10
M AY / J U N E 2 0 1 5
Prepare for the
Unexpected
Review your will and, if applicable, your estate plan. Have any
changes taken place that require
updating your will or estate plan?
Make sure those you leave behind
understand your wishes and can
find what they might need.
Evaluate Investment
Performance
Are you satisfied with the return
on investment performance compared to the rest of the market?
Remember, investing is for the
long term, but strategies differ and
can enhance or destroy the earnings potential for investments.
Time for a Financial
Checkup
Whether you’re retired or on the
brink, it’s smart to check your assets
by Doris Settles, Staff Writer
You’re done with your annual
physical and your routine exams,
and you have finished with your
taxes for 2015. This is an ideal
time to do a financial checkup,
too.
If you were driving to a vacation destination, you’d stop
occasionally and look at the map,
wouldn’t you? That way you know
Review
Indebtedness
you’re headed in the direction
you intended to go. An annual
financial checkup serves the same
purpose. It provides you with the
opportunity to review how you’ve
done financially over the past 12
months and make sure you’re still
headed in the right direction.
Identify Your Goals
You can’t get where you’re going
without knowing your destination. And while there may be
many paths to your destination,
deciding on the best route takes
planning and understanding your
specific situation. Have things
changed since you last did this
financial checkup? Why? What
have you learned about what you
want and what you are willing to
do to achieve that goal? Planning a
realistic route to your goals makes
any transition much easier.
Protect Your Assets
Next, evaluate how to protect
your assets. Review your homeowner’s or renter’s insurance,
health insurance and auto insurance policies. Don’t forget to protect the greatest asset of all – your
income-earning ability – with
long-term disability insurance.
What is your debt-to-income
ratio? Do you have credit card
debt? If so, how are you going to
pay it down this year? Should you
refinance your mortgage? Go to
AnnualCreditReport.com for a
free credit report to check your
credit score.
Reduce Income
Taxes
How can you reduce next year’s
taxes? Do you foresee medical
deductions that can be bunched
or accelerated in order to reach
the threshold for deducting?
Review Your
Retirement Plans
If your employer offers a 401k
or 403b plan, are you contributing
the maximum voluntary amount
allowed? If not, are you funding an
IRA? Or both? Search for a retirement calculator online and see
how you’re doing saving for your
retirement.
Whether you’re already retired
or still in the planning stages,
doing an annual financial checkup
helps you get where you want to
be easily and effectively. Enjoy the
ride!