Financial advice for 2009

January 11, 2009 8:27:45 AM PST
Alan Kahn, President of AJK Financial Group, joined us with tips for getting your finances in order in the New Year. How Can We Take Charge of Our Financial Destiny?

1. Get Your Retirement Plans Back on Track
Review & Revise your portfolio based upon your risk tolerance
Take advantage of employer retirement programs, such as 401(k)s and SIMPLE IRAs, WITH EMPLOYER MATCHES ~ FREE MONEY!
Save as much as you can
New Law for Retirees ~ No Required Minimum Distributions in 2009!

2. Create an Emergency Fund - 3 to 6 Months of Expenses
· Set up automatic payroll deduction into Savings
· Reduces pressure to use credit cards
· Could save you a fortune in late fees and finance charges!

3. Review and Refinance Your Mortgage Today!
· Mortgage rate have dropped to 40-year lows due to recession
· Watch fees and shop around

4. Eliminate Credit Card Debt
Main Obstacle to Financial Security
· Use cash as much as possible
· Switch & Consolidate to a Lower Interest Rate Credit Card
· Lower Rate Home Equity Line of credit

5. Work on Improving Your Credit Score
· Higher scores equal lower finance charges for loans:
Auto and Home Mortgages
· How to raise your score:
Pay bills on time
Keep old credit cards open
Pay down balances
Repair errors
· Get free credit report and score from major credit bureaus online!!

6. Reduce Life and Disability Insurance Costs
· Take advantage of employer sponsored group insurance plans
· Term Insurance costs have declined over last few years by over 40%
· Check if you have enough life insurance

Click here for more New York and Tri-State News

Report a typo || More weekend stories || Send news photos/videos