by Joey Degarbo, Market President, International Bank
Fall is the perfect time of the year to kick off your year-end financial planning process. Keeping your financials up to date is a year-round job for most consumers and business owners, but a Q4 financial review can make tax planning easier, alleviate any surprises and help you get fiscally prepared for the new year.
Here are five quick tips for year-end financial housekeeping.
1.Reconcile your accounts
Review your bank and credit card statements for all personal and/or business accounts. Confirm that the statements match your records and contact your bank, financial institution or accountant with any discrepancies. Make sure to shred all paper statements and consider changing logins or passwords at this time of the year to minimize the risk of identity theft or fraud.
2.Check your credit score
It is a good idea to check your credit once a year and this practice can be included as part of your year-end financial planning process. Federal law requires each of the three credit reporting companies to provide consumers with a copy of a credit report once a year. Request a free copy from Equifax, Experian, TransUnion or at annualcreditreport.com.
3.Review important financial documents
Gather income and investment statements and annual contributions at the end of each year to help prepare for tax season and give you an idea of where you’re headed for next year. Business owners will want to review year-end financials, including profit and loss statements, balance sheets and current inventory. Consider if you need to make any purchases before year-end in the event it may be considered a depreciable asset.
4.Prepare a budget
Reviewing your financial documents will help you create a budget for the upcoming year. Whether you are saving for college, purchasing a second home or investing in your business, solid financial projections will help guide you in a positive direction and keep you on track to meet your goals.
5.Contribute to your retirement account
Have you maximized contributions to an IRA or taken advantage of your company’s 401K plan? Consider a contribution or put your annual bonus into your retirement account.
If we can be a resource or help guide you through any of these year-end financial planning steps, please contact Joey Degarbo, Market President, International Bank at 719-680-0404 or firstname.lastname@example.org or visit any one of our seven locations throughout Colorado and northern New Mexico.
From Page 51 of our Fall 2018/Winter 2019 Issue.