Financial Fit Check

It is time for your yearly financial wellness checkup.  

I annually publish the list below to inspire you to find clarity in your finances and refocus efforts on the factors that will most likely have the greatest impact on your wealth – personal inflation rates, taxes, and spending habits. As you plan your year ahead, incorporate these factors into your 2024 goals.

1. TRACK YOUR SPENDING - This exercise captures how your dollars are spent. It’s an opportunity to identify empty spending so you can re-direct those dollars to additional savings or to other areas that allow you to live a richer life.

2. CALCULATE YOUR SAVING GOALS - Most of us want to live our retirement years with a lifestyle similar to the one we are living today. Are you on track for saving enough (while working) or spending enough (during retirement)? When you have clarity on this number, the financial decisions you make in your everyday life begin to reflect the rich life you want to live.

3. ESTABLISH/CONTRIBUTE TO A TAX-DEFERRED RETIREMENT ACCOUNT - If your workplace has a tax-deferred retirement plan, participate in it, especially if it contributes matching dollars. If you are going solo, consider a retirement plan that maximizes savings for your employment situation. Some to consider - IRA, SEP IRA, Roth IRA, or I-401(k). Don’t forget to update your contribution plan limits for 2024.

4. PUT YOUR SAVINGS & BILL PAY ON AUTOMATIC - The less energy you spend on the minutia of managing money means the more energy you can spend on activities that bring meaning to your life. Enough said.

5. INVEST IN YOURSELF - Are you spending time on things in life that bring you joy, both with others and in solitude? If not, why not? Life is hard enough as it is. Take time to celebrate the joy that life offers us as well.

Clarity Ahead

In my daily conversations with investors, I find most of the uncertainty about the stock market comes from a lack of awareness within one’s financial plan.

If you are looking for peace of mind and clarity this new year and have $1 million or more of investible assets, I encourage you to connect with me on a strategy call. Find out what key pieces you are missing in your approach to investing and financial planning.