With the season changing and life ever pulling us forward, you may want to take into account life changes that may affect your financial goals.
Account for Changes in Your Personal Life
Have there been any changes this past year with your family, personal, or financial life?
If life changes have occurred, you may want to conduct the following:
- A beneficiary designation review (qualified plans, IRAs, life insurance, etc.)
- Reviewing the titling of assets (bank accounts, brokerage accounts, property, etc.)
- Update estate planning documents (wills, trusts, power of attorney, guardianship, etc.)
- Update insurance coverage (life, health, long-term care, disability, etc.)
Prepare for the Unexpected
It’s highly recommended to have an emergency fund that can cover your expenses for at least three to six months. These assets can be cash, a savings account, a money market fund, or other assets that can be accessed quickly.
Updating Your Goals
Review the following list to see what adjustments may need to be made:
- Have your long-term savings goals changed (e.g., target retirement income, target retirement date)?
- Have your intermediate-term savings goals changed (e.g., vacation home, college savings, etc.)?
- Has your ability to save changed (e.g., change in income or expenses)?
- Have you set any new financial goals?
Goal-Set for Success
If you want to be more successful in reaching your goals, you might consider a different approach in setting them. For some meaningful ways to set yourself up for success in the new year, check out the great tips shared in this article – A New Way to Set New Year’s Resolutions.
