Spring Clean Your Finances with 3 Simple Steps!

Spring is the perfect time to reset and reorganize your financial life. Just like the feel-good experience of decluttering your home, financial spring cleaning reduces stress as you identify areas of your household economy that may need attention. Once identified, planning adjustments to enhance your long-term financial success can be implemented.

Start your financial refresh with these three simple steps:

1. Evaluate Your Financial Goals

• Are you remembering to prioritize your future needs? For example, be sure to “Pay Yourself First” by contributing enough to your retirement savings.
• Have your priorities changed? Life moves fast! Whether it’s planning for a big purchase or preparing for retirement, your goals should reflect where you are now.
• Could you trim unnecessary expenses? For instance, review your subscriptions and auto payments—are you still using everything you are paying for?

2. Get Your Essential Financial Documents in Order

• Check your account beneficiary designations: Major life transitions like marriage, children, or divorce may signal that it is time to update who will someday inherit your accounts.
• Review basic estate planning documents: Ensure that your will, healthcare directive, living will, and financial power of attorney reflect your current wishes.
• Securely digitize and back up key documents such as: tax returns, estate planning documents, and insurance policies.

3. Optimize Your Insurance Coverage

• With the help of your insurance agent, review home, auto, and umbrella policies: Are you adequately covered?
• Check your employer benefits to confirm your short and long-term disability coverage: Would you be financially secure if an illness or injury prevented you from working?
• Work with your financial planner to assess your life insurance needs: Does your current coverage protect your family’s financial future if the unexpected should happen?

Spring cleaning isn’t just for your home. It is also an opportunity to declutter your financial life and to gain clarity. One tool that may help you stay organized is our Entrust Personal Affairs Inventory. Taking a few proactive steps now can position you for a more organized, stress-free, and financially successful year.