by Tenielle Shallman
As the snow melts away and the grass begins to green, many of us start our “spring cleaning” projects around the house. It is also a great time to clean up, organize, and review your financial affairs. Consider the following:
Review account beneficiary forms to confirm that you have a named primary and a contingent beneficiary that reflect your wishes.
Discuss and review your estate planning documents, such as your wills, trusts, health care directives, and durable powers of attorney with your attorney to confirm that the documents you have in place take full advantage of current estate tax laws and accurately reflect your wishes. If you have not yet executed these documents, consider meeting with an attorney to discuss whether they are appropriate for your situation. Be sure to advise your heirs and executor where your estate planning and account documentation can be found in case of your death or incapacitation.
Review your current property/casualty, life, disability, and long-term care insurance coverage with your wealth manager and other insurance advisor(s) to determine if you are properly insured.
Review contributions to employer retirement plans. The maximum contribution in 2008 to a 401(k), 403(b) or 457 plan is $15,500, and taxpayers age 50 and older may make "catch-up" contributions of $5,000. The maximum contribution to a SIMPLE Plan in 2008 is $10,500 with a "catch-up" contribution of $2,500 for taxpayers age 50 and older.
Review contributions to traditional and Roth IRAs. The maximum contribution, if you qualify, is $5,000 in 2008 and taxpayers age 50 and older may make "catch-up" contributions of $1,000.
Review your overall investment allocation and consider rebalancing as necessary.
Contact your wealth enhancement group advisor to discuss these and other opportunities that may exist.