Every year at this time, we meet new clients who want to drastically overhaul their finances and set themselves up for wealth in the new year. I’ve put together a list of 5 resolutions that I always share, and that you can put to work for yourself as well.  

First things first: The base of any good financial plan is insurance, because it helps you control risk. You can have the best financial plan in the world, but if something happens to you or your family, you need to be protected to keep your plan on solid footing. You’ll want to take the time to make sure all your insurance is in proper order.  This includes life insurance, disability insurance, 2Fand even property and casualty. Because we specialize in working with retirees, long term care is especially important to our clients. According to the U.S. Department of Health and Human Services, 70% of people aged 65 or older are likely to need long-term care at some point. Finally, you may want to consider an umbrella policy, especially if you have rental or vacation homes.

Secondly, your financial goals, both long and short term, should be driven by your personal goals – whether that’s providing for children and grandchildren, sending them to college, passing the family business to the next generation, or preparing for your own retirement and the traveling you want to do, you should think about those goals and how they compare to where you are now. I sit down with my clients and, in addition to goals like retirement, create a bucket list. What’s on your bucket list? 
 
The third resolution is about tax planning. Many people find they’re being penny wise and pound foolish, saving small amounts during the year and then getting hit with huge capital gains distributions or other unnecessary taxes. Now is the time to look at your year-end statements, and look at the interest, dividends, or capital gains distributions you’ll have to pay taxes on. If you don’t like what you see, spend some time with a tax strategist and do some planning so you don’t get hit with the same thing again.

Our fourth resolution is to make sure you have all the right estate planning documents in place – your will, healthcare and financial powers of attorney - and that these are up to date. You should also meet with an estate planning attorney and talk to them about trusts – tools like a bloodline trust can help with family wealth planning and can save you a lot of time and money in the long-run. 

Resolution five is to resolve to make sure your financial, tax, legal, and insurances are all coordinated, and that your advisors are all communicating and working toward the best possible outcome on your behalf. We touched on all of the areas of our financial plan above, but you actually need to go a bit further. Most of the new clients we see have many advisors, but no coordination – and we see mistakes and missed opportunities all the time. It’s a good idea to make sure that you have someone acting as a Financial Quarterback, so that nothing slips through the cracks. 

These are five of the most important financial resolutions you can make. We consider these points and make sure everyone of our client’s investment decisions are part of a coordinated financial, tax, legal, and insurance plan developed and managed by a personal Financial Quarterback. We know the right plan, properly executed, can help to save time, money, and worry. Hopefully, these resolutions will help set you up for wealth in the new year! Happy New Year from all of us at Lineweaver Financial Group and Lineweaver Wealth Advisors!