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10 Ways to Spring Clean Your Finances

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It’s that time of year when many of us are ready to shake off the dregs of winter and get a fresh start. Just like clutter and dirt can build up over time, your finances can get a little out of alignment as well. Spring is a great time to do a little check-in and clean out any financial clutter that’s accumulated in your life. 

Here are ten ways you can spring clean your finances:

Spring clean your spending.

Look back at what you’ve purchased by combing through your credit card statements. Or, write down everything you purchase for the next week. Then go back through your list and identify how you felt about each item. This is essentially Marie Kondo-ing your spending. Did it bring you joy? Keep it. Ditch everything else (or figure out if you can reduce the expense if you can’t get rid of it altogether). 

Read More: How to Stop Overspending

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Organize your papers.

Create a filing system to save the most important documents. Recycle or shred old insurance policies, receipts, tax documents, etc. Check out this list of how long you should keep financial documents

Cancel memberships and subscriptions.

Check for subscriptions and memberships you aren’t using and cancel them before the next renewal date. 

Reduce your cable, internet, and phone bills.

Call your phone, internet, or cable provider to see if you can negotiate a lower rate. Or shop around for a cheaper service. Use Ramit Sethi’s tips for negotiating a lower monthly bill. 

Automate.

Reduce the number of things you have to think about each month with automation. Banks offer a number of options for automating bill pay or even transfers to retirement or savings accounts. You can contact your payroll person to have portions of your paycheck sent directly to retirement or savings accounts. Or you can set up an automatic transfer from your checking account after your paycheck comes in. 

Declutter (and maybe make some money).

Find things around your home that you don’t need and sell, donate, recycle, or toss. You might make some money, but cleaning out your home can help clear out mental clutter and help you identify what things are important to have in your life. 

Prepare for end-of-year expenses.

Identify random expenses for the rest of the year and make a plan for them. Now is a great time to start setting aside money for end-of-the-year holiday gifts and expenses. You could also start saving for a vacation or anything else you’d like to do. 

Read more: How to Create a Savings Plan

Check in on your financial situation and goals for the year.

Are you on track? Do you need to make any adjustments? Do you have extra money that could be used to pay off debt? Have you made your retirement contributions for the year?

Update your important financial documents.

Check the beneficiary designations to make sure you added your new baby or removed your ex-spouse. Make sure your will and healthcare directives are up-to-date. 

Review your home and auto insurance policies.

Make sure the information is updated and make any adjustments. For example, if your car is older now, you may not want the same level of comprehensive coverage. Or maybe you’d like to raise your deductible to reduce the cost. 

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