I love the fall months. The colors of the flowers and trees, the pleasant weather, and even school activities with the family combine to create my favorite time of year. The coming of fall brings more than good times and pretty sights, though. Fall is the perfect time to start looking to the end of another year’s finances.
“What is there to think about,” you ask? Trust me there are plenty of things to consider. Spending a little time now to analyze your finances will allow you to make choices before the year is over and take advantage of any opportunities you can.
Taxes – Before December is here, you should take a look at your income tax withholding (if you’re employed) and the payments you’ve made on your own (if you’re self-employed). Have you paid in enough money to meet your tax liabilities? If you haven’t, plan to make those payments in the next couple of months. The last thing you want to do is to cause your tax bill to go up with an underpayment penalty.
Retirement Contributions – The IRS has very specific rules regarding how much money you’re allowed to contribute to IRA’s or 401(k)’s each year. Keep an eye on those rules and any contributions you’ve been planning to make as the end of the year approaches.
Flexible Spending Accounts – If you’ve used a flexible spending account to save for medical or childcare expenses, you’ll want to make sure that you’re on track to using those dollars before the end of the year. Schedule your purchases to ensure that you use your account’s balance in the allotted time. In many cases, if you don’t use your money, you will lose it.
Medical Insurance – Deductibles for medical insurance re-sets for most insurance carriers on January 1. If you’ve already met your deductible for this year, you should try to fit any other planned procedures into this year to avoid having to meet another deductible next year. This could be as simple as scheduling your next appointment at the end of December rather than at the beginning of January. The same principle applies to dental insurance, too.
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You know most of the times I faced problems with my spendings and financial plannings, .at least now I can plan my expenses in a better way. Thanks.
Great tips, again! I’m definetely going to be taking advantage of the medical coverage before the end of the year, both my husband and I both have dentist appointments this week!