Source: sxc.hu Photo: abeall
Many people make financial New Year’s resolutions to get their finances in shape. How are you doing? One way you can keep your finances on track is to create monthly checklists, breaking things down in smaller portions in order to better manage your cash flow. Hopefully, you’ve managed to get a good start on your finances in January. Now that the year is solidly under way, and you might be slowing down in terms of financial resolutions, consider these 5 items that can keep you fiscally fit in February:
- File your tax return ASAP: This is especially true if you have a refund coming. The sooner you file, the sooner you get your refund. If you have a fairly large tax refund, you might consider revisiting your W-4. Adjust your withholding so that you have more take home money, rather than relying on your tax refund as a savings plan that yields no return. A tax professional might be able to help you with this, as well as helping you figure out how to increase your tax efficiency in 2010. If you owe money, getting your taxes figured now can give you time to save up between now and April 15. Just because you file your tax return now doesn’t mean you have to pay now.
- Complete a home inventory: You should regularly update your list of what’s in your home, and what’s of value. This is especially true after the holidays, when you may have additional gifts of value. Document these items, and store your inventory in a safe place. One of the best ways to do this is to email it to yourself and save it in a special folder in your email account, or pay for web-based date back-up so that if your home and computer are destroyed, you still have access to your inventory via the Internet.
- Check your credit report: This is a good time to check your credit report for errors. Remember that you get one free credit report each year from each of the three major credit bureaus (that’s three reports a year). You can access this through www.annualcreditreport.com. You can also usually get a three-bureau report with credit score from each bureau of from MyFico.com for between $35 and $50. Look for errors and fraudulent accounts. This is a good time to clean up your credit report, double check your score and consider other credit implications.
- Consider your property tax assessment: Is your county or city appraising your home too high in order to get more in property taxes? You can actually challenge this assessment. If you think that your property tax assessment is too high, find out how to file a grievance. You can normally go to the assessor’s office to get the necessary steps in your area. If you have a case, you could save money in property taxes.
- Look for seasonal discounts: February is the time that small consumer electronics, furniture and treadmills often go on sale. If you have been planning on making certain purchases, consider this month as a good time to make them. However, don’t just head out and buy something because it’s on sale. Make sure that it’s something you were planning on purchasing anyway. In the end, you want to make sure you are actually saving money — not looking for excuses to spend more of it.
February really is a great time to take stock of where you are at right now, and provides some excellent opportunities to help you improve your financial situation. The key is to plan ahead, and then stick to that plan.
Miranda is freelance journalist. She specializes in topics related to money, especially personal finance, small business, and investing. You can read more of my writing at Planting Money Seeds.