17 Jan 2013 10 Comments

2013 Financial To-Do List

This is the time where a lot of people set up their financial goals for the year.  Although I don’t go through the exercise of setting financial goals (AHHH pressure and commitment!), I do think about the things I need/want to accomplish for myself and my clients. So, instead of setting goals, I prefer to think of it as my To-Do list instead. :)

  1. TFSA contribution – the maximum has been increased from $5,000 in previous years to $5,500 this year. I will definitely be maxing out my contribution room this year, and it is something I would recommend to my clients as well. For more information in regards to investing in TFSAs or RRSPs, check out my smack-down between the two here.
  2. RRSP contribution – a lot of my clients automatically max out their RRSP contributions for the year once they determine what their contribution room is. Some prefer to “maximize” their contributions instead, so they will contribute enough to drop down to a lower tax bracket. It all depends on what their financial priorities are for the year, but it is a discussion that needs to happen.  Important dates to remember: March 1, 2013 is the deadline for contributing to an RRSP for the 2012 tax year, and your tax return for 2012 has to be filed on or before April 30, 2013.
  3.  RESP contribution – for those who choose to contribute into an RESP for their children’s future, the maximum contribution you can make on an annual basis to receive the full 20% match from the government (in the form of the CESG) is $2,500. If you have not made the full contribution every year, you can also make catch-up contributions as well! To find out how much catch-up room you have, call 1 (888) 276-3624! For more information on RESPs, check out my post here, and see if you are eligible for any other additional grants that are available. Free money from the government is always a good thing!!
  4. Asset allocation – this is also the time to determine if your current asset allocation is reasonable for your financial goals. Check out this post to determine your own basic asset allocation. If this is the year you choose to become a Do-It-Yourself Investor, check out my posts about Mutual Funds (I, II, III) and ETFs (I, II) to help you start your journey!
  5. Credit report – time to get your annual credit report! I usually get mine through Equifax (find the step-by-step instructions here) but I will also get it from TransUnion this year as well. Once I complete the process with TransUnion, I will let you know how it goes! If you’re interested about learning more about credit, check out Credit Talk Canada to learn things like what a FICO score is, whether or not your credit inquiry will bring your credit score down, or whether or not you should be sharing credit with your spouse.

Anything else on your Financial To-Do list?

Thanks for reading! :)

 

by Vicky in Credit, ETFs, Investments, Level 3: Savings, Personal Finance, Resolutions