This morning, I’ve been working on the next edition of the Financial Clarity Challenge, which involves going through my own finances and figuring out my spending for the year. It’s both interesting and a bit tedious. Getting a better understanding of my spending has been a goal of mine for a while now. And there’s never a better time than when I’m on deadline for a newsletter.
There are a few other financial tasks I’d like to tackle before the end of the year. A big one is insurance—do I have enough and the right kind? I was really inspired by a recent article by my friend Heather Boneparth, where she talked a bit about umbrella insurance. (I included a link in last Friday’s Weekly Roundup.) There are few things less sexy than insurance, but I know I will feel good when I cross that one off my to-do list.
I’m also looking to get a better handle on my brokerage accounts and how my investments are allocated. Admittedly, I struggled a lot with the investment class when I was taking CFP courses at New York University. I spent so much time trying to understand statistics. Beta! Standard deviation! Sharpe ratio! It still makes my head spin.
But being intimidated is not an excuse for inaction, in my opinion. Though, I may be calling in some experts for additional support!
Alicia Adamczyk
All of these small goals are part of my bigger goal: to feel more financially secure. That’s a tall order for sure. But each one of these small tasks is a stepping stone toward that goal:
- Reviewing my spending helps me grasp how much money I need to live on.
- Having enough insurance helps protect my family in emergency situations.
- Understanding my investments helps me see where I need to set more money aside for the future.
What are your goals? And how are you approaching them? I’d love to hear the steps you’re taking to accomplish them before the end of the year (or beyond!).
