After a long winter hibernating in filing cabinets or on computer desktops, last year’s financial responsibilities could probably use a little TLC.
Freshen up your finances this spring by giving them a citrus-scented deep clean.
After a long winter hibernating in filing cabinets or on computer desktops, last year’s financial responsibilities could probably use a little TLC. And, considering the bustle of tax season is creeping up, it’s best to tackle the not-so-exciting admin work sooner rather than later.
Some clever individuals have even found a fun way to “Turn the Bureaucratic Grind of Life Into a Party,” of which we absolutely approve. So, crank up the tunes, grab a beverage, and polish those fiscal adult responsibilities to a shine.
Dust Off Your Budget
Chances are last year’s budget won’t suit your current needs. New expenses may have popped up. Your spending habits may have changed. Or, inflation may have impacted how much you allocate to groceries, for example.
Your old budget is a useful place to start. Review your spending from the past few months and identify areas where your money actually goes versus where you think it goes. Then, make realistic adjustments for the coming year. Don’t forget: You’re also allowed to have some fun, so make sure to budget for entertainment and other treats.
Clear Out Clutter
PDFs are the new paper. Clear out or file any physical bills, contracts, or receipts, and consider going paperless. Before you start receiving your paperless statements, create a secure folder on your device of choice to keep things organized.
You can also clear the clutter by identifying any financial black holes, such as unused subscriptions. You’ll save yourself a ton of money by cancelling the apps and memberships you’ve forgotten about.
Tidy Up Investments
Check your investments—such as RRSPs and TFSAs—and maximize your contributions. Remember: If you have room to invest for 2025, the deadline to contribute to an RRSP and reduce your tax bill (or increase your tax return) is March 2, 2026. Any contributions after that go towards 2026.
You can also tidy up your investments by refinancing or renegotiating interest rates on credit cards, loans, and perhaps even your mortgage (if it’s up for renewal).
Deep Clean Debts
Track all your accounts and identify where you’re owing money. Try listing debts according to the highest interest rate and choose one to pay off. If you’re feeling particularly ambitious, try paying off a debt with the smallest balance as well.
Late fees contributing to your debt? Sign up to auto-pay bills. This will lighten the mental load of remembering every payment.
Strengthen Your Safety Net
Life changes, and so should your insurance coverage. Calculate your debts and foreseeable expenses, along with assets, savings, and any existing life insurance policies to ensure you’ve got the appropriate amount of coverage for you and your loved ones. Then, determine whether you should increase or decrease your coverage, depending upon your stage of life.
While you’re at it, make sure to update any beneficiaries on your policies. Without a beneficiary, your life insurance payout goes to your estate, which can lead to significant delays in getting the funds to those who need it.
Don’t have life insurance? Purchase it now as the last step in your spring cleaning! Then light that scented candle and admire all your hard work.
Our Life Insurance is designed to protect CPAs during times of financial dependency, such as going to school, buying a home, raising a family, taking care of aging parents, or considering entrepreneurship. Learn more about our coverage, and what sets it apart from other industry offerings.
