For a lot of people, reviewing their finances is right up there with dusting the mini-blinds, organizing the photographs and polishing the silver on the list of dreaded household chores. But as tempting as it might be to put off all these tasks, spring is a great time to clean house, monetarily speaking. Your taxes are done (we hope) and you still have much of the year ahead of you to meet your budgetary goals. So get out the financial feather duster and tackle this annual home economics work. Then you can move on to the mini-blinds.
1. Organize your paperwork
Shred financial records you no longer need, and neatly file away the ones you’re hanging on to. For information on which records you should keep, and for how long, you can read about organizing your financial records. While you’re at it, create a new folder for documents you’ll want when it’s time to file your 2007 taxes, such as charitable donation and unreimbursed work expense receipts.
2. Rid your credit report of wrinkles
If you haven’t done it already, go to www.annualcreditreport.com, and iron out any errors by directly contacting the credit bureau – Equifax®, Experian® or TransUnion® – that included the incorrect information in your report.
3. Inspect your home mortgage
It makes sense to check in annually on what is probably the biggest investment you’ll ever make. And with interest rates dipping lower, it’s possible you could save by refinancing. Check out the LendingTree refinance calculator to find out if it’s time to take advantage of lower rates.
4. Tune up your 401(k)
Gains and losses over the course of a year can throw your investment balance out of whack. Review your 401(k) portfolio mix to make sure it’s consistent with your long-term goals. Your employer’s 401(k) provider can offer excellent basic advice.
5. Dust off your will
Have you gotten married in the past year? Had kids? Lost a loved one? Come into some money? These are all reasons you might need to talk to an expert about tweaking the terms of your will. If you don’t have a will, consider getting one.
6. Air out your insurance
Again, life changes over the past year can mean your insurance needs have changed too. Maybe it’s time to consider life or long-term care insurance. Click here to see if LendingTree can help save you money on car insurance or here for tips on lowering your homeowner’s insurance.
7. Scoop up the employee perks
Remove the cobwebs from that work benefits booklet you got when you were first hired and make sure you’re taking full advantage of the extras your company offers. Maybe it’s time to start a flexible spending account or participate in the stock purchase plan you couldn’t afford when you first started.
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