The time has come again and here are some goals to do to have a more successful and healthier financial year!
10. Consolidate! Look into your federal student loans and consolidate them which will lock-in the extremely low interest rates for the life of the loan instead of an annual variable rate.
9. Risk Management! Look at all your insurance policies and see if it covers you correctly. Homeowners/renters, car, life, disability, umbrella and flood/earthquake coverage. Does it replace what you need? Will it have enough for your dependents?
8. Earn Interest! Rock bottom interest rates is bad when you have cash savings. Check out online accounts such as Costco Capital One Savings account or others to max out the cash you can get.
Roth IRA which is not subject to income taxes on the earnings when you cash it out. When you become and attending, you’ll make too much to do a Roth.
6. SAVE! Make some plans to save some cash. Half of my moonlight money was dedicated to savings or paying off higher interest debts.
5. FUN! So plan for some good time off and having cash to play with. Collecting hotel or airline points via credit cards can also help, just pay them off every month!
4. Plan AHEAD! Think about the next major expense you want to make: a new car, home, children or other potential major expenses.
3. Don’t Waste! Look at what you need and cut out some of those extra coffees, bad lunches, etc which add up and could be turned into something great!
2. Buy or Rent?!?!? Housing is a buyers market, but does it make sense to jump into a new home?
1. Work It! The hardest but probably best thing is to learn what and how the business deduction can help you save money on taxes and spend more wisely. Can a home help you save money?
Happy New Years and hope for continued success! I hope these resolutions help you achieve the true goals that you have with yourself, family and friends. Of course, remember that NMPRA nor I are financial experts and to consult your own advisor for individual advice.
Financial Advisors come in two flavors that are important to realize: those that make their salary by selling certain securities or insurance policies and those that are fee-based. It is important for you to find one that suites your personal goals and financial mindset.
Emery H Chang MD
Executive Travel Advisor and past NMPRA Treasurer