A Resolution You Can Keep - Getting Your Financial life Organized

As I write this post, it’s mid-December and  the new year is fast approaching.   It’s time to start getting financially fit.  Why wait until January 1 to start this journey?  Why not start this week? Success isn’t hard when you have a plan and someone to help along the way. 

When your goal is to become financially fit, the task may seem overwhelming.  So, let’s keep it simple. When I meet with a new client, the first task is getting the paperwork organized and in a place that is easy to use.   If I were there with you, I would set up your files.  We’d make a decision of how to keep the files.  Here are the choices – you can keep

     or

     create a computerized filing system,

     or

     a combination of both

which ever system might work best for you and your lifestyle.  But we want to set up a system that you will keep throughout the year.

Here are the basic files you should set up:

Checking Account Statements*

Investment Account Statements*

Credit Card Statements*

Tax Documents*

Charity* 

Rent, Mortgage and/or Equity Line Statements* 

Pet Care

Insurance (House, Car, Umbrella)

Car Payments  and/or Car Care 

Medical – information and receipts*

Employment information

Warrantees and receipts

Utility bills (phone, gas, electric)

Miscellaneous File

Now depending on your own personal situation, you may need to create some sub-files for some of these categories.  As an example, if you have several children and you have college savings accounts, you may wish to set up a college savings file separate from your personal investment file.  But that would be a personal choice. 

I have set up a miscellaneous file for all those papers you want to keep but are unusual in nature.  For example, I keep my credit reports in the miscellaneous file.  ( By the way, if you need info on credit reports, see our blog titled “Where to get your free no strings attached credit report.) And, no cheating here – it’s easy to dump all the papers in the miscellaneous file, but let’s not go there. 

There’s an asterisk (*) next to any file which needs to be kept to help in filing your annual taxes.  This way, when it’s tax time, you simply need to access the pertinent files.

If you have any questions or need any additional information, please feel free to contact me, Liz Crystal.  You can learn more about my company, the LC Group, at www.thelcgroup.net.  The LC Group is a personal bookkeeping and daily money management services firm, and we welcome your comments and questions.