Take control of your finances this year

(ARA) - A new year always provides the opportunity for a fresh start - especially when it comes to taking control of your personal finances. Although you may not be able to control the economy, there are simple things you can do to get your own financial house in order and make sound decisions about money.

"The past year of change has inspired many people to play a more active role in their finances," says Kasia Czarski, senior vice president, chief membership and marketing officer, with Foresters, a life insurance provider. "While money matters can seem intimidating, many times it just comes down to building good financial habits. A variety of resources are available to help you learn these habits and improve your ability to manage money. Sometimes you need look no further than your own employer or an organization you already belong to."

Here are some ways to take control of your finances this year:

If you haven't done so already, start saving more. Stretch your annual savings goal a bit further than last year. Take advantage of any savings opportunities that might be available through your employer, such as group rate discount programs at local merchants and retailers. Develop a month-by-month budget and plan to allocate a slightly larger amount each paycheck. This will help you track spending and provide a realistic vision of how much you can save. Allow for both "known" expenses such as a new baby in the family, and "unknown" expenses such as unexpected car repairs. If budgeting is new to you, organizations such as America Saves (www.americasaves.org) offer free savings tips online.

Review your retirement plan and make adjustments. Take another look at the status of your 401(k), IRA and pension plan and sign up for any automatic increases offered by your employer. It may be time to reallocate some of your funds to account for needs at your current stage of life. For example, if you are starting to raise a family, you might have more long-term investment needs, but if you are nearing retirement, you may need to plan for more short-term financial needs.

Make tax adjustments. Review the withholding on your paycheck and adjust it if necessary. Take time to gather and sort out your receipts from the past year to identify tax deductions. This is also a good time to determine what charitable contributions you are able to make this year, and how best to allocate your available dollars.

Review life insurance needs. As your life changes so must your life insurance. Review your current policy, especially if your family has experienced recent life changes such as a marriage, an addition to the family or a divorce. Determine if more coverage is needed to ensure your family will be able to keep the house, send your kids to college or sustain the family's livelihood should something happen to one or both income providers.

Seek candid and unbiased advice from a finance expert. Leverage other forms of assistance that might be available from your employer, insurance provider or other organizations you are already involved with, as they often extend money-saving support services as a complementary benefit to employees or members. For example, Foresters (www.foresters.com), provides its members with innovative life insurance products and benefits such as a confidential financial helpline called Everyday Money.

Members have toll-free access to accredited financial counselors who can answer questions about everyday money management. The counselors, who do not sell or recommend any financial products, provide objective, personalized help on a variety of topics - from dealing with credit card debt, to making sense of your employer's benefits, to getting help with tax and insurance questions, to finding government resources for new home buyers. Foresters Sales Agents do not give legal, tax, or estate planning advice. Prospective clients should contact their own legal, tax or estate planning advisor(s) on their specific situations.

"With the abundance of confidential services available, you can learn to build good financial habits that will last far beyond this year," Czarski says. "Even if you feel you don't know a lot about money, expert help is available to assist you in gaining control of your finances; all you have to do is ask. Before you know it, you'll be off to a fresh start."

Courtesy of ARAcontent