The Awesome Year End Financial Checklist - Runey & Associates Wealth Management

Don’t Be Like The Celebrities Who Never Used Their Year End Financial Checklist!

Download your Printer Friendly PDF copy of The Awesome Year End Financial Checklist Here.

The Holidays Can Be a Good Time to Talk to Family About Financial and Medical Plans. Before you start decorating your Christmas trees and popping champagne bottles for the New Year, do not forget to check-up on your financial and medical health using a year end financial checklist.

While it may feel uncomfortable talking about financial and medical plans, it can help spare unnecessary pain, chaos and costly mistakes in the emotional event of death or disability.

We have all seen the unfortunate headlines of famous people who:

Passed away without a will,
Accidently left their inheritance to an ex-spouse, or
Did not provide any direction for the loved ones they left behind.

These all-too-common mistakes are not limited to celebrities, and all this turmoil can be avoided with some simple steps.

Use this Year End Financial Checklist to organize your thoughts and discussions with key participants in your financial and medical plans.

The Awesome Year End Financial Checklist Contents:

Financial Inventory
Financial Contacts
Cash Flow Checklist
Investments Checklist
Taxes Checklist
Insurance Checklist
Estate Planning Checklist

1. Financial Inventory

What Do I Have and How to Get to It

2. Financial Contacts

Who to Call if Something Goes Wrong

3. Cash Flow Checklist

Review Your Cash Flow: How Much Is Coming In and Going Out

Identify all sources of current income
Track & organize all expenses, monthly and annually
Boost your savings and make it automatic:
- Increase your 401(k) contributions by at least 1%
- Boost your monthly auto draft to savings or investments by an extra $100/month
- Increase your 529 contributions by an extra $25/month
Check your Flexible Spending Account and/or Health Savings Account balances and use them or top them off if needed
Identify any large expenses planned for next year
Establish or tune-up an emergency fund (recommend 3-6 months of expenses)
Look for refinancing opportunities that could lower your mortgage payments
Check your credit report for any credit fraud

4. Investments Checklist

Review Your Investments: Create and Preserve Long-Term Wealth

Meet with your Financial Advisor to evaluate your financial plan:
- Prepare a list of topics to focus your discussion
Evaluate your current investments compared to your written investment objectives
Rebalance your portfolio
Review target date for retirement & amount of income needed
If you are older than 72, take your Required Minimum Distribution (RMD)
- Take your Beneficiary IRA RMD from an inherited IRA if needed
Evaluate and maximize 401(k), IRA, or other retirement plan contributions:
- If you are over 50 years of age, take advantage of increased catch-up contribution limits
Roll-over your old 401(k) accounts from previous employers
Evaluate Roth conversions
Review all beneficiaries on IRAs, Roths, and any Transfer On Death (TOD) accounts

5. Taxes Checklist

Review Your Taxes: Don’t Leave the IRS a Tip

Meet with your Financial Advisor and CPA to identify tax benefits
Make sure you get your 1099 tax forms for all distributions from your investment accounts
Monitor tax loss carry-forwards and consider harvesting losses to offset gains
Plan charitable contributions—direct gifts, indirect gifts, split-interest gifts
Consider a Qualified Charitable Distribution (QCD) from your IRA—up to $100,000
Plan tax-free gifting—up to $15,000 per individual per year ($30,000 for married couples)
Consider using tax-free gifts to fund/contribute to a 529 plan

6. Insurance Checklist

Review Your Insurance: Protection Against Unforeseen Events

Review your long-term care and disability income insurance to determine if they continue to efficiently meet your coverage needs
Take a look at your life insurance policies and estimate future health care costs of elders
Review your homeowner’s and auto insurance
- If you rent, strongly consider adding renter’s insurance
Evaluate the need for an umbrella policy
Review your deductibles and look out for more efficient options with the same coverage
Select next year’s employer benefits
Review the timing to apply for Medicare and Medicare Supplemental Policies
Make a plan for any health insurance gap policies (before you are eligible for Medicare)
Review any annuities
- Pay special attention to when the surrender periods expire

7. Estate Planning Checklist

Review Your Estate Plan: How You Want Your Things to Pass to Your Loved Ones

Review estate planning documents to make sure they are accurate and current
- Will Executor
- Trust Trustee
- Power of Attorney
- Healthcare Power of Attorney
- Living Will
- Birth Certificate
- Marriage License
- Property Titles / Deeds
Determine ownership of assets (including real estate) and beneficiary designation
Take note of where your estate planning documents (wills, trusts, durable power of attorney, etc.) are located