4 Things You Can Do To Check Your Financial Health

What if I tell you that an hour spent today giving your finances a checkup might be the best financial decision you can make and that it can pay you dividends for a life time.

You may have been reminded to get your physical checkup but when was the last time that anyone reminded you about the importance of an annual personal finance checkup?

Well that is my role and now that we are halfway through the year, it’s a good time to get it done. So here are four things you can do.

1. Check Your Savings

Do you have at least three to six months of your living expense saved in an account that is easily accessible to you? I understand that things maybe a little tight but nothing is more important than having peace of mind account. So if you are not there yet start putting as much effort into getting there as soon as possible. And making your saving automatic by salary deduction may be the way to go.

Trust me this will be one of best decision you can make.

2. Get Organized

Having your finances properly organized is one of the most overlooked and underrated keys to getting the most from your money.

Do you have any idea how much money you’re spending on specific items during the month? If not, you should. I assure you take a look at your spending that there will be some surprises that will make you want to change a few things.

So go ahead and

1. Create a spending plan, and use it to track exactly where your money is going.
2. Create a secure location for all your vital documents. This will make it easy for you to access this important information in the event of an emergency.

3. Check Your Investments

When you go to the doctor for a checkup, certain things are more painful than others. Your investment maybe one of those thing. I have lost more than 23% of my BISX's holding this year alone! So, this investing checkup will hurt … but you must do it!

1. When was the last time that you checked your brokerage statement?
2. Do you know how much money they have lost? Check your statement now.
3. Do you know what you paying your brokerage house each month or quarter?

4. Check Your Estate Planning

If the statistic were known you would be shocked at the number of Bahamians that do not have a will.

If you don't have a will I suggest that you get one as soon as possible or the government will be deciding how your hard-earned assets are distributed when you pass away.

If you do have a will and have had any major life changes in the past year, such as a death in the family, divorce, birth of a child, grandchild, inheritance, major sickness, etc., then it’s time to update your will.

Even if you haven’t experienced a major life change, it’s a good idea to review your will every few years to be sure your beneficiary designations on Life insurance and accounts accurately reflect your current wishes.

So go ahead and see how healthy your finances are!