Why right now is the best time to do a financial deep dive
PITTSBURGH (KDKA) -- It's the middle of July and the prime time to step back and do a little self assessment on your finances and make changes if needed.
KDKA's John Shumway looked into what you should be checking on.
According to a survey from Bankrate.com, 82% of people surveyed said that economic factors in their lives negatively impact their mental health.
Financial advisor Rob Wilson says that when it comes to your money and you don't know what's going on with your finances, that kind of wondering can tend to breed a lot of anxiety.
Wilson says that you should bite the bullet and dive in.
"When you confront those issues head on, then I think you can feel much better about your path forward than if you were completely in the dark," Wilson said.
Wilson added that it's also important to note that things can switch pretty quickly.
He says to start with the basics.
"Check your bank statements, or you subscribe to things that you no longer use," Wilson said. "Should you get rid of that gym membership that you haven't gone to since January, streaming services, other memberships, a lot of these companies are happy to just keep billing you because they think you're going to forget about it."
Wilson says you should also check for mysterious charges and account for every penny.
"You also want to check your credit report to make sure that there's nothing on there that's incorrect that may inhibit you from someone lending you money in the future," Wilson said.
Make sure your withholdings are right and you're contributing what you can to a retirement plan.
"You have to at least contribute up to the point at which your employer matches," Wilson said. "If you do that, it is an immediate dollar for dollar, 100% gain on your money."
Wilson says if you don't have a six-month emergency fund, now is the time to start one with a way to contribute to it with each paycheck.
Even if you're living paycheck to paycheck, Wilson says you should have a plan.
In fact, he says it's crucial because if you don't have a plan, you don't know what steps to take to get there.
