Financial Spring Cleaning
As the beautiful spring weather draws our attention to more attractive outdoor activities, we encourage you to first spend a little bit of time conducting some Financial Spring Cleaning.
Financial health can get ignored during the spring and summer seasons, especially after we’ve spent most of the winter indoors. Here are a few tips to tidy up finances and ensure all is well before our attention is diverted:
Update Your Budget and Plan Your Summer Spending
Put together a rough idea of what your summer activities are going to be, how much they will cost, and ensure they fit within your budget. By planning your summer spending in advance, it is less likely that credit will be needed to finance your activities. Keeping your expenses within your budget means that no further debt is incurred.
Cut or Reduce Unused Services
Consider taking a three-month vacation from your cable or satellite bill. If you have the option to reduce or eliminate extra channels during the summer months, you can significantly reduce your bill and use the extra funds for outdoor activities.
Invest in a programmable thermostat and/or turn down the temperature on your hot water tank. As the weather heats up, we can reduce hydro and gas expenses by adjusting settings to match the weather.
Sell the “Stuff” You Don’t Use
If you are like most people, “stuff” can be accumulated fairly quickly. A good rule of thumb is “if you haven’t used it in the last six months, you don’t need it”. Participate in a community garage sale or list items for sale on Kijiji, Craig’s List, or Facebook Marketplace. The sale proceeds can be saved, used to target and pay down debt, or finance fun summer activities! If selling your “stuff” is not in the cards, you can always donate to local charities and still eliminate clutter.
Check Your Credit Report
If you haven’t checked your credit report yet this year, now is a good time to do so. Once you get your report, ensure your personal information is accurate and that your payment history is correct. Ensure your credit products are listed correctly and make sure that all listed inquiring companies have been given permission to see your report. Add or update statements to explain any particular situation and correct any errors. Doing these steps at least once per year can help to ensure that your report is up to date and that you have not been a victim of identity fraud.
Financial Spring Cleaning may take a few hours but it can greatly free up your pocketbook and your mind so that you can enjoy the season.
Start your journey to financial freedom. Book your free, no obligation consultation today to connect with one of our experienced BC/Yukon Licensed Insolvency Trustees.
