Tips for Wrapping Up Financial Loose Ends
By Space Coast Daily // August 6, 2021
Like many people, your finances are probably not perfectly tidy. You might be staying on top of your bills, and you may not be struggling to make ends meet, but there are probably still things you can do to improve your financial situation. The tips below can help you deal with some loose ends.
Paying Off Debts
If you always make your minimum payments on your credit cards, student debts, you might assume that you are on top of your debt situation.
However, you are probably paying a substantial amount in interest. You could save a lot of money in the long run by making a plan to pay off any money that you owe soon as you can. Try putting more money toward your minimum payments, focusing in particular on one debt at a time until they are all paid off. If you don’t have any money to spare for paying your debt, consider cutting your budget more drastically, moving somewhere cheaper or getting a less expensive car.
Sell Your Life Insurance Policy
Did you know that you might be able to sell your life insurance policy for a lot of money? Many people are unaware of this, but by selling a life insurance policy while you are still alive, you can get a significant amount of money.
This is not possible with every type of policy, and if you have dependents that would need the money from the policy, this might not be the right decision. However, if you no longer need the policy, this can be a great way to get a lump sum. You can review what you need to know about selling your policy through a life settlement and how to get the best possible price.
Dealing With Your Retirement Funds
If you’ve had multiple jobs in your adult life, you might have several different retirement funds. You may want to find out if you can roll those plans over into your current plan. You might need to talk to your plan administrator or to a financial advisor to find out your best course of action.
If you have not looked at your retirement funding for a while, you may want to review it and see if you want to adjust your contributions or the distribution of your investments. If possible, you should be contributing the maximum amount. If your employer does not offer a retirement fund, you should investigate setting up one on your own.
Whatever your age, estate planning is important. Not only does it protect your loved ones, but it can also protect you and your finances if you become incapacitated. It is usually best to visit an attorney to create an estate plan to make sure that you have everything you need.
Most people need a will, but if you have a more complex financial situation, you might also want one or more trusts. Powers of attorney can appoint people to manage your finances if you cannot do so. You should also review the beneficiary designations for your retirement accounts and life insurance and make sure they are current.