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Simple Tasks for a Better Financial 2018

By Rick Moore Macc of Financial Partners of TN, LLC

With every new year our thoughts routinely turn to potential enhancements we might make improve both our personal long- and short-term financial plans. Here are four recommendations that you may wish to consider that could positively impact your finances in 2018.

1. Define Your Goals
We all have financial objectives that we would like to act on, such as paying off debt, increasing our savings, and investing more of our income. But in the absence of well-defined and written goals, you’re left with little more than good intentions. The key to success is to establish written goals and to hold yourself accountable. Create a budget and begin tracking your expenses. Decide which debts you would like to pay down or eliminate, and then allocate the necessary resources to accomplish your objective. Finally, establish a target savings amount needed to provide for your future retirement.

2. Create an Emergency Fund
Life is full of surprises and unplanned events such as unforeseen medical emergencies, unplanned home maintenance, or costly auto repairs. To avoid taking on new debt or facing penalties from withdrawing needed funds from your retirement account, create an emergency fund. A good rule of thumb is to set aside between three to six months of expenses for your emergency fund.

3. Take Advantage of Free Money
While most of us take advantage of employers matching 401(k) programs at work, there may also be other incentivized savings programs available that you can take advantage of. Talk to your human resources department at work about Flex Spending Accounts or Health Savings Accounts. Both types of accounts allow you to save money for health expenses with the added benefit of tax deductibility.

4. Understand Your Own Human Nature
We are continually being bombarded by marketers trying to entice us into the investing our hard earned money into the “best opportunity of a lifetime” or other “ground floor” opportunities. Avoid the temptation to listen to the investment advice from family, friends, or news reports. And, most importantly, avoid the temptation to experience immediate gratification by tapping into your retirement savings. Stick to your plan.

Following these four steps can provide you with the financial peace of mind that evades many of us during our lifetimes. It’s your decision.

For more information on this and other financial topics, contact Financial Partners of TN, LLC at 865-558-8182.

Financial Partners of TN, LLC
2100 White Avenue
Knoxville, TN 37916
865.558.8182
www.financialpartnerstn.com

Securities and advisory services offered through LPL Financial, a Registered Investment Advisor, member FINRA/SIPC. Insurance products offered through LPL Financial or its Licensed affiliates.

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