Tuesday, December 31, 2013
Here a few New Year’s money resolutions to consider in 2014:
- Stick to your budget. Make a budget by compiling a spreadsheet of your expected costs. If you think it will be hard to stay on target, institute a reward system and have someone close monitor your progress.
- Get rid of debt. Pay off the debt you find most unsettling and then work your way down from there.
- Prepare your estate plan. Make a will, select an executor, assign a durable general power of attorney, designate backups, and find a way to give your passwords to someone you trust.
- Get serious about your retirement. Make funding your 401(k) a priority.
- Reconsider your insurance. You may be able to save money on premiums if you package your insurance coverage under one carrier.
- Review your portfolio. Review your asset allocation by taking your age, risk aversion, and personal goals into account.
- Create that emergency fund. Build up an emergency fund equal to three months of living expenses.
See Daniel Lippman, New Year’s Money Resolutions to Think About, The Wall Street Journal, Dec. 29, 2013.