6 Financial Goals to Make before Year End
Setting financial goals can be important for anyone when it comes to planning for the future. Year End is a great time to start setting long-term and short-term goals for the coming year. It ensures you’re fully prepared and can relax over the Holidays. At Business Cover Expert, we take a look at some financial goals you can set before Year End.
1. Make a holiday budget
It can be a difficult over Christmas to keep track of spending which can have a big impact on your finances. Creating a holiday budget can help plan ahead so you’re not spending on a whim. Tracking your spending and figuring out what fixed expenses you have can help to see how much you have left over. This leftover money can make it a lot easier to plan for Christmas presents and parties. Doing this in advance can help you to start saving early for any extra expenses so that you can relax during December rather than be worried about debt.
2. Set up next years’ savings
By keeping a budget over Christmas and New year, you can start to plan your savings. You’re in a great position to start a rough outline of what you’d like to save over the next year. Consider your yearly income and expenses and a goal of what you would like to save. Setting up a savings account can also help prepare you for achieving your financial goals. Don’t forget about the shorter-term goals and set aside some regular savings for those too.
3. Check new employee benefits
In the new year, there might be changes to existing employee benefits packages. Check to make sure you’re getting the right coverage for your family’s needs in health insurance and life insurance. Have there been any new retirement plans introduced? With an employer you can get tax-deductible life insurance called Relevant Life Cover, is this part of your benefits package? Have a look and see what’s available for you to take advantage of. It can help to meet financial goals next year and optimise your employee benefits package.
4. Keep an emergency fund
Whilst you may already have some long-term financial goals in place, setting some short-term goals can be helpful too. It can be useful to have a reserve of money in case you’re put in a tight spot. In case of losing a job or having to repair your car, an emergency fund can help to cushion the blow if anything were to happen. It means you won’t have to take any out your savings and can maintain your financial goals.
5. Pay off student loans
When your student loan comes out of your account every month is can make an impact on your monthly wage. Lowering or removing those payments can free up extra money that can help meet your savings goals. Whether you want to save for a mortgage, retirement or any other plans you may have, getting rid of the student loan can really help.
6. Review your pension
Pensions have changed over recent years allowing for greater flexibility. To boost your retirement income, it can be important to review your pension to make the most out of it. There are other tax-efficient options you can use as well including Relevant Life Cover which can help to take out protection without affecting your pension amount. It can be a great way to pass on wealth to the next generation.
In addition to this, you can calculate and review your retirement income. Figure out how much you’ll actually need during retirement and the desired annual retirement. Once you’ve set your goals you can start paying into them to achieve your goals.
Tick life insurance off your financial goals list
At Business Cover Expert, we help businesses and directors find life insurance policies that suit them. We offer free, no obligation advice and quotes so that you get the right amount of cover that suits you. If you’re looking for life insurance policies, request a quote today.