Work + Money

Tuesday, October 7, 2008

Spring clean your finances

Charlene over on Parenting has some take-charge, whip-the-house-into shape advice on how to get the kids involved in a spring-cleaning toy purge. Well, we adults have to do the same thing with all of the bills and financial statements that come into the house throughout the year and threaten to overtake the most organized home office.

The chirping of the birds and the nearing tax return deadline signal a good time for some financial spring cleaning, too. So here's some advice from around the web on how to declutter financial files, streamline accounts, and organize bill paying so we can enjoy the warm weather to come with a clean heart and on-time payments. I'll do my best to follow it all, too. Scout's honor.

Sort and purge
. The Motley Fool's Dayana Yochim tells us to first take stock of our accounts, and organize the piles of statements that go with them. When you see them all together, you'll know which accounts could be consolidated. If you're married and still have several separate investment accounts, now would be a good time to decide if combining some of them makes sense. It's also a good time to consider organizing accounts online with tools like Mint, which I like. Your bank may have one too. Bank of America, for example, offers Portfolio, which consolidates account information using the Yodlee technology behind Mint.

The Washington Post's Michelle Singletary has some dead-on advice on which statements to keep, and which to shred, in this "It's Spring Cleaning Time for Finances" piece.

Check your credit standing. This taking-stock time is the right time to check in on your credit status. You're allowed one free credit report a year from the three major credit bureaus. Talk about streamlining, the nice thing is you can get them all in one place: AnnualCreditReport.com. Block out some time for this one, because poring through the reports to make sure all of the info is correct, then taking the steps to correct it if it's not, will take hours.

Tend to the serious stuff.
We don't like to dwell on wills and insurance and such, but at least once a year, dwell we must. If you don't have a will yet, write one. Bankrate.com recommends some DIY computer programs, such as Will Maker or Will Creator, but if you're more comfortable going to an attorney to draw one up, then do that instead.

Make sure you've got enough insurance, then get new quotes on life, home, and car insurance to make sure you're getting the best deal for your money. Bankrate's insurance channel is a good starting-off place.

When you've done some spring sorting and shredding, chime in below with how you get your financial houses in order.

Still need some inspiration, check out this Yahoo! Finance video from MoneyTalkNews.



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Comments 1-2 of 2
  • Micki LeSueur's Avatar
    Posted by Micki LeSueur Tue Mar 25, 2008 12:54pm PDT

    I know, I know! I have this teetering pile of papers. And I'm pretty sure the financial documents are in the third pile from the left...just under the doctor's order for that mammorgram I haven't scheduled yet...

    As much as I put off going through the papers it always pays off when I dump the accounts that have acquired new fees over the past year and getting better rates for insurance and other services.

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  • Dory Devlin, Shine staff's Avatar
    Posted by Dory Devlin, Shine staff Tue Mar 25, 2008 6:07pm PDT

    I'm right there with you, Micki. We haven't finished our tax returns yet, and that's always a good annual impetus for sifting through statements to see if fees have changed and if we need to consolidate any accounts. The idea of doing all of this financial organization seems overwhelming during a busy week, but once we get to it, it feels so good!

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