It is Spring!  This time of year, we all want to make changes and put things in order for this new season.  In addition, the tax deadline is next week, so let me recommend putting your Financial House in Order, too.    Here are 6 steps to get you started:

 

Shred your discarded personal papers.  Why Shred?  For safety sake.  You want to make it as difficult as possible for someone to commit a crime like identity theft against you.

If you don’t have a shredder, get one.  If (and when) you have a shredder, create the daily or weekly habit of shredding any un-needed paper with personal information on it.  If you tackle this job in little pieces regularly, you won’t amass big piles of papers to shred.  (Note – this is a great job for a helpful child!)

If you already have big piles of papers needing shred, keep an eye out in your community for free Shred Events.  If you just want to catch up and get it all shred at once, you have a couple of options.  The three big office supply stores, Office Max, Office Depot and Staples, all offer shredding services on a per pound basis.  In addition, you could contact ProShred or Shark Shredding , and make an make an appointment to shred all your papers at once.

 

Go on-line and request your Credit Report.  Why get your credit report?  Your credit report is a snap-shot of your financial identity.  Reviewing your credit report may uncover unresolved issues that are harming your credit score, or long-neglected credit cards or accounts that are still active.  Take time to review your report, and follow-up with any issues you notice.  And make a note in your calendar to do it again next year, too.

There are three reporting agencies, Equifax (www.equifax.com), Experian (www.experian.com) and Transunion (www.transunion.com).  I don’t know about other states, but I know that as an Illinois resident, I am entitled to a free credit report from each agency every year.

 

Buy a fireproof Safe.  If you don’t have a safe, invest in one.  Make sure it is fireproof and portable, and that you, your spouse, and one other person that doesn’t live in your house knows where the key is kept.  Store your irreplaceable vital records in there, like birth / sacramental / marriage and death certificates, insurance policies, passwords, Wills, car titles, etc.

 

If temptation to spend is great, physically “Freeze” your credit cards.   I heard this tip years ago, about a woman struggling with credit card debt actually freezing her credit cards in a large block of ice.  The idea was to make it complicated to use credit, so she would have a chance to consider and re-consider any purchase made with credit.  I don’t know if you want to really freeze your credit cards, but you could remove all but one from your wallet and put the rest away somewhere safe, like in the safe mentioned above or, well, a well-disguised block of ice.

 

Make sure your Beneficiary allocations are up-to-date.  Check your retirement accounts, insurance policies, etc., and make sure that the stated beneficiaries are who you want them to be.  Too often we forget this step, and our loved ones could lose out.

 

Add a “2014 Income Tax information” file to the front of your top file drawer, and make a habit of tossing charitable donation receipts and other pertinent tax info in there.  It will make tax time go more smoothly next year.

 

Add these steps to your Spring Cleaning plan this week, and get your Financial House in order, too.