With the fun and relaxation that summer brings, you may have let your finances go to the wayside. Now that the dog days of summer are winding down, it may be in your best interest to revisit your long-term financial plan and make adjustments as necessary. The fall season presents the ideal time to touch base with your financial adviser and make sure you’re on the right track to meeting your financial goals.
Here are some of the many reasons why you should make financial planning a priority this fall:
Re-evaluation of income and cash flow. There are many factors impacting a family’s income and cash flow, such as lost jobs or salary raises. It’s in your best interest to re-evaluate your current income so that you can plan monthly expenditures and savings accordingly, as well as make adequate investments in your retirement savings. In terms of cash flow, you’ll also want to monitor your spending patterns and current budgeting practices within the context of your long-term savings strategy.
Family security. One of the most important decisions you can make is to invest in your family’s financial security. Examples of this may involve starting college savings plans (i.e., 529 plans) or creating custodial savings accounts. Planning ahead for your children’s futures will relieve them of financial burdens and give them a head start as they enter college and the workforce. Investing in your family’s security also involves having proper insurance coverage and policies in place to reduce or eliminate the financial risks of facing a sudden or unexpected misfortune.
Proactive tax planning. By being proactive about your tax planning, you’ll determine how much money you’ll need for upcoming tax payments, especially if you’re self-employed. Because taxes are such a significant annual expense, it’s important to understand the best strategies to reduce your taxes and avoid expensive tax blunders that could potentially cost you thousands of dollars. Effective tax planning will allow you to make smarter financial investments, helping you to save more money in the long run.
As you can see, financial planning is a process that requires continual time and attention. Why not use the change of seasons to get one step closer to achieving your long-term financial goals?
If you’re ready to revisit your financial plans this fall, let the financial experts at Buffalo First Wealth Management get you on track for financial success.