Spring cleaning your finances is a great way to declutter and organize your financial life.
Like your closet and garage, money management can also get cluttered over the long winter months. A cluttered house or cluttered mind can make you feel unproductive. It’s the same thing when your finances are disorganized.
OCU’s Greg Sol spoke with Brock Jackson at Bounce Radio about spring cleaning your finances. Listen here
Here are some steps you can take to spring clean your finances:
Review your budget: Take a close look at your budget to see if you’re overspending in any areas or if there are any expenses you can cut back on. Make adjustments to your budget if necessary.
Check your credit report: Your credit report is an important tool that lenders use to determine your creditworthiness. Review your credit report to make sure it’s accurate and dispute any errors you find. You can check your credit report for free through Equifax.
Consolidate debt: If you have multiple debts with high interest rates, consider consolidating them into one loan with a lower interest rate. This can save you money in the long run and make it easier to manage your debt.
Set financial goals: Spring is a good time to set financial goals for the year ahead. Whether it’s saving for a down payment on a house or paying off credit card debt, having specific goals can help you stay motivated and focused.
Organize financial documents: Go through your financial documents, such as bank statements and tax returns, and organize them in a filing system. This will make it easier to find what you need when you need it.
Review your investments: Take a look at your investments and make sure they’re aligned with your goals and risk tolerance. If you haven’t already, consider working with a financial advisor to help you make informed investment decisions.
Automate bill payments: Set up automatic bill payments to avoid late fees and make sure your bills are paid on time. This can also help you stay on top of your budget.
Increase savings contributions: If you have a savings account, consider increasing your contributions to help build your emergency fund or save for a specific goal.
By taking these steps, you can spring clean your finances and set yourself up for financial success in the year ahead.