January is the perfect month to have a look at your financial situation and make a plan for the upcoming year. Important items that should be addressed include: debt management, financial goals, investment objectives and an insurance review. We’ll have a look at each of these in a little more detail.
A review of debt and how you plan to manage it is critical to a good financial review. In January the bills start to roll in from the holidays and can add stress to a family’s household budget. It is good to take a look at interest rates on debt and consolidate to lower rates wherever possible. Coming up with a plan to pay off debt can alleviate stress and free up funds available to be used in wealth accumulation.
What are your goals for the new year? Are you looking to grow your wealth or do you need to get a handle on your budget and debt first? Are there any major expenses coming up and do you have a plan to finance them? Are you planning a vacation this year? All of these financial goals should be considered with some thought as to how they will be financed and paid for.
Do you have investments and if so have you reviewed their performance with an investment advisor? Starting early and having a plan are key strategies in accumulating wealth. Regular meetings with an investment advisor can make sure that your objectives are being met and if not, your portfolio can be adjusted to keep investments in line with your future goals. Strategies in managing your RRSP, TFSA, RESP’s (for education) should all be reviewed.
Have you recently had an insurance review? Will you and/or your family members be under financial stress if someone close to you were to pass away? These aren’t easy conversations to have but a financial needs analysis by a licensed insurance broker can address many of these worries. Insurance plans should be put in place to make sure that in the event of a death in a family that mortgages, outstanding loans, debt, final expenses, income replacement and taxes are not going to be a burden on those left behind.
If you haven’t yet made a plan to review your financial situation for 2018, now would be a great time to set up an appointment with your financial advisor. If you have any questions or would like a free financial review, click on the button to get in touch in touch with us.
Jeanette Ramnarine resides in Belleville, ON where she and her husband are co-owners of Forward Finances. Her work and financial advice for families has appeared in various forms of media including newspaper, magazine, blogs and television. She is a licensed insurance broker and investment advisor, bringing a unique and creative approach to her clients with her knowledge and expertise in estate planning and wealth preservation.