This is the time of the year that we all take a moment and reflect on the things we want to do different and better for our New Year.
We are digressing from the usual health, weight, and family ideas, to give you a few ideas for your financial new year resolutions.
- Review your monthly expenses and see if there are some unused expenses you can rid yourself: No matter how hard we work at it, unused expenses creep into our lives, and with automatic monthly billing even more items find their way into our lives. Take a moment to review your expenses and see if there are a few savings you can find.
- Dust off your Will and review the main functional persons, if there are changes that need to be made, set a date to have them completed, maybe by the end of the first Quarter 2010?
- Consolidate any old retirement plans (401k’s, IRA’s ect)
- Review your Beneficiaries for your retirement plans, times change, and you may not have the correct beneficiary if your situation has changed
- Review your 401k Allocation, it probably needs some attention; With the dramatic moves in asset classes it is a good time to review your allocations and possible new investment options.
- Calmly reflect on the past two years; How did you handle it? Are you aggressive, conservative or just out? Even with the dramatic move in equity prices since March, most markets are still well under their highs of 2007, many by more than 30%. Just because we have had a good move does not mean the markets are headed for destruction again. Of course anything can happen, but reflect on your behavior and check with a professional if you need assistance.
- Lastly, but most important, Don’t sweat the small stuff! Good financial habits will pay off in the long run and extra stress will not do us any good, especially when it concerns our Financial Well-Being! Relax and let the miracle of compounding work for you.
Have a Safe, Fun, and Super Holiday, and we will talk to you in 2010!
JK and J.K. Financial, Inc.