New Year's Financial Resolutions

Author

Edward Jones - Chad Choate, AAMS

For more information about the author, click to view their website: Edward Jones

Posted on

Jan 05, 2023

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Florida - Sarasota, Bradenton & Charlotte Counties

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 Now that we’ve reached 2024, you might be thinking about your goals and hopes for the new year. But in addition to whatever personal resolutions you might make volunteering, going to the gym more, learning a new language and others  why not make some financial resolutions, too?

Here are a few to consider:

Boost your retirement savings. If you can afford it, try to increase your contributions to your IRA and 401(k) or similar employer-sponsored retirement plan. The more you put away in these accounts, the greater your chances of reaching your retirement goals. At a minimum, contribute enough to your 401(k) to earn your employer’s match, if one is offered. And whenever your salary goes up, consider raising the amount you put in to your 401(k).

Reduce your debts. It’s not always easy to reduce your debts but it’s worth the effort. The lower your debt load, the greater your monthly cash flow. So, look for ways to consolidate debts or find other, possibly more productive, ways of using credit. And if you truly can’t afford something that’s nonessential, don’t go into debt for it. “Live within your means” is an old piece of advice, but it’s just as valid now as ever.

Build an emergency fund. If you suddenly needed a major home or car repair, or received a large medical bill not fully covered by insurance, would you have the funds available? If not, you might be forced to dip into your retirement accounts or other long-term investments. To avoid this possibility, try to build an emergency fund containing several months’ worth of living expenses, with the money kept in a liquid, low-risk account that’s separate from the ones you use to meet your daily expenses. It can take a while to build such a fund, but if you make it a priority and contribute regular amounts each month, you can make good progress.

Avoid emotional decisions. Too many people overreact to events in the financial markets because they let their emotions get the better of them. If the market is temporarily down, it doesn’t mean you need to sell investments to “cut your losses” especially if these investments still have good fundamentals and are still appropriate for your portfolio. It can be hard to ignore market volatility, but you’ll be better off if you focus on the long term and continue following an investment strategy that’s designed to meet your needs.

Review your goals. Over time, your goals may have changed. For example, while you once might have wanted to retire early, and planned for it, you may now find that you’d like to work a few more years. If that’s the case, you may also need to adjust your financial and investment strategies.

Revisit your estate plans. If you’ve married, divorced, remarried or added children to your family within the past few years, you may need to review the account titling and beneficiary designations on your 401(k) and other retirement assets, along with your estate-planning documents, such as your will or living trust. You might also need to revise these documents in other ways.  

            Of course, you may not be able to tackle all these resolutions at one time, but if you can work at them throughout the year, you can potentially brighten your financial outlook in 2024 and beyond.

 

Chad Choate III, AAMS

828 3rd Avenue West

Bradenton, FL  34205

941-462-2445

chad.chaote@edwardjones.com

 

This article was written by Edward Jones for use by your local Edward Jones Financial Advisor.

 

Edward Jones, Member SIPC


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Edward Jones - Chad Choate, AAMS

Financial Advisor 828 3rd Ave. W., Bradenton, Florida, 34205

Experience and Background I am a financial advisor in Bradenton, FL, and began my career with Edward Jones in 2017. As a financial advisor, I want to find out what's important to you and help you build personalized strategies to achieve your goals. As a lifelong Manatee County resident, I graduated from the University of South Florida and was a teacher in Manatee County before joining Edward Jones. My driving force is to change people's lives in a positive way, and what better place than my home to do that. Whether you're planning for retirement, saving for college for children or grandchildren or just trying to protect the financial future of the ones you care for the most, we can work together to develop specific strategies to help you achieve your goals. We will also monitor your progress to help make sure you stay on track or determine if any adjustments need to be made. Throughout it all, we're dedicated to providing you with top-notch client service. But we're not alone. Thousands of people and advanced technology support from our office can help ensure you receive the most current and comprehensive guidance. In addition, we welcome the opportunity to work with your attorney, accountant and other trusted professionals to deliver a comprehensive strategy that leverages everyone's expertise. Working together, we can help you develop a complete, tailored strategy to help you achieve your financial goals. I currently volunteer with the Manatee Hurricane football Broadcast and Booster Club, serve on my church's trustees council and have previously served as a leader in Young Life. I am a member of the Manatee Chamber of Commerce and an alumnus of their Leadership Manatee program. I have been married to my childhood sweetheart, Ashley, for 15 years and we have a son, Wesley, and daughter, Camryn. We enjoy watching our children play their sports and traveling as a family.