As 2023 begins, the Assistant Professor of Accounting at Georgia Gwinnett College Dr. Cathy McCrary has some tips to perform a financial checkup.
McCrary said it's a prime time to perform a financial checkup as many people have been pulled in several directions during the holidays.
“With continued interest rate hikes, people are ultimately spending more,” McCrary said in a press release. “That’s why it’s crucial to review where your money is going. A little time spent can result in big savings.”
McCrary suggested a few areas where people can see immediate results.
- Review recurring expenses and cancel any subscriptions or memberships you don't use.
- Do you belong to a gym that you never visit?
- Are you paying for food, magazine or streaming subscriptions that you’re not using?
- Shop around for home and auto insurance coverage.
- Are you working from home instead of commuting?
- Can you afford a higher deductible which results in a lower premium?
- Be alert and on the defense for scammers.
- Do you know the warning signs of a scam?
- Have you taken cybersecurity awareness training? A number of online companies offer free training and tips.
According to McCrary, it's never too early to organize tax documents. The IRS provides a Tax Withholding Estimator tool, which calculates the amount of taxes you should have withheld during the year.
She also suggested a good place for money saved is an emergency fund as funds will eventually build up over time.
“There’s nothing that can have a negative impact on finances more than an unexpected emergency,” McCrary said. “That’s why having an emergency fund or boosting an existing fund will go a long way in helping your financial health."
