Spring is full of important financial deadlines – be sure to mark your calendar.
As the weather warms and days grow longer, schedule some time to rebalance your portfolio and take any necessary RMDs.
Review your cash flow: Make sure all expenses are being considered, and that you’re still allocating enough to your savings, retirement and “rainy day” accounts.
Spring cleaning: Declutter your home and office, donating useful items. Request an appraisal and receipt if anything is particularly valuable. While you’re at it, consider deep cleaning frequently touched surfaces.
Plant some roots: It’s homebuying season. If you’re considering buying or refinancing a home, keep an eye on mortgage rates and plan to review the terms with your advisor as such a major purchase will have an effect on your financial plan.
Don’t delay distributions: If you turned 70½ in 2019, take required minimum distributions (RMDs) from your IRAs and qualified plans. You must begin RMDs by April 1 the year after you turn 70½. Subsequent distributions must be taken by December 31 each year. That means if you reached 70½ during 2019, and you delayed your 2019 initial RMD until April 1, 2020, you still have to take your 2020 RMD before December 31, 2020. For more information, go to irs.gov/rmd.
Rebalance your portfolio: Similar to your retirement accounts, consider a seasonal review of your portfolio to ensure your allocation is optimal for your objectives.
Check your credit report: Making a habit of checking your credit report at least once a year can help you detect and dispute errors.
Be counted and accountable: Newsworthy events, like the coronavirus outbreak and Census Day (4/1/2020), unfortunately bring out predatory behavior among scammers. Be aware of people using these events as a cover to email, call or even visit you in an attempt to gain access to sensitive personal information. Stay alert and don’t be an April fool by offering up this data.
View the complete checklist below and talk to your advisor to ensure you don't miss any important financial planning dates.
Withdrawals from tax-deferred accounts may be subject to income taxes, and prior to age 59½ a 10% federal penalty tax may apply. Roth IRA owners must be 59½ or older and have held the IRA for five years before tax-free withdrawals are permitted. The process of rebalancing may result in tax consequences. Asset allocation does not guarantee a profit nor protect against loss. Investment products are: not deposits, not FDIC/NCUA insured, not insured by any government agency, not bank guaranteed, subject to risk and may lose value. © 2020 Raymond James & Associates, Inc., member New York Stock Exchange/SIPC. © 2020 Raymond James Financial Services, Inc., member FINRA/SIPC. Raymond James financial advisors do not render legal or tax advice. Please consult a qualified professional regarding legal or tax advice.