1. Less paperwork, less stress
Letting paperwork pile up can lead to clutter and stress. Consider cleaning out the clutter. When possible, move to paperless financial statements and store digital versions of your statements in an encrypted folder, which makes them easy to search in the future. Set up a filing system that allows you to store your papers as they come in. That way, you won’t have to sort through them all later. Create a folder for tax receipts and other important documents. Irreplaceable documents should be placed in a fireproof document safe. Once you have a system in place, it will become less stressful to manage your documents and your finances. You’ll spend less time with paperwork and feel better for it.
2. Stay on top of things
Periodically review your statements and documents to keep track of your financial picture. Review your latest policy papers and note changes in coverage, and make sure beneficiary information is up to date. Stay connected to your situation. If you need to change beneficiaries, or if you need additional coverage, you can take care of matters before it’s too late.
3. Protect against offline and online theft
Regularly review your account statements to protect against offline and online theft. Because you’ll be more organized, it’s a simple matter to compare your records with your account statements. If you notice something out of place — a fraudulent charge or an account that isn’t yours — you can report it early and limit the damage. At least once a quarter, review your important papers and take stock of your valuable items. Checking these items can help you make sure nothing has been stolen.
If you work with a money manager, periodic reviews help you ensure you aren’t being taken advantage of. You can also double-check your insurance policies to ensure adequate coverage. If you’ve made some valuable purchases for your home, or if you have upgraded your car, you want to make sure that those increases in value are covered under your insurance policies, just in case those items are stolen or become damaged.
4. Identify holes in your insurance coverage
In addition to your homeowners and car insurance, periodically review your other insurance policies to ensure you are adequately covered. Insurance is meant to protect your assets. Holes in your coverage can be costly when the unexpected happens. From health insurance to disability protection to liability coverage, make sure you are prepared for any potential costs. You also can help protect your family’s financial future by reviewing your life insurance coverage. When you receive a raise, consider increasing your life insurance to cover the increase in your salary.
5. Monitor your credit
Because your credit is basically your financial reputation, you want to make sure everything is in order. Regularly check your credit reports for erroneous and fraudulent information. You also should regularly check your accounts for evidence your identity has been stolen and is being used in ways that could drag your credit down.
The right systems in place to help you regularly “spring clean” your finances can keep you on top of your money year-round, leading to lower stress for you as a healthcare professional.
Aaron McDonald, RICP®, CExP™
F: 248-647-6523 (8:30 am – 4:30 pm only)
29800 Telegraph Road, Southfield, MI 48034
Aaron grew up in Lake Orion, MI and graduated from Central Michigan University in 1994 with a Bachelor of Arts degree in Interpersonal & Public Communication and Management. Since joining the financial services industry in 1996 he has continued to learn and educate himself for the betterment of his clients. Aaron has earned the Retirement Income Certified Professional, RICP, designation from The American College of Financial Services.
Aaron has a vast amount of experience helping physicians become financially fit. He has helped hundreds of Physicians in their residencies, as Attending physicians and planning their retirement years. Aaron focuses on educating his clients utilizing a unique holistic perspective to achieve financial success while protecting against the many threats that can have devastating effects on cash flow.
Aaron currently lives in Commerce Township with his wife, Amy. He stays active with training for 5k runs, exercises with Amy at Milford Fit Body Boot Camp and continues to train at Japanese Martial Arts Center in Kodokan Judo as time allows.
FOOTNOTES, DISCLOSURES AND SOURCES
¹ Investment Company Institute, 2021
² Distributions from traditional IRAs and most other employer-sponsored retirement plans are taxed as ordinary income and, if taken before age 59½, may be subject to a 10% federal income tax penalty. Generally, once you reach age 73, you must begin taking required minimum distributions. If the account owner switches jobs or gets laid off, any outstanding 401(k) loan balance becomes due by the time the person files his or her federal tax return. Prior to the 2017 Tax Cuts and Jobs Act, employees typically had to repay loans within 60 days of departure or face potential tax consequences.
³ The information in this material is not intended as tax advice. It may not be used for the purpose of avoiding any federal tax penalties. Please consult a tax professional for specific information regarding your individual situation.
⁴ IRS.gov, 2021
⁵ FINRA.org, 2021
The content is developed from sources believed to be providing accurate information. The information in this material is not intended as tax or legal advice. It may not be used for the purpose of avoiding any federal tax penalties. Please consult legal or tax professionals for specific information regarding your individual situation. This material was developed and produced by FMG Suite to provide information on a topic that may be of interest. FMG Suite is not affiliated with the named broker-dealer, state- or SEC-registered investment advisory firm. The opinions expressed and material provided are for general information, and should not be considered a solicitation for the purchase or sale of any security. Copyright FMG Suite.
Registered Representative and Financial Advisor of Park Avenue Securities LLC (PAS). Securities products and advisory services offered through PAS, member FINRA, SIPC. Financial Representative of The Guardian Life Insurance Company of America® (Guardian), New York, NY. PAS is a wholly-owned subsidiary of Guardian. Lifetime Financial Growth of Michigan and Medfinity Financial are not affiliates or subsidiaries of PAS or Guardian and are not registered in any state or with the U. S. Securities and Exchange Commission as a Registered Investment Advisor. CA Insurance License ID#0F52849. 2023-150174 Exp. 01/25