Participant Corner: Planning Financial Futures

Do you spend more time planning your annual vacation than you do thinking about your personal finances? If so, you’re not alone. A lot of people put off financial planning or avoid it altogether.

Personal financial planning is an ongoing, lifelong process. If we break it down into small, achievable tasks, it’s a lot less daunting and can pay huge dividends to you and your family.

Resolve to make yourself financially fit in 2023:

The following personal finance calendar may help you get started.

January

• Manage your debt. Start by paying off all high-cost and consider establishing an emergency fund.
• Create a cash flow statement of prior year income minus expenses. Calculate personal net worth.
• Consider if your portfolio’s original target asset allocation needs rebalancing.
• Evaluate your contribution amount and save enough for your goals and take advantage of any available employer match.

February

• Review your insurance policies to be sure they are reflecting current needs

March

• Consider using any bonus or similar windfall to pay down debt and/or build an emergency fund.
• Check your credit report as improvements may allow lower loan costs.

April

• File your income tax return by April 15 (unless extensions are available).
• April 15 is the last day to make an IRA or Education Savings Account for the prior year.
• Evaluate whether Roth after-tax or traditional pre-tax contributions make sense for your contributions.

May

• Create an inventory of your home and personal property for insurance or estate planning. Record a phone video of your valuable possessions and store the video in a secure, remote location.
• Review your estate plan.

June

• Consider a mid-year review of your finances to confirm you are on track year-to-date income and expenses.

July

• Consider reading one book on personal finance or investing.
• Designate or update your own beneficiary on your retirement plan.

August

• Compute if your vacation spending is as you projected.

September

• Consider establishing a Christmas/Holiday spending budget.

October

• Consider beginning year-end tax planning.
• Consider upcoming open enrollment season and any changes with your health insurance coverage and other employer benefits.

November

• Keep your holiday budget in mind. Plan for any charitable giving and tax-deductible gifts.

December

• Consider rebalancing your portfolio allocations and contributions for the New Year.
• Evaluate your past contributions into the Plan and decide if you can increase your contributions for the coming year.

For more information, click here to meet with a Duncan Financial Group retirement advisor.