Let's face it - financial planning for most people is boring and complicated. But what if you took the same view of your finances as you do of your house? After all, each room of your house is dedicated to certain activities. You can use that analogy to help you tackle your bigger money picture one small area at a time. So let's take a tour of your home and see what each room has to teach us about remodeling our finances:
01
Your Foundation
Your family members matter most - have you protected them with life insurance? If so, have your policies been reviewed in the past year? Life insurance is more affordable than most people think! You might be able to afford quite a bit just from cutting out your weekly latte on the way to work.
02
The Family Room
Incidentals always happen, and anyone with a family knows first hand! But what if the roof gets a leak or you have an accident with the car? Make sure you're ready for financial emergencies. Keep emergency cash in a separate account that you aren't allowed to touch unless there's a true emergency.
03
The Kitchen
What's the first thing you think about in the kitchen? Food, of course. And with a little advance planning, you can spend and waste less. Consider these kitchen improvement tips. Before shopping, take an inventory of what you already have and check your perishables. Don't buy things you don't need just because they're on sale.
04
The Bathroom
Make sure your credit history stays clean by reviewing your credit score once a quarter. Pay your debt down to 20% on each card to maintain a good history. "Debt Stacking" is a wonderful way to eliminate debt! Not sure what it is? Sign up for a complimentary "Wealth Strategy" and find out!
05
The Playroom
Your children will be ready for college in the blink of an eye. Have you started saving for college? Start saving early. Teach your children money management strategies before they fly the nest. Make sure they are properly covered on your life coverage, and get a small investment account in for them wouldn't hurt.
06
The Master Bedroom
This is where you or you and your spouse dream about your future. Do you have a master financial plan to help you get there? Create short and long-term money goals. Automate your savings plan with paycheck deduction or an automatic savings transfer. Start saving early so your money has more time to accrue interest.
