Financial Planning

April is Financial Literacy Month

Are Your Financial Goals Well-Defined?

April is Financial Literacy Month and it is great time to focus on financial education and wellness. Regardless of the path your life takes, money will play an important role at every turn. Life events such as, getting married, having children, sending your kids to college, buying your first home and retiring all require targeted financial strategies. Developing good financial habits now can go a long way toward helping you achieve your future financial goals. If you haven’t already taken some time to clearly define your financial goals, don’t put it off any longer. Well-defined goals are imperative for creating an effective financial plan.

While having the goal of “I want to have lots of money” may sound like a great goal, it’s just too vague. How much is “lots?” If you don’t know, how will you know when you have it? Another thought is whether “lots” today will be enough for tomorrow.

In developing your financial goals, make sure they’re S.M.A. R. T.:

  • Specific
  • Measurable
  • Attainable
  • Relevant
  • Timely

Smart Steps on the Road to Financial Security

  • Set one, three and ten-year financial goals. Evaluate your financial progress at least on a quarterly basis to help ensure you are on the right track toward meeting your financial goals.
  • Periodically review and update your insurance policies. Meet with your Financial or Insurance Advisor on a regular basis to make sure your life circumstances haven’t changed.
  • Seek qualified tax-deferred savings opportunities. If you qualify, consider contributing to tax advantaged retirement savings plans, such as Individual Retirement Accounts (IRAs) and 401(k) plans, which offer both tax-deductible contributions and tax-deferred growth.
  • Pay yourself first. Before spending your paycheck, earmark a set amount for savings.
  • Trim finance charges and interest rates. Avoid high finance charges by paying off credit card balances each month. If you must carry a balance, shop around for a card that has a low interest rate.
  • Use a Financial Software/App. Use a financial tool that allows you to pull in all of your financial data, so you can look at all of your finances in one place and identify any gaps in coverage.

If you’d like help setting “S.M.A. R.T.” goals, please feel free call and book an appointment with one of our Advisors 800-965-5554.

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