The New Year is a Great Time to Review

Welcome to 2012! Well, almost. How’s that list of resolutions coming along? While a new diet or the promise of a new workout routine is nice, don’t overlook your financial health. The new year is a perfect time to review your finances and insurance needs. Oftentimes things change and you need to adjust accordingly. So, it’s time to leave 2011 behind and look ahead to 2012 and all you’ll need for some peace of mind.

Finances
How are your financial goals doing? Are you meeting them? Do you need to set new goals? Are you saving for long-term or short-term goals?

A common rule of thumb is, you should put away 10% of your annual income in some type of investment. The IRS allows you to direct 15% of your income into such plans as employer-sponsored 401(k)s. There are restrictions, however. In 2012, you are limited to a $17,000 contribution (plus a $5,500 “catch-up” amount if you’re age 50 or over. 

Speaking of 401(k)s, are you taking advantage of your employer’s 401(k) plan? If they match your contribution up to a specified percent, this is an automatic return on your investment… max out your contribution. If your employer doesn’t offer such a plan, look into another investment vehicle, such as an IRA. 

How’s that emergency fund doing? Having this safety net can really save you in times of need. Your goal should be 3-6 months of nondiscretionary expenses (e.g. Mortgage payment, utility, loan payments, etc.) You don’t have to add huge sums; small deposits will add up over time. The key is to just get it started … today!

To make sure you’re getting the most out of your money, have a talk with an investment professional. He/she can help you outline your goals and develop a plan to meet them. The Vantage Investment Services Group offers a complimentary financial analysis to get you started. Click here for more information.


Insurance
As time changes the circumstances in your life, so changes your insurance needs.  Do you need more coverage or less? Do you need a totally new type of coverage? Have you taken stock of anything new that needs to be insured?

A growing family can mean a change in insurance needs. For example, as a child ages, he/she may be involved in sports that can make him/her prone to injury. This is where an accident policy like our Aflac offering may be very beneficial.

How about that vehicle(s) of yours? They age much like us. If you carry collision insurance, there may come a time when the cost of insuring the vehicle just isn’t worth it as the insurance company may total the car. In this case, it may be time to get quotes from other insurance companies to see how you could save on insurance and put the savings toward a slush fund for a new vehicle. You can get quotes from Progressive and Travelers on our website, or call 314.264.5365 for quote from AAA.

Do you have an inventory of all your “stuff,” most importantly, all your new stuff? If not, you need to document it (jewelry, electronics, computers, etc.) in case a fire hits home. You want enough coverage to get you back to where you were. This same theory goes for real estate. Has the value of your home changed? Do you have enough to cover it should tragedy strike? Many agencies offer a discount if you have policies for both your home and autos through them. Have you checked into this savings?

Our Credit Union Insurance Agency (CUIA) can help you define and protect your valuables with a useful mix of insurance options, from auto and home to accident and identity protection.

And because we can’t stop the aging process, our life insurance needs will change. Our dependents will age along with us, which often means they can care for themselves. There’s no need for such a large amount of life insurance. Are you ready to reduce term coverage? This type of insurance is available through the Vantage Investment Services Group.