How to Wrap Up Your Fiscal Year

How to Wrap Up Your Fiscal Year

The holiday season not only marks the impending end of the calendar year, but also the final few weeks of the fiscal year.  Get the most from your money by implementing these financial strategies to boost your year-end savings and prepare for a prosperous New Year.

Get Your Health Insurance.  If you are uninsured, it’s time to get on the health exchanges and purchase insurance by the December 15^th deadline for coverage in the new year- or contend with the risks and penalties of being uninsured.  Use the healthcare.gov website to choose a plan and find out if you qualify for any subsidies to help cover your insurance premiums.

Review Your Insurance Coverage.  Not only should you make sure your health insurance is in check, you should also take the time to review the rest of your coverage and assess any new insurance needs - home, life, long-term care, etc. Be sure to account for any life changes you’ve experienced in the past year - a new child, a new home, an aging relative, etc.

Evaluate Your 401(k).  The end of the year is a good time to check in on your 401(k) and make sure you’re not only maximizing your contributions, but maintaining a mix of funds within your account that properly reflect your current risk tolerance - be it aggressive, conservative, or more likely, somewhere in between.

Organize Your Paperwork:  In order to be able to file away all of your documents for the year in the next few weeks, take some time now to sort through that pile.  While doing so, review credit card statements and make sure there is a plan in place to pay off debt.  Take a look at your transactions and receipts to remind yourself of your spending habits.

Lastly, review any legal paperwork.  Do you have a will, advanced healthcare directive and durable power of attorney in place?  If so, are they up to date?  Estate laws vary state-to-state so if you moved recently, it might be time to update these documents...  

Make a Plan for 2015.  Reflections on goals and resolutions during the countdown to the New Year should include some financial goal setting and strategizing, as well.  Take the time to lay out any fiscal priorities for 2015 - be they boosting investments, establishing emergency fund savings, starting a vacation fund or paying down student and credit card debt - then make a monthly budget that covers your day to day costs while taking steps towards reaching those New Years’ goals.