It’s the start of spring and also signifies new beginnings. This is now a good time to spring back (pardon the pun) your finances.
By reviewing your finances, you will be able to take control of your spending and plan for the future.
Here are some of the ways that you can spring clean your finances:
1. Evaluate your debts
How much do you owe, and how much are you paying the lenders in interest? Do a comparison to see what you are currently paying in interest to what’s available. Consider refinancing your mortgage or asking your credit card company for a lower interest rate.
Also make sure that you are on top of your payments with priority debts such as bills, mortgage payments etc. You can learn more here.
2. Assess your budget
If you haven’t checked on your budget recently, now is a good time to revisit your budget to make sure that it aligns with what’s currently happening in your life and what your plans are. If not, it’s time to make some adjustments such as making sure that any expenses that you hadn’t considered previously have been included.
If you don’t have a budget, here is how you can create one.
3. Streamline cards, subscriptions and memberships
Did you receive any gift cards over Christmas that you haven’t used yet? Are you still paying for subscriptions that you haven’t used in a while? Is your mobile phone contract expired and you haven’t had a chance to look for new deals? Now is the best time to do it.
Use those gift cards or vouchers that have been accumulating in your wallet before they expire. Get rid of any unused subscriptions. Go onto comparison websites to see if you can better deals with your mobile phone contract, energy bills, insurance policies etc.
4. Shred any unwanted paperwork
If you have old bills or financial statements that have your personal information and you no longer need them, now is the time to shred them to protect yourself from identity theft.
5. Plan your future and start saving
If you are thinking of going on a holiday, moving houses or planning for Christmas, now is a good time to start saving for these with one of our savings accounts. This will not only help you plan for your finances, but it can also help you towards applying for a loan if you are considering that option.
6. Get ahead with your taxes
If you haven’t already filed your taxes for the year, now is a good time to do it. You may also need to start thinking about estimated tax payments if you are self-employed or have other income that is not subject to withholding.
If you think you may need the assistance of a tax advisor, now is the time to contact one.
No one likes doing their taxes, but it’s an important part of being a responsible adult.
7. Review your insurance policies
Even though this sounds like a tedious task and you may think that you won’t need it, you must have adequate coverage in case of an emergency.
If you have any questions about your policies, now is the time to call an insurance agent. Don’t wait until something happens, and then realise that you’re not covered.
It’s better to be safe than sorry, so make sure you understand your insurance policies. You may also find that you can save money by switching to a different insurance company or by updating a current one.
Get started today!!
It’s important to do a financial spring clean every year. This way you will be more organised and make sure that you are on track with your financial goals.