Most of us are soaking upthe summer months enjoying vacations and a slower pace. We can't forget, midyear is almost officially here. Now is a great time to slow down and take stock of your entire financial picture and how it’s lining up with your year-end goals. Below are a few ways to check in on your financial health as we approach mid-year to make sure that we are on track to accomplish all that we set out to do in 2023. As a Financial Advisor in Murfreesboro, TN, we recommend keeping a pulse on your progress, whether it be summertime or some other specified time throughout the year
Check-In #1: Evaluate Current Debt
You may want to write down all debt currently owed, including credit cards, student loans, mortgages, and car payments to refresh yourself of your situation. Be sure to also keep track of the minimum payment amounts and due dates. Once you have everything laid out and organized in one place, you can begin focusing on how to minimize or eliminate certain debts and evaluate your progress. Seeing all your debt in one place may sound stressful, but it’s an important first step in taking control and minimizing what you can. With spending likely to increase toward the end of the year for the holiday season, now is a great time to evaluate any current debt you may have accumulated throughout the year.1,2
Check-In #2: Check Your Credit Score
Can you remember the last time you checked your credit score? It’s possible (and likely) that your credit score is really thought about only when it’s time to apply for a new credit card, take out a loan, or make any other large purchases. However. if you haven’t given it a good look in a while, now’s the time. Your credit scores can give you a decent overview of your financial health. In addition, checking your credit score periodically can help make you aware of any potential red flags, such as missed payments, identity theft, or unauthorized use of your credit cards.
Check-In #3: Readjust Your Retirement Fund
If you contribute to an employer-sponsored retirement fund, such as a 401(k), 403(b), or IRAs, take some time to check in on your account. This is especially important if you set automatic deposits a year or two ago and haven’t thought about it since. For 2023, the 401(k) contribution limit is $22,500 for those under 50 or $30,000 for those 50 and older. For IRAs & Roth IRAs, the contribution limit is $6,500 for those under 50 and $7,500 for those 50 and older. Every bit counts, so if you’re heading toward retirement and trying to make the most of your employer-sponsored plan, you now have the opportunity to save even more in your account.3
Check-In #4: Refill Your Savings
With family vacations, weekend trips, and summer concerts, enjoying the warmer weather can be costly. The temptation to tap into your savings is strong, and, if you did, you’re not alone. But as we gear up for the second half of the year, now’s the perfect time to work on recouping. If you set a savings goal for the year, do a quick progress report. Have you nearly reached your goal? Then you may want to challenge yourself to save even more. If you’re nowhere near it, focus on adjusting your spending habits to better support your savings goal.
Check-In #5: Rethink Your Goals
Think back on everything that’s happened this year. It’s likely some unexpected events occurred. From unfortunate events, such as divorce, death, or property damage, to exciting celebrations, such as proposals or births, moments large and small can have a significant impact on your financial standing and goals. Revisit the goals you made at the beginning of the year and make sure they are still well aligned with your current standing. If not, take some time to look at your entire financial picture and future needs, and create new goals that better reflect them.
By taking a bit of time to prepare, you can enter the second half of the year feeling financially confident and on track to meet your goals. As vacations wind down and school starts back up, find some time to yourself to readjust, reevaluate, and rethink as needed to stay on track for the rest of the year. If you're looking for professional guidance as we enter the second half of the year, consider engaging with a professional. At Harvest Wealth Group, LLC, work to educate and guide clients in the local Murfreesboro, TN area as well as many other states virtually throughout the year to accomplish their goals!
This content is developed from sources believed to be providing accurate information, and provided by Twenty Over Ten. It may not be used for the purpose of avoiding any federal tax penalties. Please consult legal or tax professionals for specific information regarding your individual situation. The opinions expressed and material provided are for general information, and should not be considered a solicitation for the purchase or sale of any security.