With our busy lives, it's hard to find time to do all the things we need to get done—especially the tasks that may not demand immediate attention. There are a few tasks you need to focus your attention on to ensure your financial well-being remains intact.
Here are a few money tasks you can do right now to make sure your finances are on track to reach your goals.
BOOST YOUR SAVINGS PERCENTAGE
Many Americans find it challenging to save for the future. In fact, according to a recent GoBanking Rates survey, 58% of Americans surveyed have less than $1,000 saved. If you struggle to save for retirement, now is the perfect time to increase your contribution amount.
Most savings and retirement accounts will allow you to set up an automatic contribution. It may also be possible to set up an automatic contribution increase. Taking the time to prioritize your savings, will set you up for a more prosperous future.
TAKE AN INVENTORY OF ALL FINANCIAL DOCUMENTS AND ACCOUNTS
Taking an inventory of all of your financial documents and accounts can help you keep your financial life in order. Reviewing all financial records is a great way to see the big picture of your financial situation. A financial inventory is also an essential matter in case of death or a catastrophic life event.
Carve out a block of time to gather your documents and account information. This information will include real estate holdings, deeds, revolving debt, retirement accounts, life insurance policies, legal documents, and any other records that may be important to your financial well-being. Take notes on changes that need to be addressed. Then, once your inventory is complete, you can revisit the changes that you need to make.
It may be wise to make a list of all accounts and assets you possess. You may want to include detailed information about each record for easy access in the future. Be sure to either encrypt the documents on your computer or store them in a locked filing cabinet for safekeeping.
CHECK YOUR CREDIT SCORE
According to the Consumer Financial Protection Bureau, incorrect information on credit reports is the number one credit reporting complaint. Inaccurate information can prevent you from loan approval, increase your interest rates, and even prohibit you from accepting the job of your dreams.
Checking your credit report regularly can help you ensure that all information is correct and that you’re not a victim of identity theft. For a free copy of your credit report for all three credit bureaus—Equifax, Experian, and TransUnion—visit Annualcreditreport.com.
Reviewing your credit report can also highlight areas where you may need to improve your score. For example, if you have made a few late payments over the last few years, you may want to establish automatic payments to make sure your payments are on time. Late payments can lower your credit score.
Do yourself a favor and prioritize these money tasks today. Your future self will thank you.