FCCB Blog

Spring is here, and it’s time to clean out more than just your house! When the warmer weather and longer days hit, they provide a great opportunity to declutter your finances. That’s right; do some financial spring cleaning! Take some time to review your income and spending circumstances to ensure it’s all squeaky clean and in perfect working order. Here are six tips to help get you started.

Dust off your New Year’s resolutions

Remember how excited you were back in December to make this the year you really got your finances in order? You had all these grand plans for saving more and spending less, but by the time the calendar hit February, those resolutions were as stale and forgotten as the holiday fruit cake. Use the energy of spring to dust off those resolutions and make them happen! Pull up the spreadsheet or app you used to record your financial resolutions and review each one. Find out  where and how it fizzled. Do you need to set aside 15 minutes each week for reviewing your spending? Have you pledged to set up an automatic transfer from checking to savings, but never got around to it? Take steps today to make those resolutions happen. 

Clean up your accounts

If you’ve recently switched banks, you may have dormant accounts that are still open. These accounts will probably continue to charge maintenance fees until you officially close them or they are fully drained by the fees and later closed. This spring, review your past accounts at every financial institution you’ve used to see if any are still open. Take the proper steps to close down these accounts and transfer your funds to your main account at your main institution, so you are not paying unnecessary fees. At this time, you may also want to transfer old 401ks to your current plan.

Polish your monthly budget

Successful budgets need constant upkeep and revisions. Spend time polishing your budget this spring and ensure it still meets your current reality. Are you overdoing it in any expense category? Do you find you’re ending the month with too little money to spare? Make adjustments and buff that budget until it shines!

Shake out your W-4

If you’ve celebrated a generous tax return this year, that means you’ve been lending the government money all year, interest-free. Instead, that money could have been earning for you. Take a few minutes this season to review your withholdings and make any necessary changes so you don’t overpay in taxes again.

 Stockpile your savings

Perhaps you’ll be taking home a bigger paycheck after a raise this year, and maybe you’re cutting down on some expenses, too. Why not use some of that money to bump up your savings? Make sure your emergency fund is well-padded and can support you through three to six months’ worth of living expenses in the event of an extreme change in your financial circumstances. Add to an existing savings account, or open a new one to fund your savings for a specific goal. 

Toss your debt

Holding onto debt is a whole lot worse than hoarding your college sweaters for an embarrassing amount of time. Do some serious spring cleaning this year and make a plan to break free of debt. Trim your budget, earn some extra money with a side hustle and choose a debt-busting method, like the avalanche or snowball approaches. Focus on paying off your first debt, while still making minimum payments on others. With time and persistence, you'll be debt-free.

Follow these steps to give your finances a thorough spring-cleaning and get them into shape for the summer and beyond.