Annual Financial Calendar
Daily money managers are adept at keeping track of clients’ financial obligations using a variety of methods. One such method frequently used to stay organized and make payments on time is a financial calendar. A financial calendar is a simple system for keeping track of financial obligations throughout the year or for a chosen period of time, in much the same way as people remember birthdays, anniversaries, and appointments.
AADMM’s Public Awareness Committee has created a Financial Calendar Series. Each month, financial events and reminders will be added. Watch for updates on AADMM’s Facebook page: www.facebook.com/AADMMofficial/>
January: Off to a Great Start
Let’s start the year organized!
January 1– First day to fund traditional IRAs, Roth IRAs and SEP IRAs (for self-employed and small business owners) for the current year
January 15 – 4th quarter estimated taxes are due!
Revisit your budget (spending plan) or create a new one. January is a great month to assess spending and determine if an adjustment will help you meet your financial goals.
February: Focusing on Taxes
You have probably started getting 1099’s of various types for investments, school tuition, contract work or other such income sources as well as W-2s for those who have an employer. Make sure you look these over and review for any potential discrepancies. If they all look good, put them in that folder or envelope you made last month labeled “For TAXES” along with any tax related statements you have received. If something looks odd or incorrect, now is the time to make contact with that institution to get any corrections made. This will be an ongoing process for the next few weeks, so be diligent with your organization.
First Week of February – If you haven’t already, make contact with your CPA/Tax Preparer. Many will have checklists or at minimum, will want to schedule a time to review what they need. They may also have a first come, first serve list, so now is a good time to reach out. If you prepare your own taxes, this is still the best time to get things organized.
Second Week of February – If you use a bookkeeping software, run any reports and review for accuracy. If you don’t use a software, pull out those statements and other tax related documents and follow up on anything unusual or for anything missing.
End of February – Start thinking about your summer plans. Do you need to put together a budget or make reservations? Start shopping for transportation and accommodations early to get best prices and ensure you aren’t missing out on a deal.
March: Down to the Wire for Taxes and Looking Forward
We’ve talked about organizing for the April 15 tax filing deadline throughout the series; March is “crunch time”. Missing information must be tracked down and everything should be furnished to your tax preparer as soon as possible.
Many Health Care Flexible Spending Accounts have a March deadline for filing claims from 2018. Recheck your records and contact your FSA administrator if you have questions.
March may also be an ideal time to start making credit card payments more often than just once a month. This practice can even out cash flow, improve your credit score by lowering your credit utilization, and you may even save money on interest depending on how the card issuer calculates finance charges.
Finally, visit www.moneysmartweek.org to learn more about Smart Money Week®, a financial literacy campaign which runs from March 30 to April 6, 2019.