I came across a term for February – Frugal February. It is described as a month-long financial cleanse designed to reset after the holidays but early enough in the year to set goals, look at your financial picture and put some good habits in place. If you are married, this is a discussion for both of you to have together. So, let’s start the Frugal February cleanse.
- Look at Your Financial Picture – It is very important both of you know where your income is coming from and where it is going. Whether you are still employed or on Social Security, you need a monthly budget for your obligations. Although it is not uncommon for one to be the primary person to handle the day-to-day check book… I can’t stress enough the importance of both spouses knowing the financial picture. This is especially important as you get older and one of the spouses dies or becomes sick, it is easier for the surviving spouse to handle things.
- Financial Check Up – It is a good time to review your credit scores, to make sure they are accurate and re-evaluate the budget to see if it is still realistic. It is also a good time to make an appointment with your financial planner to review your investments and make sure your portfolio is working the way it was designed to. Keep in mind as you age… income and lifestyles sometimes change. It is important you make the changes in your portfolio to match these changes along with your comfort level.
- A Savings Account – I recommend everyone has an account called Touching Money. This could be in the form of a savings account, money market in a bank, or investment account. Always look for one that pays some interest but is liquid with no penalty to withdraw the funds as you need to. If can be an account for future vacations, home improvements or just unexpected expenses you need to take care of that are outside the monthly budget.
- Health Check-Ups – As you age, it is very important to concentrate on good health. Take some time to schedule any regular check-ups such as doctor, dentist, eye and any other screenings you should be doing for your age and health. Making appointments early in the year is good peace of mind that you are in control of and managing your health. Obviously managing day to day stress, exercise and proper eating habits should be things you look at on a daily basis to live the best possible life. It is said it takes an average of 66 days for a new behavior to become automatic so using February to reset some plans and goals gives you the better part of the year to relax and plan the things you enjoy.
You can always contact me through Coach4Retirees or call my cell at 814-931-1043.