It’s that time again; time to refresh your financial plans and set yourself up for success in the coming year. To help you do that, I’ve compiled a list of 42 new year money tasks that you can complete.
This list is long; you won’t be able to accomplish everything in a day. Some are quick and you could check off a few today, if you want. If you plan to fill out the 2019 Financial Plan, this list will also help provide ideas for the “Monthly Action Steps.”
And because I love checking off completed tasks and printables, I’ve set this list up like a checklist. Feel free to print it out and check off each money task as you complete them. Obviously you won’t be completing them all, but there are plenty to choose from so pick the ones that apply to you.
As you go through the tasks, make sure you establish a time frame and value to each one. “Save more” is a nice sentiment, but doesn’t carry the same weight as “Save $1000 in my Emergency Fund by August 31st.” The more specific and realistic you can be, the more likely you will succeed. Good luck!
General
☐ Review the previous year’s spending and progress towards goals.
☐ Establish and prioritize new goals for the new year. Think emergency fund, debt payoff, net worth, savings rate, income generation, even decluttering and selling unneeded items.
☐ Create a new budget for the new year. Don’t forget to include any raises!
☐ Complete a legacy binder or In Case Of Emergency binder.
☐ Review insurance policies (life, home, auto, disability, long term care, etc).
☐ Decide on your charitable giving plan for the year.
☐ Set up bill pay services for your recurring bills.
☐ Go through your recurring monthly expenses and cancel unneeded services.
☐ Schedule a meeting with your financial planner, if you have one.
☐ Calculate net worth, accounting for all debt and assets.
☐ Review beneficiaries for all accounts and make changes if necessary.
☐ Check your credit report using AnnualCreditReport.com.
☐ Worried about security breaches? Freeze your credit to protect it.
☐ Hold a money date with your significant other. Discuss the year’s progress and setbacks.
Taxes
☐ If you are close to or over the amount needed to itemize expenses, consider moving some expenses (medical, charitable donations, etc) to December to lower this year’s taxes.
☐ Gather receipts and begin organizing tax documents.
☐ Plan tax optimization strategies for the upcoming year.
Debt
☐ Review outstanding debt balances, interest rates, and expected payoff date if you only pay the minimum amounts.
☐ Create debt payoff goals for the year. Make sure you put them in the budget!
Savings
☐ Figure out a savings plan for vacations, medium size purchases (appliances, furniture, etc), and large purchases (new car?).
☐ Review last year’s unexpected expenses. If any could have been predicted (maintenance? holidays?) prepare a savings plan for them.
☐ Automate transfers to savings accounts.
☐ Open savings accounts for sinking funds.
☐ Transfer savings to a savings account with a higher interest rate or signup bonus.
Medical
☐ If you are eligible for an HSA, consider signing up for one or adjusting your contributions.
☐ Spend down your FSA funds, if you have any left for the year.
Investments (non-retirement)
☐ Reassess risk tolerance, goals, and timeline to come up with an investment strategy for non-retirement accounts.
☐ Rebalance your portfolio, if needed.
☐ Tax loss harvesting.
☐ Tax gain harvesting.
☐ If you are using a broker with high costs, consider moving to a low cost brokerage.
☐ College fund(s)? Plan out the year’s contributions.
☐ No college fund(s) but want one? Establish a 529 Plan!
☐ Don’t want a college fund, or want to set up a separate account for children? Look into UTMA/UGMA or a custodian taxable account.
Retirement Accounts
☐ Reassess risk tolerance, goals, and timeline to come up with an investment strategy for retirement accounts.
☐ Log into workplace and IRA retirement accounts and adjust contributions for the new year. Remember to account for raises, income limits, and max contribution limits! If you receive monthly matching funds from your employer, ensure you don’t max out before the end of the year and miss out on that extra money.
☐ Analyze the upcoming year’s tax situation vs expected retirement tax situation. Use this information to decide your Traditional vs Roth contribution rates.
☐ Rebalance your portfolio, if needed.
☐ Planning to rollover or convert any accounts? Make an execution plan based on your tax situation and options; talk to a tax professional if needed.
Long Term Planning
☐ Create a will and/or trust.
☐ Establish Powers of Attorney.
☐ Review your retirement plans – not just financial, but also where you will live and what you will do.
I feel like you created this for me 😅 DO NOT let me skip out on doing this and the goals sheet.
Roger!