have little to no savings account, thus causing large negative effects when there’s an emergency. Even if you save $1 per day from now until the end of the year, you will have $180, which is better than nothing.
- How’s your spending? People work hard for their money, but then spend it like its burning a hole in their pocket. It is important to know how you spend and how much you are spending so you can support your lifestyle and save enough for your dream retirement. Track your spending for the next 30 days and break every cent into categories. Once this is done you can determine how you should be spending moving forward and what areas you might need to reconsider spending.
- Ready for holiday expenses? Even though holiday season is a few months away, now is the time to start depositing money so you don’t have to worry about what you spend when season comes around. You should create a holiday account and be depositing money into it all year so you can have a debt-free holiday all while seeing the smiling faces of your friends and family.
- Is your potential savings interest maximized? Almost every bank and credit union currently offer interest on accounts that is fairly high compared to standard rates. You can research different banks and rates on sites like checkingfinder.com or www.bankrate.com to find one that suites you. Often, you will have to have to meet certain requirements such as minimum debits or balance. However, the interest rates usually make the hoops you must jump through worth it. Make sure where you deposit your money is FDIC or NCUA insured.
Worried about where you stand after your mid-year financial check-up? Reach out to your Financial Advisor and see the steps you can take to fulfill your 2018 financial goals. Happy where you stand? Explore your financial plans moving forward and what you need to do to set yourself up for your dream retirement!
Disclosure: This information is provided as general information and is not intended to be specific financial guidance. Before you make any decisions regarding your personal financial situation, you should consult a financial or tax professional to discuss your individual circumstances and objectives.
Content derived from https://www.nfcc.org/tools-and-education/money-management-tips/time-for-a-mid-year-financial-check-up/