Introduction

Winter seemed like an eternity, but spring is finally here and it’s time to get started on those spring cleaning projects you’ve been waiting to tackle.  While you’re at it, you may as well take a look at your finances too!  This is a great time to evaluate, re-evaluate, discard, and prioritize important aspects of your financial life. Here are 9 things to consider when spring cleaning your finances.

1 – Get Rid of Unused Subscriptions

The subscription model of business is nothing new, but it is getting more popular. According to an article in the Insights section of the Stanford Graduate School of Business, this trend will only get more prevalent.

What does that mean for you? Convenient services like Netflix, Blue Apron, and Amazon Prime provide great benefits and are easy to sign up for and use, but those subscription fees keep coming through whether you continue using that service or not.

Check your bank statement and review all of those automatic payments coming out each month. Are there any you aren’t using anymore? Maybe it’s time to get rid of that service.

2 – Get Your Beneficiaries Updated

Thinking about the financial security of our loved ones after our death is never easy. Many already make the effort to put away emergency funds, however, neglecting to designate or update a beneficiary can preclude access to these funds for the people who need it most.

 Life situations can change drastically and often. That’s why it’s important to make sure that your retirement accounts, savings, life insurance, etc. have a proper beneficiary designated.

This simple step can lead to a lot less heartache and stress for those who have to handle your finances in your absence.

3 – Update Your Budget

Spending habits change over time, sometimes for the better, sometimes not. You may be making more in income than you were this time last year, but have you updated your budget to see how that has affected your spending?

You’ll need to adjust your numbers to account for all the things that have changed since you’ve last looked at it. New expenses, new jobs, new taxes; all of these things must now be accounted for.

Run the numbers before you make any large expenditures and give yourself some peace of mind.

4 – Organize Your Financial Documents

Tax season can wreak havoc on your well-being.

• Will I owe money this year?
• How much?
• Did I forget something on my return?
• Will I be audited?
• Will my return be enough to help with the house repair I desperately need?

Make things easier on yourself this year and the next by organizing all of those financial documents you need, whether they are tax related or not.

Money is one of if not the largest stressor there is. Having your finances organized won’t put dollars in your pocket, but it will make things easier when tax season comes around or when an emergency happens.

5 – Look at a Possible Refinance

Refinancing your home or other loans could be a beneficial way to ease your financial burdens by reducing either your monthly payment or your interest rate, saving you money in the long run.

The question of whether or not you should consider refinancing is a tough one. Websites like NerdWallet.com offer resources like a mortgage refinance calculator which are a great source of information. However, the best course of action is to ask your loan officer or tax advisor. Reaching out and asking a few questions costs you nothing yet may be extremely favorable to your financial situation. Feel free to call your local branch and ask to speak with one of our loan officers to see what options are available to you.

6 – Talk to Your Banker about Different Banking Options

Is your checking account working for you in the way you’d like? Visit your local branch and talk to a bank representative about it. There may be other account options available that are a better fit for you and will help you avoid annoying fees. For instance, Astra Bank offers a Simply Free Checking account which has no monthly maintenance fee and no minimum balance to maintain, making it a hassle-free account for those who hate to see unwanted fees.

Additionally, there may be services you didn’t know about that can help you save and make your financial life more convenient. For some of these, check out this recent blog post.

 Ask the next time you go in to make a deposit. You may be glad you did!

7 – Check Your Credit

Did you know you’re entitled to a free copy of your credit report every 12 months? Visit this link at the FTC.gov site to learn how to get it.

While this report does not tell you your score, there are still resources to find that information. This list offered from Investopedia.com gives you a great look at the different sites that will show your score.

Looking at your credit report and score may cause some anxiety, but the first step towards improving that number is knowing where you stand. Additionally, periodically checking your status is a must when it comes to financial housekeeping.

8 – List out Your Debts and Prioritize Them

Debt is a large chunk of many people’s financial woes. Seemingly never-ending, it’s tempting to act like it’s not there, only paying the minimum you need to get by.

As painful as it may be, however, listing out all of your debts gives you a good look at those which may be more important to pay off sooner than others. Got a high interest rate? It may be beneficial to put all of your efforts into paying off that one as soon as possible, saving you lots of money in the long run.

Prioritize your debts and work on paying those important ones off as soon as possible. A few extra dollars here and there can make a huge difference.

9 – Plan for the Big Expenses

The winter holiday season is over, but you might still be feeling the bite of all of those expenses. Start planning for next year right now and that bite may not be so bad next year.

Gather all of your expenses you are fairly certain will be happening again and start saving up for them now. Once it’s gift giving season again, you’ll be glad you did.

Conclusion

Spring is a time of renewal and growth, giving us energy to do all of those projects we’ve been putting off all winter. Utilizing some of that energy to clean up your financial life, if even in the smallest of ways, will go a long way to helping you feel fiscally secure and organized.