5 Things You Should Do With Your Money Before 2015 Ends
The end of the year is just around the corner. Now is the time to get serious and make the most of your money this year in order to get ahead financially in 2016. Here are some suggestions from GoBankingRates.com that can help you accomplish that.
Create a budget for the holidays
To avoid spending too much during the holidays, create a budget now. Starting a budget early will help you find ways to cut back on spending or save up for those gifts you plan to buy later on. Look back at last month’s spending, and create a plan so you’ll be on track to cover those extra holiday expenses.
Check your credit report
Don’t let the opportunity to check your credit report for free slip by. Every consumer is entitled to one free credit report per year from each of the three credit reporting agencies: Equifax, Experian and TransUnion. To do that, go to annualcreditreport.com. Review your report to make sure it’s accurate.
Maximize your 401(k)
You are allowed to contribute up to $18,000, plus $6,000 if you’re 50 or older, to a 401(k) in 2015. If you aren’t able to set aside that much, at least try to contribute enough to maximize your employer’s match. Talk to your workplace benefits coordinator to find out when you can adjust your contributions each year. The more you contribute, the more you lower your taxable income.
Readjust your stock portfolio
Now is a good time to review and rebalance your stock portfolio. You might want to cash in on winning stocks and sell the losers to offset capital gains. At TFCU, we recommend you check with your stockbroker or financial planner, as well as a tax consultant, to help you make these important decisions.
Donate to charity
Making a charitable donation isn’t just a generous thing to do during the holidays. It will also reward you in the end if you take advantage of the tax break it will bring. Usually, you can deduct donations of cash or property made to qualified organizations up to certain limits if you itemize on your federal tax return. Just be sure to get receipts for all contributions.