Resolve to Make a Financial Plan in 2018
The New Year is upon us. Many of us reflect on the past year, make New Year’s resolutions and set goals for the year ahead.
Research suggests1 that people are 10 times more likely to follow through on a goal if they make it a New Year’s resolution. If one of your resolutions is to make a financial plan, here are a few tips for 2018:
Create a budget and stick to it.
Creating a budget is a key step in getting your finances in order. There are many online tools1 available to help you get started. The basics to follow include writing down all your fixed monthly expenses, your non-fixed expenses and your monthly income. Then, every time you buy something, write down the amount and what was purchased. This will help you see where your money goes each month, where you’re getting off track and where you can cut back.
Make a will.
This is especially important if you have children or significant and complicated assets. You may want to meet with an estate attorney for this.2 They will walk you through the steps and gather essential information. That may include who will be the executor of your will, guardian of your children and beneficiaries of your property.
Establish an emergency fund.
You should have money set aside that will cover 3–6 months of expenses. This could be in a savings account that earns interest or whatever works for your personal needs.
Purchase life insurance coverage.
Part of protecting your family is making sure they are financially secure if you were no longer able to provide for them. Life insurance from WoodmenLife can help provide financial stability to your loved ones when you die by paying for final expenses (including any outstanding debt) and providing an income to those left behind.
Plan for retirement.
If you haven’t started planning for retirement, it’s time to get started. Even if you can’t add much now, the earlier you start the longer you have to earn money for you! If you’re in an employer-matched plan, make sure you are at least putting in the maximum amount your employer matches. That’s free money.
Start Planning Today
Getting your finances in order isn’t just a good New Year’s resolution idea for you. It also provides a benefit for your family and their future.
A WoodmenLife Representative can help you create a plan to make your financial goals and resolutions a reality. Contact one today!
1. These opinions and recommendations are solely those of third parties and in no way represent advice, opinions or recommendations of WoodmenLife or its agents.
2. WoodmenLife, its employees and Representatives are not authorized to give tax or legal advice. Individuals are encouraged to seek advice from their own tax or legal counsel. For estate planning advice, you should consult an estate planning attorney.