April 19, 2024

Business Bib

Business & Finance Blog

A Quick Summer Financial To Do List

2 min read

For most, the summer offers a chance to enjoy a little down-time and focus on spending more quality time with the family. But as we’re approaching the halfway point of this year, your fiduciary advisor in Orlando recommends that you take a few moments to tend to your financial well-being. July and August are both good months to review your financial status for the year so far and prepare for the last half. 

Check Back In on Your Financial Goals

This is a great time to check in on your financial goals. The six month benchmark can offer time to re-evaluate, and even shift strategy if need be. The more effective financial plans have shorter-term goals that can be tracked each year. Things like building an emergency fund, increasing retirement savings, or saving for a specific item can all be measured, and adjusted within the year. But these actions also lead to a more stable financial situation, paying off down the road, as well.

Double Check Your Tax Withholdings

Midyear has always been a good time to make sure that you’re not paying too much or too little in taxes. This is particularly important after all of the recent changes to the tax code.

If you didn’t update your W-4 form to reflect that change, chances are you got hit hard, owing a bit of money this past April. If that’s the case, it’s all the incentive you should need to make sure your W-4 is up to date now. 

And if you did update your withholdings already, August is the perfect time to check in and see whether or not you’re on target. 

Adjust The Budget and Scale Back Spending

Experts say that summer is often a time when people overspend.  If you already have a budget–and you should, great. August is a good time to review it to make sure that you’re sticking to it. There’s also enough time left in the year to make adjustments and get back on track without things getting overwhelming.

If you don’t have a budget, it’s not too late to get one. Talk to your financial advisor, and I’m certain they will recommend the 50/30/20 rule that I’ve discussed in previous articles. That’s breaking down your budget by  spending 50 percent on essential expenses (mortgage), 30 percent on discretionary expenses (wants), and 20 percent on your goals (savings). 

Obviously, the 50/30/20 rule is just a jumping off point, so you will still be able to make adjustments based on your actual needs, and accomplish your financial goals.

The year is halfway over, so it’s a great time to check in on your progress, plan and financial strategy and see what, if anything, needs to be adjusted. Stick to your budget, and to your advisors plan, and this year will finish strong and successful!