Roll up your sleeves and crack a window: It’s time for spring cleaning. While you’re sorting through your closet, attic, or the pile of paperwork on your desk, it might be a good time to tidy up your finances as well.
Here’s a five-step checklist to help you get organized for the year ahead:
1. Revamp Your Budget: A lot can change in a year. Whether you’ve had a promotion, a new baby, moved, or picked up a new hobby, it’s important to revisit your income and expenses. Ensure your budget reflects your current financial situation, adjust your spending limits, and find ways to boost your savings.
2. Declutter Your Paperwork: That stack of bank statements on your desk isn’t just a hassle—it can also be a risk if it falls into the wrong hands. Switching to electronic billing for your bank account, utilities, insurance, and other regular expenses is easier than ever. It’s eco-friendly and saves you the trouble of sorting through junk mail and shredding documents.
3. Embrace Mobile Banking: Worried about keeping track of payments? Mobile banking lets you monitor your balance, check transactions, deposit checks, and pay bills with the tap of a finger. Your information stays safe in an encrypted account.
4. Simplify Your Payments: Concerned about missing due dates? Setting up autopay can take the stress out of managing your bills. Payments will be made automatically on the dates you specify. If you prefer manual payments, banking apps like Axiom’s allow you to send money instantly.
5. Eliminate Unnecessary Expenses: As you pack away your kids’ old shoes and outdated outfits, take a closer look at your subscriptions and memberships. Do you really need that gym membership you never use or a magazine that collects dust? Cancel any services you no longer use, including those expired free trials.
Another thing to review is your insurance. Are you still getting the best deal? Have your coverage needs changed? Adjusting your insurance plan periodically can save you money over time.
Get Organized: A solid financial plan helps you move forward with peace of mind. Develop a long-term plan for saving—whether it’s for college, retirement, or an emergency fund—and for paying off debt. Consulting a financial advisor might be beneficial to ensure you’re on the right track.
The best spring cleaning sets you up for success. Build smart financial habits over time, and you’ll enjoy greater security, confidence, and peace of mind throughout the year.