Who says you can only make new year’s resolutions on January 1? The goal of a resolution is self improvement — and that’s a good idea at any time of the year. Here are a few suggestions for improving your financial picture now and in the coming years:
Review your investments — Make sure your investments are proper for your age and financial situation.
Prepare documents — You probably have a will, but have you reviewed it recently? Ask your attorney whether any changes are needed, especially in light of higher federal estate tax sheltered amounts ($11.18 million in 2018). Consider other documents, such as a living will or health care power of attorney. Review the beneficiary designations on life insurance policies, IRAs and other financial accounts, keeping in mind that you can name charity as a beneficiary for any of these accounts.
Make a list — Do family members know where your will is kept? The names and phone numbers of your tax adviser and attorney? What life insurance policies are available? Compile a list of important documents, names, addresses and phone numbers and leave it in an easily accessible place or with a trusted family member. Don’t forget to include the user names and passwords for access to online accounts.
Look at insurance coverage — Make sure you don’t have too little — or too much — life insurance. Review other types of policies, too (auto, health, homeowners, umbrella liability, long-term care coverage). If you find you have a life insurance policy that’s no longer needed for family security, consider making a charitable gift of the policy, for which you’ll be entitled to an income tax deduction.
The information in the website is not intended as legal advice. For legal advice, please consult an attorney. Figures cited in examples are for hypothetical purposes only and are subject to change. References to income tax apply to federal taxes only. Federal estate tax, state income/estate taxes or state law may impact your results.