Financial Planning Checklist 2025: Starting the Year on the Right Foot
As we step into the new year, we hope you're feeling rejuvenated and ready to focus on your financial goals. The beginning of 2025 brings both excitement and uncertainty—offering new opportunities while presenting potential challenges.Â
To help you navigate that balance and approach financial planning in 2025 with confidence, we've created a financial planning checklist.Â
This guide focuses on key areas to review in your finances so you can take advantage of opportunities, adapt to changes, and manage potential risks. Let’s start off your financial journey on the right foot in 2025!
- Keep in mind how political change impacts your investments
With any new administration, changes in economic conditions and public policy can affect a wide range of investments. It’s important to check with your advisor about anticipated changes and do your own research to stay informed about shifting circumstances as part of your financial planning strategy.Â
For instance, if the new administration introduces policies favoring renewable energy, stocks in the renewable energy sector may experience a surge in value. Conversely, if there are changes in regulations impacting a particular industry, such as stricter regulations, it can potentially lead to a decline in stock prices for companies within that sector.Â
Staying informed about these potential changes and their implications is key to effective financial planning, helping you make informed decisions and seize opportunities that arise from an evolving political landscape.
- Review your insurance coverage
As of November 2024, the United States experienced 24 confirmed weather and climate disaster events, each causing losses exceeding $1 billion. Given the significant impact on property, consider reviewing your home and auto insurance to ensure it covers potential damage from such disasters. For instance, if any changes to your home have been made, ensure your insurance company is notified so you are appropriately insured.Â
Overall insurance costs have risen in both 2023 and 2024. Beyond home and auto insurance, you should evaluate if you have the appropriate overall coverage for your budget and requirements. This may include looking into “umbrella” insurance or bundling coverage at a lower cost. At a minimum, take some time to review coverages and shop around to confirm that you have competitively priced coverage.Â
- Check your existing subscriptions
If you Google the stats around "how many people forget about their subscriptions?," the numbers would surprise you. According to a CNET Survey, nearly 50% of Americans forget to cancel a free-trial subscription and some companies have boosted revenue by 200% from forgotten subscriptions. With the increase in subscription-based services, it's important to review your current subscriptions and see if you're really using them.
For example, do you still need that magazine subscription that you never have time to read? Or that streaming service that you rarely use? By canceling unnecessary subscriptions, you can save money and put those funds towards other financial goals, such as paying off debt or investing for the future.
- Assess your credit status
As you know, your credit information is vital. It impacts loan approvals, interest rates, and even employment opportunities.
Fortunately, there is a free annual credit report website where you can obtain copies of your credit reports for free (once every 12 months). All you have to do is go to AnnualCreditReport.com and click on the “Request Your Free Credit Reports” link.Â
Among other benefits, there are three key reasons why you should review credit reports from the three major credit bureaus (Experian, TransUnion, and Equifax).Â
- Review the accuracy of your reported information: Reviewing your credit report can help you identify any discrepancies that may negatively affect your credit score. If something unusual appears on your credit report, you can contact the major credit bureaus directly for assistance.
- Disputing errors and unused credit accounts: In addition to consistently checking for errors, it’s best practice to see if you have unused credit accounts that are no longer needed. A good course of action is to close them to reduce potential vulnerability to identity theft.
- Detect fraud: Protecting your credit from fraud is paramount to your financial well-being. Many of the credit bureaus will offer additional options to protect your credit. For instance, Experian allows you to add a "Fraud Alert" to your account, prompting lenders to take extra steps to verify a credit applicant’s identity.
Monitoring your credit is a lifelong process, so consider consistent credit check-ins throughout 2025 and beyond.Â
- Reflect on your financial goals
As always, it's essential to continually reflect on your financial goals. You may want to assess if they still align with your long-term aspirations. If they do, great! If not, determine what those goals are and how you can achieve them.
Additionally, it's helpful to track your progress regularly. Whether through a spreadsheet or an app, keeping tabs on your financial goals can help you stay motivated and focused on achieving them.
Remember that financial success takes time and effort, but with consistent evaluation and determination, you can make great strides toward reaching your goals.
As we enter 2025, let’s commit to being proactive and intentional about our finances, making smart decisions for a brighter financial future. So here’s to starting the new year off with confidence and ambition! We hope that you look back on the preparation you did with pride that you set yourself up for success in the new year.Â
Material prepared herein has been created for informational purposes only and should not be considered investment advice or a recommendation. Information was obtained from sources believed to be reliable but was not verified for accuracy. It is important to note that federal tax laws under the Internal Revenue Code (IRC) of the United States are subject to change, therefore it is the responsibility of taxpayers to verify their taxation obligations.
Savvy Wealth, Inc. (“Savvy Wealth”) is a tech company and the parent company of Savvy Advisors, Inc, (“Savvy Advisors”). All advisory services are offered through Savvy Advisors, Inc., an investment advisor registered with the Securities and Exchange Commission (“SEC”). For the purposes of this blog article, Savvy Wealth and Savvy Advisors may be referred to together as “Savvy”.
Financial Planning Checklist 2025: Starting the Year on the Right Foot
As we step into the new year, we hope you're feeling rejuvenated and ready to focus on your financial goals. The beginning of 2025 brings both excitement and uncertainty—offering new opportunities while presenting potential challenges.Â
To help you navigate that balance and approach financial planning in 2025 with confidence, we've created a financial planning checklist.Â
This guide focuses on key areas to review in your finances so you can take advantage of opportunities, adapt to changes, and manage potential risks. Let’s start off your financial journey on the right foot in 2025!
- Keep in mind how political change impacts your investments
With any new administration, changes in economic conditions and public policy can affect a wide range of investments. It’s important to check with your advisor about anticipated changes and do your own research to stay informed about shifting circumstances as part of your financial planning strategy.Â
For instance, if the new administration introduces policies favoring renewable energy, stocks in the renewable energy sector may experience a surge in value. Conversely, if there are changes in regulations impacting a particular industry, such as stricter regulations, it can potentially lead to a decline in stock prices for companies within that sector.Â
Staying informed about these potential changes and their implications is key to effective financial planning, helping you make informed decisions and seize opportunities that arise from an evolving political landscape.
- Review your insurance coverage
As of November 2024, the United States experienced 24 confirmed weather and climate disaster events, each causing losses exceeding $1 billion. Given the significant impact on property, consider reviewing your home and auto insurance to ensure it covers potential damage from such disasters. For instance, if any changes to your home have been made, ensure your insurance company is notified so you are appropriately insured.Â
Overall insurance costs have risen in both 2023 and 2024. Beyond home and auto insurance, you should evaluate if you have the appropriate overall coverage for your budget and requirements. This may include looking into “umbrella” insurance or bundling coverage at a lower cost. At a minimum, take some time to review coverages and shop around to confirm that you have competitively priced coverage.Â
- Check your existing subscriptions
If you Google the stats around "how many people forget about their subscriptions?," the numbers would surprise you. According to a CNET Survey, nearly 50% of Americans forget to cancel a free-trial subscription and some companies have boosted revenue by 200% from forgotten subscriptions. With the increase in subscription-based services, it's important to review your current subscriptions and see if you're really using them.
For example, do you still need that magazine subscription that you never have time to read? Or that streaming service that you rarely use? By canceling unnecessary subscriptions, you can save money and put those funds towards other financial goals, such as paying off debt or investing for the future.
- Assess your credit status
As you know, your credit information is vital. It impacts loan approvals, interest rates, and even employment opportunities.
Fortunately, there is a free annual credit report website where you can obtain copies of your credit reports for free (once every 12 months). All you have to do is go to AnnualCreditReport.com and click on the “Request Your Free Credit Reports” link.Â
Among other benefits, there are three key reasons why you should review credit reports from the three major credit bureaus (Experian, TransUnion, and Equifax).Â
- Review the accuracy of your reported information: Reviewing your credit report can help you identify any discrepancies that may negatively affect your credit score. If something unusual appears on your credit report, you can contact the major credit bureaus directly for assistance.
- Disputing errors and unused credit accounts: In addition to consistently checking for errors, it’s best practice to see if you have unused credit accounts that are no longer needed. A good course of action is to close them to reduce potential vulnerability to identity theft.
- Detect fraud: Protecting your credit from fraud is paramount to your financial well-being. Many of the credit bureaus will offer additional options to protect your credit. For instance, Experian allows you to add a "Fraud Alert" to your account, prompting lenders to take extra steps to verify a credit applicant’s identity.
Monitoring your credit is a lifelong process, so consider consistent credit check-ins throughout 2025 and beyond.Â
- Reflect on your financial goals
As always, it's essential to continually reflect on your financial goals. You may want to assess if they still align with your long-term aspirations. If they do, great! If not, determine what those goals are and how you can achieve them.
Additionally, it's helpful to track your progress regularly. Whether through a spreadsheet or an app, keeping tabs on your financial goals can help you stay motivated and focused on achieving them.
Remember that financial success takes time and effort, but with consistent evaluation and determination, you can make great strides toward reaching your goals.
As we enter 2025, let’s commit to being proactive and intentional about our finances, making smart decisions for a brighter financial future. So here’s to starting the new year off with confidence and ambition! We hope that you look back on the preparation you did with pride that you set yourself up for success in the new year.Â
Material prepared herein has been created for informational purposes only and should not be considered investment advice or a recommendation. Information was obtained from sources believed to be reliable but was not verified for accuracy. It is important to note that federal tax laws under the Internal Revenue Code (IRC) of the United States are subject to change, therefore it is the responsibility of taxpayers to verify their taxation obligations.
Savvy Wealth, Inc. (“Savvy Wealth”) is a tech company and the parent company of Savvy Advisors, Inc, (“Savvy Advisors”). All advisory services are offered through Savvy Advisors, Inc., an investment advisor registered with the Securities and Exchange Commission (“SEC”). For the purposes of this blog article, Savvy Wealth and Savvy Advisors may be referred to together as “Savvy”.
