Spring Cleaning Your Financial Plan: A Fresh Start for Your Finances
Spring is the season of renewal. As the days get longer and the weather gets warmer,
it’s the perfect time to freshen up your life—and that includes your financial plan.
Just as you tidy up your home with a spring cleaning, your finances can benefit from
a deep dive to make sure everything is in order and working for you. Here’s how to
give your financial plan a spring refresh:
Review Your Budget and Spending Habits
Spring cleaning starts with a thorough look at your current budget. If you haven’t
updated it in a while, it may be time for a refresh. Check for any changes in your income,
such as a raise or new job, as well as any increased expenses. If your lifestyle has
shifted, you may need to reallocate funds to reflect new priorities.
- Track your expenses
- Audit subscriptions and memberships
- Set new goals
Revisit Your Savings Goals
Spring is a great time to revisit your short- and long-term savings goals. Are you on track
to meet your targets? Have your priorities shifted, requiring a change in your savings
approach?
- Review emergency fund
- Retirement planning
- Targeted savings goals
Tidy Up Your Investments
Just like cleaning out the garage, it’s important to make sure your investments are in
good shape. Spring cleaning offers a chance to reassess your portfolio, ensuring it aligns
with your current financial goals and risk tolerance.
- Rebalance your portfolio
- Review fees
- Consider tax-efficient strategies
Clean Up Your Debt
Spring cleaning isn’t just about organizing—it’s also about eliminating clutter. Debt can
weigh you down, and getting a handle on it can free up resources for more productive
use. Review all of your debt, from student loans to credit cards, and create a strategy for
paying it off.
- Consolidate if necessary
- Pay off high-interest debt first
- Consider refinancing
Check Your Insurance Coverage
Spring cleaning isn’t just about what you own; it’s about protecting what you have. Make
sure your insurance coverage is up-to-date and fits your current needs. Life changes,
such as buying a home, getting married, or having children, may require different levels
or types of coverage.
- Health insurance
- Homeowners or renters insurance,
- Life insurance,
- Disability and long-term care insurance
Update Your Estate Plan
Your estate plan is an important part of your financial blueprint, and it’s crucial to keep it
updated. Life changes—such as marriage, divorce, the birth of children, or the
acquisition of significant assets—can make your old estate plan obsolete.
- Review your will,
- Check beneficiary designations,
- Consider a trust
Monitor Your Credit Report
Spring is a great time to get a clean slate, and one way to do that is by reviewing your
credit report. You’re entitled to a free credit report once a year from each of the three
major credit bureaus: Equifax, Experian, and TransUnion. Checking these reports
regularly can help you spot errors and address potential issues before they affect your
credit score.
- Errors or discrepancies
- Credit score, Fraud alerts
- Set New Financial Goals
Spring is the season of renewal, so why not set fresh financial goals? Whether it’s saving
for a vacation, buying a home, or paying off debt, setting new objectives will help keep
you motivated and focused.
- SMART goals (Specific, Measurable, Achievable, Relevant, Time-bound)
- Break it down
- Celebrate milestone
By taking the time to assess your financial situation, update key documents, and set new goals, you can ensure that your money is working for you—and that you’re prepared for the future. The fresh start you’ve been waiting for is just around the corner